Ivey

Madison Marquette isn't the only commercial real estate firm capitalizing on Web 2.0 technologies. But between its online magazine, its blog and its use of social media, the Washington, DC-based retail investor is earning a reputation as one of the more aggressive players.

The company oversees a portfolio of more than 20 million sf of retail space nationwide. It manages regional malls, strip centers, upscale town centers and mixed-use lifestyle villages that combine retail, entertainment venues and restaurants and owns several retail and mixed-use properties.

However, its use of technology has been generating much of the publicity it has attracted this year. Madison Marquette has earned recognition for its "innovative approach" and ability to let customers talk to management "the way younger shoppers talk to one another," according to a sampling of published reports.

Madison Marquette's Kurt Ivey, the executive behind the expanded use of web applications, said the company just wants to create a dialogue with consumers affected by its property ownership or management. "The Internet is a powerful community relations tool because it enables developers to reach the public directly and efficiently," explains Ivey, SVP of corporate marketing and communications. "There are no media filters and no costly ad buys or direct mail campaigns required."

The dialogue can give the community a greater feeling of ownership with proposed development, reducing negative publicity. It can also enhance a developer's ability to understand the type of projects a community can support as well as the present and future demographic shifts likely to affect the project, Ivey says.

Traditionally, Ivey says, developers encounter obstacles from the community during the planning phase of new developments because of misinformation, the influence of vocal minorities and biased reporting.

• Planning board meetings and other government-sponsored events are the primary venues for direct dialogue with the community, but the infrequent nature of these opportunities can allow misinformation about the project to spread and delay or destroy community support.
• Vocal minorities gain disproportionate power over the outcome of projects because they know how to manipulate and monopolize the limited number of forums for dialogue.
• Community newspapers and media outlets can generate opposition by propagating misinformation.

Ivey describes Facebook as a way to prevent the spread of misinformation and open discussion to a larger percentage of the community. There's little to lose, he explained, because there is no cost associated with creating a Facebook page. Because it utilizes a set template, new pages can be created in minutes. Each page contains a profile graphic or what Ivey describes as "a defining photo that the community recognizes and associates with the property"; a discussion board, which allows developers to initiate conversation and solicit feedback; a "fan" function, which allows users to sign-up to receive e-mail updates from the organization; photo albums for renderings, construction photos and other images; and places for both videos and links to additional background on the project and the developer. Ivey is especially fond of the real-time discussions, because they give the developer a chance to combat misinformation before it spreads and articulate "persuasive arguments for various plans and decisions."

Another tool is Yelp, a growing social-networking site focused primarily on reviews of local businesses, including shopping centers. "The best community relations come from creating projects that respond best to consumer needs and that reflect local culture. Tools like Facebook and Yelp are simply efficient ways to reinforce these attributes, gain greater insight into local communities and demonstrate a developer's commitment to doing what is right," Ivey explains.

Early this year, Madison Marquette kicked off its expanded use of technology with a Facebook profile for the "Blue Castle", a former trolley barn in the Southeast neighborhood near the new baseball stadium. The idea was to give the community a chance to discuss possible retail uses for the 100,000-sf building, which currently housed two charter schools and a day treatment program for the developmentally disabled. Ivey says the Facebook page got more than 65 unique hits the first day.

In June, it launched two new Facebook pages--one for a project is Richwood in Southern New Jersey and another for the redevelopment of University Mall in Chapel Hill. "The response was just terrific, even better than we expected," Ivey says.

Ivey explains the University Mall page was the most successful to date, generating comments from more than 100 local residents and contributing to extensive local media coverage. A large percentage of people posting seem to be happy with the existing 366,000-sf mall, built in 1973 and renovated in 2003.

But almost everyone had suggestions for improving it, ranging from adding a theater to increasing the number of locally-owned stores, the company reports. One Facebook user suggested a local retailer that was looking for a second location. Madison Marquette followed up, and the retailer has since signed a lease for space in the mall. Plus, developers can advertise Facebook pages on the social network itself, as well as on their own blogs and in local media outlets.

In May, Madison Marquette launched PLACES Magazine, an online publication devoted to trends and best practices in retail real estate. Just recently, it expanded its mission by starting the PLACES blog. "Our goal is to provide ongoing industry commentary and analysis and update our readers on topics covered in the print edition," Ivey notes. Using social networks and new technologies is just another way to accomplish that objective.