The Fonz: "Happy Days Are Here Again in Kenosha!"

Goodbye gray sky, hello blue

'Cause nothing can hold me when I hold you

Feels so right, can't be wrong

A-rockin' and rollin' all week long

?~ a verse from the Happy Days theme song

As I attract more investor interest to my "corner office" between Chicago and Milwaukee, I've received many requests for the economic and demographic digital resources I've mentioned. They'll be waiting toward the end… after you enjoy this week's story.

At the moment, I can't keep track if people are more excited about Microsoft planting high-tech roots or Haribo making Gold Bears Gummy goodness here.?

I'm sure it's tied at this point, especially when you consider that families could do a weekend trip to combine a full day at our magical Bristol Renaissance Faire AND a tour of the new German yummy battleship -- since they are only Wisconsin "inches" away from each other, and served by several fine hotels.

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Ayyy!

If you are enjoying these weekly dives into my "corner office," created by the borders of Illinois and Lake Michigan, please share with anyone interested in multifamily real estate, industrial development, or the future of human-driven technologies like AI.

Did I mention I'm trying to get a great steakhouse and a craft brewer with a burger pub to build a mile from my farm on the expressway between Kenosha and Lake Geneva?

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Something Else Magical Is Coming from the Ashes?

This week's edition not only includes the aforementioned econ-demo research links and data, but I've uncovered a completely new powerhouse development-revitalization... that we were waiting for so very long to hear about in the heart of Kenosha.

That 107-acre "heart" was the site of the old AMC-Chrysler auto plant that sustainably built over 300,000 cars per year at its peak production capacity. The factory was first opened for auto manufacture in 1902 by the Thomas B. Jeffery Company and was later operated by American Motors Corporation (AMC) in 1954.

Who remembers the "handsome" AMC Pacer of the 1970s that we called the "bubble car?"

AMC was acquired by Chrysler in 1987 and the Kenosha Engine Plant, as it came to be known, produced the 2.7-liter V-6 engine used for the Chrysler 300 and Sebring as well as the Dodge Avenger, Charger and Journey. Starting in 2003, the plant also built the 3.5-liter, V-6 engine as those Dodge vehicles caught fire with new "mini-muscle" car lovers.

The Heydays of Drag-Racing and Drive-Ins

When I grew up in northern Illinois, real "muscle cars" were actually roaming the streets. Mustangs, Camaros, GTOs, Chevelles, Chargers, Challengers, Cutlass 442s, Corvettes, and Roadrunners rumbled and spun their tires everywhere it seemed. Even AMC got in the game. From TopSpeed.com...?

"AMC (American Motors Company) is one of those carmakers that many people have long forgotten about, even those who like to collect and restore classic cars. The company produced a few great muscle cars, such as the Rambler Rebel and the AMC Javelin AMX, that came race-ready straight from the factory."

And something called a Plymouth Barracuda sat in our driveway. It belonged to my big brother Randy. And it was loud. I think it had one of the bigger, more-powerful engines they made for it, the 440 cubic-inch Hemi (all gearheads are welcome to educate me). At an early age, I learned the nickname "Mopar" for Chrysler, Plymouth, and Dodge cars, as it was their manufacturing brand stamp out of Detroit.

But I was never allowed to go with him, or my neighbor friends with their Chevelles, when they went to drag race in Union Grove, Wisconsin, just a few miles northwest of Kenosha. Sadly, I could only watch Happy Days on TV and imagine what it was like.?

Established in 1955, the Legendary Great Lakes Dragaway has been the destination for car enthusiasts for 69 years. The oldest continuously operating dragstrip in the United States is open more dates than any other "fast & furious" venue.

The Fonz Woulda Hung Out Here

Kenosha also has one of the oldest burger drive-ins in the country, The Spot, which opened on July 4, 1945. What a birthday to have for a 79-yo business. From their website...

It wasn’t the easiest time to open a restaurant. World War II was still on and supplies, including meat for hamburgers, were in short supply. For Harold and Janet DuBois, shortages were not going to stop them from following their passion.

Quoted in a 1988 Kenosha News article, Harold simply stated, “I always wanted a drive-in.” Thankfully for generations of patrons, their hard work and determination turned The Spot into a local dining landmark.

The 1970s sitcom I grew up with and adored, Happy Days, was based in Milwaukee. Richie Cunningham (Ron Howard) and Arthur Fonzarelli (Henry Winkler) were weekly rascals of girl-chasing, laughs, and relative decency on Tuesday nights... or was it Wednesday?

According to the Britannica entry about their idyllic 1950s and 1960s life, "the boys fraternized with the crowd at Arnold’s Malt Shop, where they sipped floats, dumped dimes into the jukebox, fretted about girls, and lamented the minor misunderstandings they had with their parents."

