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May 3, 2024 13 mins

Unlock the blueprint of successful urban transformation with a tale of two cities: Chattanooga's remarkable metamorphosis sets the stage for Tyler, Texas, where economic vigor is on the rise. We're not just talking about any old growth here; it's the kind of boom that reshapes a city's identity and future. Tyler's civic and business leaders are back from a study mission, brimming with insights on how to replicate Chattanooga's success—from gig-speed broadband to a vibrant downtown renaissance. Our conversation with Scott Martinez, the maestro behind the Tyler Economic Development Council, reveals the secret sauce of creating a community where businesses clamor to set up shop and people yearn to call home.

Imagine a place where universities like UT Tyler and Tyler Junior College are not just educational institutions but powerhouses driving the local economy, nurturing a workforce that's ready and raring to go. Scott walks us through Tyler's strategic initiatives, focusing on leveraging local strengths over dangling financial carrots to businesses. We're talking stable tax rates, safety, and a commitment to quality public education that makes Tyler not just an economic hub but a community with heart. Join us to discover how Tyler is embracing the remote work revolution, boosting local enterprise, and laying down the digital infrastructure that's as transformative as the rural electrification of yesteryear. It's all happening right here, so tune in and witness the economic alchemy turning Tyler into a beacon of growth and opportunity.

(Show notes are automatically generated and may contain phonetic spellings and other spelling and punctuation errors. Grammar errors contained in the original recording are not typically corrected.)

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Episode Transcript

Available transcripts are automatically generated. Complete accuracy is not guaranteed.
LANDESS (00:04):
Like a general on the field of battle.
The CEO and President of theTyler Economic Development
Council is identifying, sizingup and helping capture companies
and projects for East Texas.
I'm Mike Landis For a firstquarter update and a second
quarter preview.
Ut Tyler Radio connects withScott Martinez.
Tell us about the recentreconnaissance mission to

(00:24):
Chattanooga.

MARTINEZ (00:25):
We went to Chattanooga , tennessee, a delegation of 40
civic and business leaders fromTyler.
We went to Chattanooga and wespent two days there looking at
some of the things they've doneto transform that community.
Walter Cronkite in the early70s said that Chattanooga was
the dirtiest city in America.

(00:46):
Wow, and they've transformedthemselves.
They were the first city in theWestern Hemisphere to have gig
speed broadband no kidding, yeah.
And now they're getting intoquantum networking.
So they've really been aninnovator and changed the
trajectory of that city and thatwhole region in East Texas.
Of course they've got a lot offoreign direct investment with

(01:08):
Volkswagen as well as theirmajor logistics hub.
You see a lot of transportationlogistics companies that are
very active in the Chattanoogamarket.

LANDESS (01:17):
What is it that got that place on fire, so to speak?
Leadership.

MARTINEZ (01:22):
In any community that's successful, you have
great public and private sectorleadership.
I think the catalyst projectfor their downtown development
was the Aquarium, the TennesseeAquarium, which is quite
impressive.
They created a city that theircitizens wanted to live in.
That was nice for theircommunity and then people

(01:42):
started coming.
So now there's a lot of tourismthere, a lot of outdoor
recreation, but also theirdowntown is just phenomenal and
they've got a great universitypresence there with UT,
chattanooga and ChattanoogaState Junior College.

LANDESS (01:56):
Boy I can see the definite similarities between
Tyler and Chattanooga.

MARTINEZ (02:01):
Yeah, you know they've got a branch of a larger public
university system, like we dowith UT Tyler, and a strong
community college, and I wasjust amazed at some of the
things they've done.
Our delegation came back veryenthusiastic and saw a lot of
things there that weretransferable, things that
they've done with their downtown.
Of course we've got over thenext five years we're going to

(02:22):
have close to $200 million worthof improvements to our downtown
, so we've got to make sure thatthat's done right.
We've got to make sure thatthere's ongoing maintenance and
promotion of that downtown, butdoing it in a way that's also
respectful and very considerateto other parts of our community
Because it's not just myopic todowntown Tyler.

