The News was first published in Trellis, here republished as a climate changing initiative.
A plan for a $125 million urban redevelopment project is underway to transform Portland’s oldest neighborhood into a center for sustainable footwear innovation.
Noel Kinder, the former Chief Sustainability Officer at Nike, and Eric Liedtke, previous President at Adidas, have both joined the stewardship committee for a $125 million urban redevelopment project. This project is focused on transforming the oldest neighborhood in Portland, Oregon into a center for sustainable footwear design and manufacturing innovation.
The renovation project is set to begin with a $15 million investment, with an expected completion date of late 2024. The plan is to transform 110,000 square feet into a hub for Footwear & Apparel Manufacturing Innovation (FAMI), where companies in the industry can experiment with new materials and methods to minimize their environmental footprint. The broader initiative, known as Made in Old Town, aims to revitalize nine dilapidated buildings in Chinatown, covering a total of 323,000 square feet. This redevelopment will not only focus on commercial space but will also incorporate housing options.
The revitalization project is being financed through a combination of public funding from the state and city, as well as private commercial loans.
Hilos, a new company that is utilizing 3D printing technology to minimize the number of components and adhesive used in creating shoes, is a key tenant in the building. The CEO of Hilos, Elias Stahl, is one of the three members of the steering committee, along with Liedtke and Kinder, who started in July. This project is being supported by a trust created for a lasting cause, similar to the one implemented by Patagonia for their charitable efforts.
“It’s such a great area, the buildings are so interesting, and it’s right next to downtown, but it’s always been a tough spot,” Kinder remarked. Kinder, who is a Portland native and has worked in sustainability and supply chain at Nike for over twenty years, added, “To be able to use my expertise in this industry to help drive that change was truly the cherry on top.”
A hub for shoe and fashion brand
Many shoe and outdoor clothing companies are based in the Portland area, like Adidas, Columbia Sportswear, and Nike. Allbirds also recently opened up a design center there. The Made in Old Town project is trying to bring all this talent together to work together and boost the economy in downtown Portland.
Stahl said that there are some really important decisions being made about how our city, and all cities, will be shaped in the coming century.
During the COVID-19 pandemic, it became clear that having downtown areas that are solely focused on offices and not diverse enough does not lead to a successful community. Stahl pointed out the high number of empty office spaces in the city as evidence of this. The initiative is now working on revitalizing nine buildings by equipping them with prototyping and testing equipment. These buildings will house biomechanics engineers, startups developing sustainable textiles, and other companies aiming to revolutionize the way apparel is made.
Jordan Taylor Sloan, a project director at consulting firm WSP, highlighted the potential for the industry to drive innovation by focusing resources more intentionally in Portland. Sloan mentioned that the city’s culture values eco-informed design and stewardship of the natural world, creating an environment where innovative ideas can flourish and eventually expand to other regions.
A sector looking for innovative ways to create products
In 2022, China, India, Indonesia, and Vietnam were responsible for 75 percent of global footwear production. However, production decreased in 2023 by 1.5 billion pairs, totaling 22.4 billion pairs – which is around the same amount that is thrown into landfills each year. Revenue from shoe manufacturing in the U.S. is expected to be around $1.9 billion in 2024, with New Balance standing out as one of the few major athletic shoe brands still producing roughly 4 million pairs of sneakers annually in the U.S.
The team at Made in Old Town has been getting a lot of interest from fashion brands who want to make their production practices more sustainable. Former Nike CSO Kinder mentioned that they are concentrating on brands and suppliers committed to making a positive difference, but didn’t reveal any specific names.
The project aims to examine various options, like using different materials or implementing circular economy practices, such as designing shoes that are easy to repair or reuse. Companies that are reluctant to invest in updating their supply chains for new product methods, such as bringing production back onshore, may find it appealing to share the costs and risks of testing these approaches, according to Taylor Sloan.
She suggested that bringing manufacturing innovations back to local shores, with a focus on sustainable practices, could change the current situation. Companies should consider internal carbon and waste pricing to support new projects and look into combining manufacturing and design operations in the same location.
