The Urban Institute finds that Invest Newark programs provide essential benefits for the city of Newark, New Jersey, including boosting the local economy, supporting a more robust infrastructure, and improving small business growth.

Urban’s researchers have found that by propelling key community programming, Invest Newark, the city’s economic development corporation, has created opportunities for Newark residents to thrive. Despite Newark being New Jersey’s largest city, its financial base began to wane in the postwar period, mostly because of transportation shifts and an exodus of white and upper-income homeowners. Urban’s analysis reviews elements that could stall the ongoing recovery efforts of Newark’s development and finds that Invest Newark’s programs, though small, had a positive impact on the city’s economy and labor market.

Key takeaways from Invest Newark programs

• Generated a total economic effect of $178.3 million, increasing gross domestic product growth from 34.42 percent to 37.61 percent.
• Created 982 jobs, decreasing the 2022 unemployment rate from 10.83 percent to 10.09 percent.
• Provided 36,636 high-speed internet connection setups for the city’s residents, businesses, and public buildings.
• Provided 35 residential and commercial developments for the city’s first-time homebuyers and low- and moderate-income families through the land bank program.
• Provided educational courses in business finance and principles to 1,285 small business owners.
• Provided $7.9 million in grants and loans to 29 small businesses and projects promoting workforce development and economic growth through the grants and lending program.

Although more rigorous modeling is needed, this new report is a starting point for conversations on how to contribute to the city substantially and sustainably. Additionally, it serves as a template for conducting cost-benefit analyses on community development programs around the country.