(02:45):
As far as opportunities, we'reseeing stuff obviously in
continued growth in South Tylerwith retail and housing, but
also West Tyler.
Brookshire Grocery Company isdoing their store there and it's
well underway.
As far as the site work, jenicoGroup has cleared a pretty big
chunk of property at the other,the caddy corner to where the

(03:06):
brooksters grocery store isgoing.
And then we've seen somereinvestment in buildings on
earl campbell.
Of course, for seniors, healthcare came here several years ago
and built an 80 000 square footclass, one office building and
post-covid they decided to havetheir employees work from home,
so they didn't have the need forthis 80,000-square-foot

(03:26):
warehouse.
Fortunately, heat and Eye Carebought the facility and you'll
see a lot of traffic once Heatand Eye Care takes over that
facility Centene, very similarto Fresenius.
Post-covid, a lot of theirpeople did not return to the
office and they found there weresome efficiencies from them
working at home.
So that was followed by acompany called TechServe,

(03:48):
locally grown, probably have 700people on their payroll and I
anticipate several hundred goinginto that former Centene
building.
But what you're going to see isa lot of daytime traffic that's
going to drive retail and otheractivity in part of our
community that we haven't seenthat type of robust growth in

(04:09):
the past and see Don Warren'sphone light up saying why aren't
those traffic lights timebetter?
Well, the city just spentsubstantial money or contract to
get those things better.

LANDESS (04:20):
Right and he's done a good job with that.
I've got to say they work.

MARTINEZ (04:22):
You know, you either grow or you're Mississippi,
right?
Well, that's one way of lookingat it.
I mean, I'm from Mississippi,so I feel safe saying that.
You can say that.

LANDESS (04:29):
We spoke to Tyler Mayer , don Warren recently.
He pointed out that that groupthat went to three dozen plus
that went to Tennessee consistedof quite a few 30 and
40-somethings.

MARTINEZ (04:39):
That was by design and just came back with a lot of
energy that they want to carryforward.
We didn't want this trip to beone and done so.
Last week we had a follow-upmeeting that Tyler Junior
College hosted.

(04:59):
So we'll continue to workaround some common themes that
came from that trip.
The big thing was collaboration.
You saw the county and the cityand the educational
institutions really work welltogether, saw a lot of private
foundations there that gotinvolved to make that community
better.
The first phase of the aquariumwas funded through a private

(05:20):
foundation.
So that was not the publicsector that funded that, and
they also have a municipalelectric utility that got
involved in the broadband.
So you had that catalyst to getthe broadband up and going in
Chattanooga.

LANDESS (05:36):
Where are we with that here in our market?

MARTINEZ (05:39):
You're seeing a lot of new companies coming to the
market Vetsys, fiber I thinktheir spend is going to be about
$50 million in Tyler and ofcourse, conterra has been here
for a few years, very active.
But you're seeing more.
I look at broadband likeelectricity was in the 1930s In
rural electrification.

(06:00):
We're seeing the same thinghappen with rural broadband.
Our EPAs, our co-ops, have beenvery active in deploying fiber.
Perhaps one of the best fiberproviders in our area is the
co-ops Interesting Cherokee andsome of those folks really

(06:20):
provide great fiber.

LANDESS (06:20):
The success of the Yellowwood project is kind of a
one-two punch, isn't it?
I mean, you land a big companyand then other companies say
I'll have what they're having.

MARTINEZ (06:29):
Certainly it's proof of concept.
You know it's always moredifficult to get the first
company in a development likethat and of course there were
issues that we had to mitigategoing through that process, or
maybe not really mitigate, butthe prior use was used to test

(06:49):
munitions and provide trainingfor soldiers being deployed to
World War II Right.
So we had to make sure that wehad everything in order as far
as the studies that had beendone on that property.

LANDESS (06:59):
Like EPA type things.

MARTINEZ (07:00):
Just to make sure there wasn't any munitions or
anything like that on site.

LANDESS (07:06):
That's an ATF type thing.

MARTINEZ (07:07):
The Corps of Engineers did a phenomenal job as far as
doing grids with magnometers tomake sure there was nothing
there, and we've experienced noissues with the road
construction or the yellowwoodconstruction.
There's been absolutely zeroissues related to that prior use
.
It's probably the safest uhland to build on in smith county

(07:29):
because of all of the studiesthat have been done on that
property, but still, you knowthe first one's always, you know
, the more challenging one,because you've got to show that,
you've got to validate the siteand show that people can go
there with the intent of youknow being viable.
Well, you saw county cooperationas well, I mean, and a big
company saw that you knowthey'll build a road County was

(07:51):
tremendous through that, thenJudge Moran, now Congressman
Moran, and this continued withJudge Franklin and the
Commissioner's Court.
They've been very supportive ofdeploying American Rescue Plan
Act, arpa money for that newroadway.
That's the first new countyroad that's been built since the
1950s.

LANDESS (08:09):
No kidding, I had no idea.

MARTINEZ (08:11):
So it's over a mile long and what we're seeing is
that'll open up other propertiesfor other job creators in that
area.

LANDESS (08:18):
So, if you can tell us what you're working on,
specifics are welcome, butthey're not imperative.

