Men at work

The return of David Forsberg gives downtown business owners renewed hope that Main Street's woes will be corrected. Will Forsberg have what it takes to succeed where others have failed?

by Kristen Lombardi

As the Owl Shop's owner for more than 50 years, John Photakis can reach back to times when neighboring Main Street storefronts were home to prospering, specialized shops. He also can recall more recent moments when downtown Worcester felt so empty, he says, he'd be lucky to spot a rolling tumbleweed.

But in between the extremes came bursts of development, which always gave Photakis hope, particularly in an age where shoppers prefer the suburbs. In the early 1990s, he watched Worcester Common Fashion Outlets open with fanfare. The convention center soon took shape, as well as Worcester Medical Center, Union Station, the Rte. 146-Massachusetts Turnpike connector. Momentum reached a record pace -- until, Photakis says, the city lost one instrumental person: David Forsberg, the city's former chief-development officer who resigned in 1997 to become director of development at Massachusetts Port Authority.

"Everything stopped dead in its tracks when David left," Photakis says. "Really, what has been proposed since?"

Now that the Worcester Business Development Corporation (WBDC), the development arm of the Worcester Area Chamber of Commerce, has announced it has hired Forsberg as full-time president, effective April 1, Photakis is flat-out rejoicing. "David is back and, for me, it means hope."

He's not alone. Everyone from retailers to bankers to company executives is talking about how Forsberg, a self-described "three-decker kid from Worcester," will return next week to steer WBDC toward job creation and, specifically, downtown revitalization and "brownfields" redevelopment -- two problems long plaguing the city.

And if people are happy about Forsberg, a likable guy known for his exceptional managing skills, they tend to be thrilled by the men he's teamed up with on this latest venture: Worcester businessman P. Kevin Condron, the newly-elected WBDC chairman; and Craig Blais, once the city's deputy development officer, now WBDC vice-president.

As one observer chuckles, "These guys are the closest thing to a `dream team' Worcester will get."

For many in the business community, the million-dollar question isn't the effectiveness of WBDC's star-studded line-up, but rather how the trio's going to fit in with the public-sector crowd, under the city's current chief-development officer, Everett Shaw -- particularly when that crowd has a renowned, escalating penchant for bickering and in-fighting. Ultimately, the trio's utter dynamism may make WBDC into the organization most capable of saving downtown.

Says one longtime official who has worked with all three, "If anyone can move Worcester forward, these three guys can -- on the private-sector side, anyhow."

THE WBDC HAS enjoyed a long-standing reputation as a land developer, launching successful ventures like Higgins and Goddard industrial parks, but the organization, over the past 15 years, has had to focus almost singularly on managing fledgling, risky tenants housed at its Massachusetts Biotechnology Research Park -- a situation that drained WBDC's funds.

"With the Biotech Park, we found ourselves in the role of landlord," explains Bill Purcell, the chamber's executive vice-president. "Our capital was tied up, rendering us unable to devote resources to other areas."

Last year, WBDC divested all four Biotech Park buildings (redefining its strategic plan) and, now, devotes a "significant" portion of money to promote "job creation and expansion of the city's tax base." The plan, in essence, calls for WBDC to concentrate on two issues that are widely regarded as Worcester's biggest barriers to economic development -- namely, downtown revitalization and redevelopment of contaminated land, or brownfields.

The dramatic shift in emphasis inspired WBDC to recruit one of the city's top leaders in the business community, someone thought to be capable of turning around Main Street. That was Condron, a veteran WBDC board member, who served not only as the chamber's president in the mid-1990s, but as Worcester Redevelopment Authority's (WRA) board chairman. Condron replaces John Hunt, who headed the WBDC board for 11 years.

Condron, in turn, considered Forsberg, whose tenure here is often described as "legendary," to be the obvious candidate for the newly created, full-time position of WBDC president. The fact that the two share a history together probably helped; indeed, Condron's credited with persuading Forsberg to become the city's chief-development officer in 1992. Later, when Condron was WRA chairman, they worked on such projects as Worcester Medical Center and Union Station, experiences convincing Condron that, as he puts it, "David is a healer who gets things done without lots of controversy."

Just as important, Condron cedes, is the built-in credibility attached to Forsberg. "David will lend instant legitimacy and recognition to whatever WBDC chooses to pursue."

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The suggestion that Condron, Forsberg, and Blais could be the long-awaited answer to Worcester's development doldrums elicits a modest, gracious response in the men themselves. They might be flattered, but that's as far as they'll take it -- because they're keenly aware that the assignments ahead are too taxing for self-importance.

