Opinion: Shake Shack Kinda A Big Deal For St. Louis (UPDATED)

The origins of Shake Shack were hummbl;e…a cart. From their website:

Shake Shack sprouted from a hot dog cart in Madison Square Park in Manhattan to support the Madison Square Park Conservancy’s first art installation. The cart was quite the success, with Shack fans lined up daily for three summers.

In 2004, a permanent kiosk opened in the park: Shake Shack was born. This modern day “roadside” burger stand serves up the most delicious burgers, hot dogs, frozen custard, shakes, beer, wine and more. An instant neighborhood fixture, Shake Shack welcomed people from all over the city, country and world who gathered together to enjoy fresh, simple, high-quality versions of the classics in a majestic setting. The rest, as they say, is burger history.

Founder Danny Meyer is originally from the St. Louis region. Meyer founded Shake Shack in 2004, but he was well-established in NYC by that point.

The fancy-casual flagship of Danny Meyer’s empire, opened in 1985—which led the way for a hit parade of restaurants including Gramercy Tavern, the Modern, Blue Smoke, North End Grill, Untitled, Shake Shack, and, for a time, Eleven Madison Park—closed at the end of 2015, because of an untenable rent hike, with a promise to reopen within a year. Meyer is nothing if not trustworthy. In December [2016], the U.S.C. revamp débuted in the old City Crab space, still close enough to the greenmarket to stock up on winter rutabagas and retain its farm-to-table ethos, an idea it pioneered. (The New Yorker)

Meyer has built a huge culinary empire, survived in the highly-competative casual dining marketplace. From 2015:, Compared to its peers, Shake Shack has a much higher P/E ratio than the average of 32, but because Shake Shack is growing rapidly through expansion and is still a new company, the company’s earnings may yet rise in the future to bring the P/E in line with the industry. The relatively low profit margins and return on equity might also be attributed to its rapid expansion. On the other hand, it might point to the company trying to grow too much too quickly for its own good. (Investopedia)

St. Louis now joins cities that have a Shake Shack. There’s the usual suspects like NYC, Chicago, LA, and Dallas. Ahead of us were cities like Lexington (KY), Detroit, and San Antonio. Some bigger regions don’t have a Shake Shack yet: Seattle, Portland, and Denver.

I’ve never been to a Shake Shack before, though we’ve passed by one a block West of Chicago’s Michigan Ave numerous times.

I recently told my husband we could go next year…he wants to try it this year…so we’ll brave the lines in the next few weeks. St. Louis’ Shake Shack is located at 32 N Euclid, in The Euclid building.

From the recent non-scientific Sunday Poll;

Q: Agree or disagree: Shake Shack opening in St. Louis is no big deal, we have plenty of burger & shake joints already.

• Strongly agree 6 [16.22%]
• Agree 7 [18.92%]
• Somewhat agree 8 [21.62%]
• Neither agree or disagree 4 [10.81%]
• Somewhat disagree 4 [10.81%]
• Disagree 6 [16.22%]
• Strongly disagree 1 [2.7%]
• Unsure/No Answer 1 -2.7%]

We’ll see if it lives up to the hype. I’m looking forward to trying their ‘Shroom Burger (“Crisp-fried portobello mushroom filled with melted muenster and cheddar cheeses, topped with lettuce, tomato, ShackSauce™”)

— Steve Patterson

Note: This post was updated at 7:45am on 12/6/2017 to correct location information.

Reading: The Hidden Rules of Race: Barriers to an Inclusive Economy

If you think everyone has an equal chance in our society…you’re probably white. Though I’m a white male, I realized years ago the system has long been rigged to favor those who had money & privilege. A recent book looks at the formal & informal rules put into place to maintain an unequal society.