MARTINEZ (08:23):
Yeah, I think you'll see announcements in the next 90
days with probably $70 millionworth of new projects in that
area.
Which area?
In our Tyler InterstateCommerce Park.
Okay, we're very close on a fewas far as announcing, so stay
tuned on that.
Stay tuned.
This project, that TylerIndustrial Commerce Park, which

(08:46):
is 412 acres.
We could have most of that soldout before the roads you know
closed, complete in the nextyear.
That's amazing Because we didmarket studies to see what that
real estate demand was.
We knew that we needed largetracts of land and having that
property be that close to theinterstate has been tremendous

(09:11):
to market.

LANDESS (09:12):
That's amazing.
Let's go back to one of theprojects you mentioned here in
Tyler.
You were talking about that.
Johnicov has cleared off a bigpiece of land.
I just happened to be drivingout that way the other day and
said my goodness, what are theygoing to build there?
Well, what are they going tobuild there?

MARTINEZ (09:26):
Well, I mean, they've got one partial under contract
and the others are receiving alot of interest in.
I don't know exactly, butyou'll see a lot of things that
may happen.
You'll see a lot of restaurants, quick-serve restaurants, that
sort of thing, and thoseshopping centers over there.
In fact we've got onerestaurateur in town today

(09:50):
that's part of a chain lookingin that area over there.

LANDESS (09:54):
Well, I'm thinking about Horace Greeley and the Go
West Young man.
We're going west here in Tyler,aren't we?

MARTINEZ (09:59):
We are.
Tyler is unlike manycommunities in the fact that it
grew south and did not growtoward the interstate.
Typically, communities willgrow toward an interstate just
because of the mobility andthings like that, but we haven't
.
Historically We've grown southand we're seeing just because of
so much growth in Tyler you'regoing to see growth everywhere

(10:20):
and you're seeing investmentsbeing made and school systems
drive a lot of residentialgrowth.
Chapel Hill passed a schoolbond last year, an enormous
school bond.
That was well overdue for thatschool district.
That was well overdue for thatschool district and I had lunch

(10:41):
last week with thesuperintendent of that school
district.
There's going to be a newmiddle school, lots of things.
And here's what's interesting.
You see, of course TylerIndependent School District has
done $447 million worth of bondsin the past 10 years.
Think about that.

LANDESS (10:57):
That's amazing.

MARTINEZ (10:57):
The county's got the courthouse about $170 million in
bonds that was approved byvoters.
Then you had road bonds thatwere approved for Smith County
roads.
So I like to tell folks thatthis is a very physically
conservative community but weinvest in things that matter.
Our public schools matter, ourjustice system here matters with

(11:18):
the new courthouse and, ofcourse, mobility with our roads
in Smith County.
But you know we take it to thevoters.
They make that decision and Ithink we take on debt in a very
prudent way, as evidenced by ourtax rate.

LANDESS (11:31):
Let me get personal with you for just a moment.
You're not from East Texas.
What, if anything would keepyou from going to a larger city
and do your magic there?

MARTINEZ (11:39):
I wouldn't call it magic.
I like the cooperative spiritin Tyler and Smith County.
It's a can-do attitude.
Of course, my job that I havehere in Tyler doesn't have a lot
of turnover.
I followed someone who was inthis role for 31 years.
Only the second person had thisrole.
So I like the leadership that Ihave and I like the structure.
We're unlike most economicdevelopment agencies.

(12:02):
We're funded primarily by theprivate sector.
So we have to be veryentrepreneurial and we have to
look at that double bottom line.
When we look at things.
We're a 501c3 nonprofit, butthat double bottom line is
number one are we meeting ourmission of job creation and
bringing capital investment intoour community?
And number two, is itfinancially responsible for our

(12:22):
organization?
Because you're not going tocome to Tyler and Smith County
for free land.
We don't have free land.
We're not going to write you acheck, but what we're going to
offer you is good governmentthat's fiscally conservative.
You're going to have a stabletax rate.
You're going to be in a safecommunity.
Public safety is we invest alot in public safety and we
invest in our public schools.

(12:42):
Public safety and publiceducation are the two things
that drive economic developmentin the community more than
anything and we do very wellthere and more and more
companies are choosing to go tocommunities where they feel they
can attract a workforce.

LANDESS (12:59):
A quality workforce and develop a workforce Right.

MARTINEZ (13:01):
Of course, with UT Tyler and Tyler Junior College
we can provide that ongoingpipeline of talent for those
companies, and for that you'vegot to have a place where people
want to live.

LANDESS (13:13):
Thanks for listening as UT Tyler Radio connects with
Scott Martinez, CEO andPresident of the Tyler Economic
Council.
For UT Tyler Radio News, I'mMike Landis.
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