Economy
Why Today's Start-Ups Are Choosing Urban Lofts Over Suburban Office Parks
Today's high tech companies are flocking to downtowns across the country.
Ever since its birth 50 years ago, venture capital-financed technology has had a suburban orientation. Suburban "nerdistans" sprouted in low-rise office parks just off highway interchanges across California’s vaunted Silicon Valley; in the suburbs that line Boston's Route 128; and in Redmond, where Microsoft is located, to name just a few.
Recent evidence, both anecdotal and quantitative, suggest a major shift is underway. Over the last two months, I have looked at the changing geography of venture capital investment. Looking at metropolitan areas, telephone area codes, and postal codes, I have compared the prevalence of start-up activity across America's urban and suburban landscapes.