Downtowns Revive

Despite earlier forecasts of a "doom loop" due to remote work during COVID-19, downtowns are demonstrating their durability. The urban growth notably slowed in the late 2010s for nearly all cities. The pandemic exacerbated this trend, transforming slowed growth into a significant decline for many cities. Nonetheless, data from the end of 2023 indicates a stabilization in most cities, although they are a long way from recovering their lost populations. With many tech companies mandating a return to the office, a broader shift back to pre-pandemic lifestyles, and a surge in international tourism, downtowns have a more optimistic outlook. However, they are still facing the so-called "donut effect," and the U.S. national office vacancy rate remains at about 20 percent.

Recovery paths differ among cities, each with distinct characteristics. Even with issues like crime and changing work habits making headlines, urban areas are seeing an increase in inhabitants. Chicago, for example, now has a larger downtown population than it did before the pandemic. Boston is focusing on local businesses and cultural events. While only Southern cities have returned to their pre-pandemic growth levels, many Western cities are also experiencing a rise in population. Planners can take heart that city centers aren't disappearing — they're evolving, adapting, and transforming through intentional efforts.