1. Boardwalk Project Moves Forward February 12, 2006 By: Tom Thelen Lansing State Journal

2. Boardwalk Project Portland Michigan’s “Boardwalk Project” earned the city a Cool Cities grant in June of 2004 Portland Michigan’s “Boardwalk Project” earned the city a Cool Cities grant in June of 2004 This project will put a boardwalk along a major street, Kent Street, in Portland, connecting bars, businesses, and restaurants by the boardwalk This project will put a boardwalk along a major street, Kent Street, in Portland, connecting bars, businesses, and restaurants by the boardwalk There will also be room along the boardwalk for new development, and the city will begin accepting bids for such development in the near future There will also be room along the boardwalk for new development, and the city will begin accepting bids for such development in the near future

3. Externalities Associated with Boardwalk Rent/Sq. Feet Sq. Feet P1 Q1 S1 D1 D2 S2 P2 Q2 S1 and D1: Initial Supply and Demand of Office/Building Space along Kent Street, before the Boardwalk is built. P1 and Q1: Initial Equilibrium Price and Quantity of Office/Building Space along Kent Street, before the Boardwalk is built D2: When the Boardwalk is built, externalities of locating along the boardwalk drive Demand out to D2 S2: More office space is eventually supplied to meet this increase in demand, Driving supply out to S2