Why do black families own less than white families? Why does school segregation persist decades after Brown v. Board of Education? Why is it harder for black adults to vote than for white adults? Will addressing economic inequality solve racial and gender inequality as well? This book answers all of these questions and more by revealing the hidden rules of race that create barriers to inclusion today. While many Americans are familiar with the histories of slavery and Jim Crow, we often don’t understand how the rules of those eras undergird today’s economy, reproducing the same racial inequities 150 years after the end of slavery and 50 years after the banning of Jim Crow segregation laws. This book shows how the fight for racial equity has been one of progress and retrenchment, a constant push and pull for inclusion over exclusion. By understanding how our economic and racial rules work together, we can write better rules to finally address inequality in America. (Cambridge University Press)

Here’s a look at the chapters in the book:

1. American Politics and Economic Outcomes for African Americans
2. Stratification Economics
3. Creating Structural Changes
4. The Racial Rules of Wealth
5. The Racial Rules of Income
6. The Racial Rules of Education
7. The Racial Rules of Criminal Justice
8. The Racial Rules of Health
9. The Racial Rules of Democratic Participation
10. What Will It Take to Rewrite the Hidden Rules of Race?

I like that the authors suggest ways to change the rules to level the field, showing us how to get to an inclusive economy. Amazon has a preview of the first pages, it can also be ordered through Left Bank Books.

— Steve Patterson

Sunday Poll: Is Shake Shack A Big Deal For St. Louis?

The first Shake Shack opened in 2004, becoming a huge worldwide hit in the years since. A week from tomorrow St. Louis will join the long list pf cities with a location.

Shake Shack, the immensely popular burger-’n’-shake restaurant chain, has locations in Moscow, Tokyo, Dubai and more.

On Dec. 11, it is coming home to St. Louis.

The chain’s founder, Danny Meyer, grew up in St. Louis (John Burroughs School) before moving to New York to open the iconic Union Square Café and later to take over the Michelin-starred Gramercy Tavern. (Post-Dispatch)

There has been a lot of hype about the opening.  Today’s non-scientific poll seeks to find out what readers think.

This poll will close at 8pm tonight.

— Steve Patterson

St. Louis Board of Aldermen Week 25 of 2017-2018 Session

The St. Louis Board of Aldermen will meet at 10am today, their 25th week of the 2017-2018 session. The 3rd item on the agendas is “Swearing In Alderwoman Elect Elicia “Lisa” Middlebrook. ” Middlebrook won a 3-way race held last month to serve out the unfinished term of 2nd ward Alderman Dionne Flowers, who was appointed Registrar.

In other news, longtime 8th Ward Alderman Stephen Conway, appointed Assessor by Mayor Krewson,  resigned on Monday, a special election will be held February 13, 2018 — see press release.

FOUR (4) NEW BOARD BILLS ON THE AGENDA* FOR INTRODUCTION TODAY 12/1/17:

*Note that just because a bill is on the agenda doesn’t mean it’ll be introduced, similarly, bills not on the agenda might be introduced if they suspend the rules to do so. This information is based on the published agenda as of yesterday @ 8am:

• B.B.#203 – J. Boyd –An Ordinance, recommended by the Board of Public Service of the City, establishing multiple public works and improvement projects within the City of St. Louis (the “Projects”).
• B.B.#204 – Williamson –An ordinance approving a Redevelopment Plan for 1020 Union/5251 Cates.
• B.B.#205 – Moore –An ordinance approving a Redevelopment Plan for 2400-22 N. Sarah and 4056-58 St. Ferdinand.
• B.B.#206 – Kennedy –An ordinance approving a Redevelopment Plan for 5122-24 Kensington.

The meeting begins at 10am, past meetings and a live broadcast can be watched online here. See list of all board bills for the 2017-2018 session.

— Steve Patterson

Opinion: Generations of Shortsighted Decisions Continues To Dog St. Louis Region. Will Likely Continue

Many of our current problems in the St. Louis region can be traced back to decisions made long before any of us were born. The Post-Dispatch’s example of two women who own the same type of 2014 Cadillac the personal property tax on one was $895. the other $436. Why? Where each happens to live in St. Louis County.  You might think the higher bill is in a fancier area than the lower bill — but the opposite is the case!

