The Value of Culture

There’s something magical about going to the theatre to watch a ballet or musical—3D and HD pale in comparison to the vivid color and striking images of a stage performance. And let’s face it—even the best headphones don’t come close to delivering the sound and feel of a live concert.

It’s not just the performance itself that stirs up these sensations. What happens before and after the  performance also contribute to the overall experience. A night out on the town often calls for a fresh haircut or hairdo, a new outfit, a car wash, a babysitter, dinner and drinks. In short, attending a cultural event sets off a chain reaction of economic activity that goes far beyond the price of admission.

According to an Arts & Economic Prosperity Study IV conducted in 2010, the nonprofit arts and culture industry generated over $135 billion dollars in economic activity nationwide. A little over $1 billion of that activity is happening right here in Miami-Dade County.

For one glorious week each year, Miami stands at the center of the artistic universe drawing hordes of art devotees from all over the globe to our little hamlet for this whirlwind cultural event. Over 75,000 visitors relax in hotel rooms, dine at fine restaurants, get spa treatments, order drinks and—oh yeah—buy millions of dollars in artwork each year. By some estimates, that one event alone pumps more than $500 million into Miami-Dade County’s economy. Add in signature events like the South Beach Food and Wine Festival, Miami Book Fair International and the Coconut Grove Arts Festival and you’re talking world-wide attention and hundreds of thousands of visitors coming to our community.

If you think only the über rich and famous are enjoying the benefits of these mega cultural events, you might want to reconsider. “Our local arts organizations employ more than 30,000 fulltime workers, ranging from carpenters and curators to accountants and musicians,” says Miami-Dade’s Cultural Affairs director Michael Spring. And they’re bringing home the bacon, too, earning in excess of $953 million in household income, according to the Arts & Economic Prosperity Study.

With the opening of Peréz Art Museum Miami, that number is expected to grow. PAMM, which opened in late 2013, cost $130 million to build. Construction labor accounted for $37 million of that total, but the museum is expected to generate $11 million annually in the local market with an estimated 220,000 patrons projected to pay PAMM a visit during 2014.

Miami-Dade County’s cultural renaissance is transforming whole neighborhoods into hubs of creativity and innovation. Wynwood, a once blighted warehouse district beset by economic downturns of the past, has been re-energized and is now home to dozens of galleries, cafés, bars, restaurants and collaborative work spaces like The LAB Miami. It’s also a really cool spot to enjoy some mind-bending street art. The district’s wildly popular Second Saturday Art Walks draw an eclectic crowd to check out cutting-edge work being done by pioneering artists.

Keni Valenti, founder and curator of Wynwood’s Museum of Fashion, was so taken with Wynwood’s energy that he decided to close up shop at his space in New York’s garment district and set down roots in Miami where he now showcases more than 15,000 vintage designer pieces.

As you might expect, property values have gone way up and people like Valenti are concerned about what the future holds. The good news is other once-forgotten neighborhoods, like Allapattah, West of Wynwood and Little Vista, wait in the wings.

Already, artists are beginning to propagate these areas bringing with them fresh ideas and sparking a new wave of creativity—and spending. Frederic Snitzer, a longtime gallery owner and Wynwood pioneer, is eyeing a new location for his gallery. He won’t say where for now, but he says it’s going to be BIG.

Meanwhile, Miami-Dade County’s film and entertainment industry is also surging. Thanks to the state’s entertainment production tax credit incentive program enacted in 2010, the Miami-Dade County Office of Film & Entertainment reports that $923 million in film and television production expenditures have gone into the local economy. Nearly 5,000 new jobs were added. That spells hope for a workforce looking to bounce back after enduring a struggling economy. And hope instills confidence.

“The arts can change people’s lives,” says Spring. “Students who are involved in the arts score higher on their standardized tests and are less likely to drop out of school. The arts make better people by cultivating an appreciation of our differences and developing creative approaches to problem-solving. Participating in the arts promotes teamwork and a more engaged audience.”

Business can help keep this momentum going by contributing to the arts. They’ll reap both the tax benefits and serve as stewards of culture in our community.

And that’s good business.