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Forsberg's accomplishments back the assertion, for sure. Even before standing at the helm of the city's development office, he'd attained impressive appointments in both state and federal government -- first, as regional director of US Department of Housing and Urban Development during the Bush administration and then, as the state Secretary of Health and Human Services on Weld's cabinet. In his five years at City Hall, Forsberg "led the parade," observers say, on a host of megaprojects. Like the Worcester Common Fashion Outlets and its tax deal. Or the convention center, which got state funding and began to be constructed.

"David is the ultimate doer," says Blais, who can rattle off a list of major endeavors Forsberg pushed forward in a short period of time.

Perhaps the most notable is the Worcester Medical Center tax-increment financing (TIF) agreement, which, at $40 million, represents the largest in the state. Securing it was formidable, a task igniting scrutinizing, even rancorous public debate. City councilors objected to the city's substantial loss in tax revenues, but Forsberg ended up assuring them that, basically, it's better to receive something than nothing. What the TIF illustrates best is Forsberg's ability to bridge gaps. "David is good at bringing people together and making win-win situations," says St. Vincent Hospital president Bob Maher Jr., who worked with Forsberg on the deal.

But his greatest achievement as a development guru may have propelled his departure. The Medical Center TIF fostered an increasing friction between Forsberg and the council. Give Forsberg a task, insiders say, and he won't let anything obstruct his path, particularly politicians. Since he was a councilor himself in the 1970s and '80s, he knew exactly how to navigate the city's political machine. "He really pissed off some councilors," one longtime colleague explains. "He had gone as far as he could on the city side of development when he left."

Despite any tension surrounding his exit, Forsberg hardly hesitated at Condron's recent proposition. After all, WBDC was offering him another chance to use his development expertise at home -- which, he says, "has a lot more meaning." Not only that, but WBDC has identified what Forsberg considers crucial issues and has targeted them with a seriousness he admires. "WBDC is sincere enough to put staff and resources behind its agenda." Besides, in working for a private corporation, Forsberg's contact with the council will be minimal, at best.

It's no surprise that he chose Blais to be right-hand man either; their chemistry was so apparent at the city's development office, they were likened to Batman and Robin. And the two agree they complement each other well; Forsberg views Blais as a "strategic thinker" who excels at details, whereas Blais sees Forsberg as a "high-profile individual" whose real knack is selling projects and galvanizing support.

"Chemistry is important," Forsberg surmises. "If Craig and I were to do a presentation, we could finish each other's sentences."

Revival of the Forsberg/Blais relationship makes for a solid foundation for the WBDC team -- a foundation all three players will strengthen with their own assets. Forsberg, for one, offers a wealth of contacts outside of Worcester and, considering his close ties to Governor Paul Cellucci, whom he met back in 1979 while campaigning on behalf of former president George Bush, he will likely leverage state money to advance WBDC efforts. "He's close with the governor; he can identify and bring state resources here," Purcell says. Blais, in addition, comes to WBDC with strong connections to city officials. Finally, Condron's characteristic straightforwardness is expected to keep the group in line; Forsberg, in fact, describes Condron as "the perfect board chairman," someone who will demand accountability yet afford staff much-needed latitude.

THE SUGGESTION THAT Condron, Forsberg, and Blais could be the long-awaited answer to Worcester's development doldrums elicits a modest, gracious response in the men themselves. They might be flattered, but that's as far as they'll take it -- because they're keenly aware that the assignments ahead are too taxing for self-importance. Forsberg sums up the sentiment best, saying, "The job isn't to dream but to get results."

They reveal a similar no-nonsense attitude about WBDC's role in economic development here. The corporation, in general, aims to "fill in the holes" left by the city's agenda, they say. Though there's been considerable public investment in surrounding infrastructure, with projects like the Rte. 146 connector and the commuter rail, there hasn't been much in terms of commercial development. "There's a need for WBDC to play a proactive role in bringing jobs to Worcester," Condron explains, adding that, as a private entity, WBDC can do everything from finance companies to recruit businesses to develop property to fulfill its goal. "We will analyze our success by the number of jobs we bring."