The total amount of real estate taxes assessed in St. Louis County has increased 18 percent since 2010, to $1.75 billion. By comparison, during that time the total amount of personal property taxes grew by 21 percent, to $280 million.

The personal property tax has steadily become a major revenue generator for municipalities and fire districts. Municipalities have increased their personal property tax revenue by 27 percent since 2010, to $9.1 million. And fire districts across St. Louis County have increased the amount they collect from personal property by 30 percent, to $31.8 million.

Johnson’s tax bill is more than double O’Neal’s in part because the school and fire districts and municipality where Johnson lives are strapped for cash. She sees a Caddy parked in her driveway; her leaders see a way to pay for teachers, cops and firefighters.

Even O’Neal doesn’t think that’s fair. She knows that sales taxes from the West County Mall help subsidize services for her area. (Post-Dispatch)

You’re probably asking what old decision is responsible for this current situation, right?  The answer is the 1876 divorce of the City of St. Louis from St. Louis County.

On August 22, 1876, in what was undoubtedly the stupidest move ever in the history of St. Louis, St. Louis City and St. Louis County decided to separate. Like the American Revolution, the great event was prompted by taxes — the 310,000 city residents didn’t feel like wasting money on the 27,000 county residents and reasoned that the city wouldn’t expand much further west than Grand Boulevard. (The boundary was eventually set at Skinker Boulevard so the city could claim Forest Park.)

Ah, short-sightedness! Thy name is St. Louis voters! Within 25 years, the city found itself pushing against its western border at Skinker and began to regret the decision to divorce itself from the county. (Riverfront Times)

As the land-locked City of St. Louis struggled as population and tax base fled to St. Louis County many County residents/leaders smugly thought something like “That’s the City for you!’ Now St. Louis County is going through the very same thing the city did in the last century — middle class fleeing certain areas with jobs, retail, etc following behind. In their place are lowered hime values, more crime, and an increased in concentrated poverty.

Had St. Louis not selfishly left St. Louis County it would have been able to annex smaller towns/villages as it grew. The city limits today would likely be out to at least the I-270 loop — North, West, and South. There would be a few municipalities that resisted annexation, but they’d be completely surrounded by the City of St. Louis. The majority of the region’s residents would live in the City of St. Louis. They’d all be covered by the city’s fire department and live within a few school districts. We wouldn’t have the disparity of taxes we do now.

Of course, this isn’t to say we’d be problem-free. We wouldn’t be. And thinking about this hypothetical scenario doesn’t change current reality. We’re one of the most fragmented regions in the country — a very high number of units of government — all with taxing ability.  Today many are as shortsighted as those in 1876 — their little corner of St. Louis County (or elsewhere in the region) is comfortable so this isn’t their problem. This is the “do nothing” approach to problem solving.

OK, let’s examine that option. Residents of North St. Louis County who cam afford housing elsewhere vote with their feet and leave — as many have been doing for years. Housing values drop so more poor move to North County, but in fewer numbers than those who left. Small municipalities continue to struggle — some raise taxes, others disincorporate themselves. Employers leave. Crime worsens. Income and other inequalities in the region get worse.

As I see it, the only answer is to reduce the units of government in the region. Sadly, many just accept the status quo as a given. From the recent non-scientific Sunday Poll:

Q: Agree or disagree: Lower-income areas of St. Louis County require more services (police. EMS. etc) so it makes sense those residents pay more pers. property tax

• Strongly agree 5 [18.52%]
• Agree 4 [14.81%]
• Somewhat agree 1 [3.7%]
• Neither agree or disagree 2 [7.41%]
• Somewhat disagree 3 [11.11%]
• Disagree 5 [18.52%]
• Strongly disagree 7 [25.93%]
• Unsure/No Answer 0 [0%]

As is often the case, the selfish shortsighted mentality will likely prevail. Please prove me wrong.

— Steve Patterson