As fun coincidence would have it, not only was genius actor Al Molinaro (who played Al Delvecchio, the proprietor of Arnold's Malt Shop) actually from Kenosha, but the “Laverne & Shirley” spinoff of the show also frequently mentions Kenosha appearances!

Would You Launch Your Dream Business on April 1st?

I would be remiss not to mention one of our favorite specialty grocers, Tenuta's Deli, with such a sizable Italian immigrant population in Kenosha. John Tenuta left Italy in 1920 to seek his fortune in America. His dream to launch his own business was realized when Tenuta's Delicatessen opened its doors on April 1st, 1950, just blocks from the auto plant.?

Clearly, the patriarch John was not fooling anyone. He stuck to his vision and Tenuta's is still a family-run business which started as a small corner store and has been passed down through four generations. And when you go there, you feel like you're stepping back in time. No foolin'.

You can probably tell... I'm trying to stay positive here and not lament how boring the 1970s felt to a suburban Illinois kid imagining all the fun teenagers had in the 50s and 60s. But c'mon... they had sock-hops, muscle cars, and MoTown... and then the Beatles, Zeppelin, and Woodstock!

America Gets Throttled in Car Making

The era of muscle cars was heartlessly destroyed in the mid 1970s when a pair of black swans overwhelmed the US auto industry: the Arab oil embargo which made us wait in line for precious gasoline to run our "guzzlers" and the rise of Japanese supremacy in making cars that could get more than 25 miles to the gallon.

Detroit automakers had to learn how to copy that efficiency, and it wasn't pretty. Smaller engines, lighter body styles, and plenty of pretend quality, cut corners, and plastic all around the interiors. I'll never forget when our family downsized to the Ford Pinto Wagon. And then, in every way possible, the 1975 Mustang Ghia was an insult to the original legend. Imagine riding in one of those on the 500-mile summer trip up to Minnesota to see relatives.

Prior to the AMC takeover, Chrysler was near bankruptcy in the late 70s. According to Wikipedia "This was partially due to recalls of its Dodge Aspen and Plymouth Volare, both of which, Lee Iacocca later said, were among the causes for Chrysler's woes and customer dissatisfaction."

It was also an exciting time when "auto-icon" Iacocca, developer of the Ford Mustang, fought with the US government to bail-out Chrysler in 1979 and then made big turnaround bets. Over 350,000 jobs were on the line immediately, with more potential dominos throughout an economy already in recession.?

Chrysler borrowed $1.2 billion in government-guaranteed bank loans, and they repaid America years earlier than scheduled. The standout result was... the "exciting" K-car. But you could say he invented "too big to fail" and did it the right way, not like Wall Street's hit-and-run bank robberies.

It's also fair to say that Iacocca's bold moves to save Chrysler paved the way for many more exciting cars and automotive careers decades later, including an alliance with Daimler and Americana gems like the new Dodge Challenger and Chrysler 300.

“So what do we do? Anything. Something. So long as we just don’t just sit there. If we screw it up, start over. Try something else. If we wait until we’ve satisfied all the uncertainties, it may be too late.”

~ Lee Iacocca (1924-2019)

The Death of Kenosha Manufacturing?

At one time, 14,000 employees worked for AMC in Kenosha. As Chrysler took over, that number dwindled to about 500, and sadly all operations were halted and permanently closed in 2010. The factory was demolished in 2013.

As I close the story of AMC-Chrysler in Kenosha, let me make clear that manufacturing... is very alive and very well here. I'll be sharing stories and insights on several big and new operators in coming editions, but one veteran stands out for me personally.

The best tools in the world, according to many aircraft and auto mechanics I know, come from Snap-on, which was founded in Milwaukee in 1920 and moved to Kenosha in 1930. With 85,000+ SKUs and over 4,000 patents, Snap-on has paid consecutive quarterly cash dividends without interruption or reduction since 1939.?

And I still own a set of red-handled pliers and channel locks that I bought in the early 1980s from the Snap-on dealer who visited the local airport I worked at in Crystal Lake, Illinois. I swear, these things cannot be destroyed.

You know what else can't be destroyed? Human ingenuity and creative collaboration.

You can imagine how that AMC-Chrysler factory and its ancillary business supporters -- from parts and machinery suppliers to restaurants and retail shops -- sustained thousands of jobs for the heart of Kenosha for a century. It built a stable middle class in a 10-mile radius.

Like the story of many industrial cities across America, when the plant closes and the jobs go away, once vibrant neighborhoods slowly slip into decline as unemployed bread-winners search desperately for alternative means.

But while that 107-acre plot of land sat vacant and neighborhoods deteriorated around it for multiple decades, it was just a matter of time before state and county visionaries put long-term plans in place to bring it back to life.