Just how WBDC will implement its vision rests with Forsberg, who is expected to put forth definite recommendations in upcoming months. This isn't to say that he hasn't contemplated sensible starting points. Take, by example, the downtown initiative. Forsberg doesn't intend to draw lines around a specific area, he says, but he recognizes that Main Street, from Federal to Lincoln squares, has barely benefited from the megaprojects' economic spin-off. In many ways, the projects have further drained life from Main Street -- as evidenced by the current 20.3 percent office-vacancy rate, not to mention the numerous empty storefronts.

Thus, Forsberg concludes, "If the last 10 years were about buildings, the next 10 years have to be about people."

What this probably means for downtown is a concerted effort to fill up the second- and third-floor office spaces with finance, insurance, and medical-device companies, all of which have experienced some success here. Yet these "traditional" uses won't encourage activity alone, Forsberg concedes. So WBDC must think in "non-traditional" terms as well, turning toward the arts, entertainment, and housing as options. "At the heart of the mission will be business expansion and recruitment," he says. "But we'll need to look at the social and recreational uses that get people on the streets."

Ultimately, Forsberg plans -- at least, initially -- to propose what he refers to as "doable" projects for the downtown and brownfields initiatives, projects, basically, that are quick to complete and ensure early success. "We need wins," he says flatly, though he declines to get into specifics. "We need to pick a few things and just go with them."

Of course, until Forsberg drafts his recommendations, the jury's still out on the potential dream team. Even then, the group must overcome significant challenges, ranging from the imminent threat of an economic slowdown to the general perception that Worcester's "difficult" for business.

One of the biggest, it seems, is what insiders call the city's "little kingdoms," or the city administration's various economic-development agencies. There's the Office of Planning and Community Development, which, by virtue of the $5 million in federal block-grant money it allocates, has tremendous influence over the city's agenda. There's also the WRA, wielding slightly less power because, instead of money, it has a board of directors. At the top, there's the city's development office, which is supposed to provide direction to all. But getting these groups to work in tandem, insiders say, has long presented problems for City Hall.

In the words of one insider, "No one has really been able to knit together the different fiefdoms."

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What observers are wondering, in fact, is whether Forsberg, by sheer volume of his reputation, will overshadow Shaw, who has kept a rather low-profile. Because if anyone's had it tough so far, it's Shaw.

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Couple that with the escalating chaos within City Hall, most visibly fueled by Mayor Raymond Mariano's public criticism of City Manager Tom Hoover, and the city itself could represent the challenge. What observers are wondering, in fact, is whether Forsberg, by sheer volume of his reputation, will overshadow chief-development officer Shaw, who has kept a rather low-profile. Because if anyone's had it tough so far, it's Shaw. Just look at what happened when he released his Worcester Partnership for Progress Plan, they say; people laughed, councilors treated it with scorn -- only to approve it in a puzzling, unanimous vote earlier this month. Although Shaw's report is well-intentioned, serving its purpose by outlining a road map for development and by making it his duty to assure the city's agencies are in sync, he's yet to define himself as a leader. Now that the popular Forsberg's coming home, Shaw's tenure could become more tenuous.

Even Forsberg admits that his return could cause trouble. "There will be tension," he allows. "But the key is to make it creative tension." Forsberg has gone so far as to meet with Shaw and other city officials to discuss the finer points of collaboration -- a sign, he says, that WBDC will be "an active participant" with the city, not a competitor.

But if Shaw's concerned, he doesn't show it. Instead, he says he "applauds" WBDC for taking a strong stance on economic development. Which isn't startling, since the overriding theme of his plan is public-private partnerships. "Government is an excellent facilitator," he explains. "But success depends on the private sector's commitment." Now that WBDC has launched initiatives paralleling the city's priorities, Shaw sees the organization as "integral" to future success, and hopes Forsberg and Blais will sit on the soon-to-be-assembled "center city development council," a vehicle set up for downtown stakeholders to provide input.

"From what I've heard, the WBDC has expressed a commitment to work with the city and we welcome that," Shaw says.

What it finally comes down to is that Forsberg and Shaw have vested interests in succeeding in their new posts -- something hardly lost on Forsberg, who says, "I'm rooting for him and I presume he's rooting for me."

Small shop owners like Photakis are rooting for them, too, placing faith in the notion that the community, at least, has two smart, experienced professionals -- two development gurus -- tackling the desolation that continues to plague downtown. And as long as Forsberg remains in the picture, Worcester cannot help but move ahead.

"I'm not going to put all my hopes on [Forsberg]," Photakis insists. "But we got some strength back now and, for that, I feel a lot better."

Kristen Lombardi can be reached at klombardi[a]phx.com.
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