The Re-Birth: Kenosha Innovation Neighborhood (KIN)

From the KIN-Kenosha website...

The KIN is a collaborative, mixed-use project that is defining and delivering a regional destination with sustainable, innovation-focused office, medical, educational, commercial, residential and recreational space that meets the unique needs of neighbors, the broader Kenosha community, visitors and end-users.

After years of vision casting and planning, and a significant remediation effort, 107 acres of vacant land in the heart of the City of Kenosha is primed for the KIN: a place and an initiative marked by its commitment to economic empowerment, community engagement and cultural diversity. The KIN supports innovation in and through its surrounding neighborhoods to foster resiliency and sustainability.

Btw, that furthest east neighborhood by the lake, the Central Business District, is the site of a $450 million mixed-use development called Downtown Vision that also broke ground this summer. A five-story apartment building with 158 units is expected to be completed in early 2026 and the plan includes an eight-block redevelopment with plenty of retail.?

When I drove through the area this past spring I was highly inspired by the new construction already in progress around the perimeters. It seems other savvy investors were paying attention already.?

While even all my local friends and professionals still lament the loss of vital real estate and neighborhoods close to Lake Michigan as "lost" to the past of factories that died in the 20th century, I keep trying to tell them what's happening now with vision and investment:

"Lake Michigan is our home... and our prized landmark, eternal natural resource, and earthly guide for excellence. Here, we can rebuild better than the Northshore of Chicago!"

The more conversations I have, the more I see how many citizens and investors are understanding this as we revitalize. To include everyone already here who wants to raise their children and grandchildren in an innovation and education powerhouse... this inclusion of local families and workers can create a neighborhood incubator on steroids. It is emerging.

At the Kenosha Innovation Neighborhood (KIN) ground-breaking in February, Kenosha Mayor John Antaramian said this:

“Today marks a pivotal milestone as we celebrate the start of construction for the Kenosha Innovation Center. We know that innovation is a key driver of economic growth and competitiveness, and communities that embrace innovation become more attractive to growing businesses and entrepreneurs. I am encouraged by the momentum this facility will continue to advance for our city.”

If you go to this link for KIN-Kenosha, not only can you learn a lot more, and see up-to-date construction photos, but that homepage is very brief and right at the bottom is a big button where you can see the exciting 50-page design plan created by Madison architectural firm SmithGroup.?

"These Days Are Ours... Happy and Free"

I always thought those were the lyrics to the Happy Days song. But I’m okay to be wrong. This sounds just as good…

“These happy days are yours and mine.” (maybe "happy and free" was a sub-verse I heard lol, or maybe it was "spend them with me" -- just as good!)

One of the biggest reasons I'm excited about this Kenosha Innovation Neighborhood development is that it speaks right to my youth STEM education heart. If you've looked at my links in prior editions, you understand.

As I told some investors recently in one of my real estate mastermind groups, "I'm not buying commercial properties just to build wealth and improve my community. I'm doing it to feed my larger mission: INSPIRE ONE MILLION TEENS TO DISCOVER THEIR PASSION FOR SCIENCE."

And my youth aviation project was originally conceived to help kids in Kenosha learn to fly who are severely less-advantaged than I was -- whether because of poverty, minority status, or other access hurdles.?

The Fonz may have "jumped the shark" a few decades ago, but inspiring youth to find their STEM wings will never go out of style for me. To that end, here is the major resource I want all real estate and development investors to have easy access to for their own due diligence...

Kenosha Area Business Alliance

There you'll find dozens of research studies and PDFs on the economics and demographics of Kenosha and beyond.

Finally, I have a question from a Milwaukee manufacturer who wants to know...

"How did the names of two friends become synonymous with motorcycles all over the world?"

Read this and you'll hear how it almost sounds like my essays on the Wright brothers inventing aviation...

The Initial Spark: How Did Harley-Davidson Start?

In the 1890s, two young men became fast friends. They shared an interest in mechanics and design, but they could have had no idea where their shared interests would take them.

And THAT is always the message of human ingenuity and collaboration. Yes, we invent new problems all the time with every technological and scientific discovery.

But we also keep advancing and figuring all of it out, whether it's solar, electric, or nuclear (and still keeping some internal combustion "muscle" for fun).?

Bottom line: INNOVATION JUMPS ALL SHARKS.

Long Live Innovation!

In closing, I can't decide what my topic is going to be next Sunday: the housing shortage or the manufacturing boom in my "corner office." Give me your vote in the comments to help me decide.

And if you're a real estate investor or developer interested in a private conversation about the development opportunities in the Kenosha-Racine MSA, just DM me and we can talk about more research and possibilities.?

Cooker