3rd Ward Brooklyn

3rd Ward
Private
Industry Art, Education, Coworking, Restaurants, Event Planning
Founded East Williamsburg (May 1, 2006 (2006-05-01))
Founder Jason Goodman & Jeremy Lovitt
Defunct October 9, 2013 (2013-10-09)
Revenue $3.6 million
Website www.3rdward.com

3rd Ward was an art centric business in East Williamsburg, Brooklyn. It was variously described in popular media as an artist collective,[1] contemporary art facility,[2] artist community,[3] an all-encompassing work studio and art space,[4] finishing school for the Etsy set,[5] and a creative mainstay.[6] It went out of business October 9, 2013.[7]

Founding

In 2005, Jason Goodman and Jeremy Lovitt, conceived of 3rd Ward as a continuation of the facilities and atmosphere they had had as students at the School of the Museum of Fine Arts in Boston.[8] Both were struggling artists who worked construction jobs to pay the bills and found that there was a lack of affordable resources available to artists.[9] The concept was to offer skillshare classes and multidisciplinary facilities, including gallery space, a wood and metal shop, dance studio, digital media lab, photo studio, recording studio, and office space. The business was a means of cost-effectively providing access to the creative community and facilities while allowing members the space needed to do work.[10]

To raise rent money for the 30,000 square foot space Goodman and Lovitt threw large Burning Man-style parties.[11] The partners also sold all their marketable possessions—a van, a piano, a table saw—and took as tenants a skateboarding troupe called the Silly Pink Bunnies.[12] 3rd Ward received donations and discounts on equipment and materials from many locations. To build the space, Goodman and Lovitt got most of their supplies from donations, the street, and Build it Green! NYC. The space opened May 1, 2006, at 195 Morgan Avenue in Brooklyn.[13] The founders had no business plan.[14]

History

2006–2008

The original idea to focus on being an artist facility quickly expanded to serving as an educational resource.[15] 3rd Ward offered hundreds of classes including woodworking, graphic design, fashion, and high-end sculpture in chocolate.[16] Events and parties continued to be important to the business. They hosted holiday markets,[17] pig roasts,[18] drink & draws,[19] festivals,[20] literary fairs,[21] and illegal all-night parties.[22] The business also diversified being a coworking space,[23] and serving as a gallery space hosting artists such as Dick Chicken.[24] After the first year it had 200 members and was used by promoter Todd P and high profile acts such as Japanther and TV on the Radio.[25]

In 2007, 3rd Ward partnered with underground party promoter William Etundi Jr. to form Artists Wanted.[26] Artist Wanted focused on staging popular art contests and providing free online portfolios to help artists better market themselves.[27] On the opposite end of the business spectrum, the company forged ties with manufactures such as Lie-Nielsen Toolworks[28] and Makerbot.[29] Meanwhile Goodman and Lovitt started GroundedNYC.com as an email subscription service that advertised artist studios for rent.[30] 3rd Ward was able to capitalize on this growing creative community as a means to raise its profile as a hub within a burgeoning art scene by connecting manufacturers, landlords, makers, and buyers to each other.[31] 3rd Ward became a very visible example of the DIY movement[32] and the cultural renaissance of Brooklyn.[33] There was a greater emphasis on avoiding the old models of giant parties that brought police attention and focus more on expanding the reach on the business.[34]

2009–2010

In 2009, the partners expanded 3rd Ward to 573 Metropolitan Avenue in Brooklyn as a live-work space for artists, classes, and band practice room.[35] The next year Goodman opened a restaurant in a former empty lot at the intersection of Lorimer Street and Metropolitan Avenue called "Good." It was built inside a 25 foot 1946 Spartan trailer that he found in upstate New York.[36] The restaurant delivered and had a 35-seat outdoor garden.[37] The restaurant closed after 10 months.[38] On the morning of October 15, 2010, the New York City Department of Buildings evicted the fifty tenants in the building giving them until sundown to leave due to the many safety violations.[39] Some tenants claimed Goodman and Levitt moved out a few weeks before the closure because they had notice and did not share it with the other tenants.[40] Goodman claimed the landlord made an unsolicited offer to buy out their rights due to the recent passage of the loft law and that they had no advance notice of the evictions.[41] It was around this time that Levitt was bought out leaving Goodman as CEO.[42]

2011–2012

In 2011, 3rd Ward expanded its retail offerings. It opened a store called "Shopbox" within a shipping container where customers could buy wares by text.[43] Shopbox was essentially a luxury vending machine.[44] It also expanded to Long Island City after being temporarily given space from Rockrose Development Corporation to host pool parties[45] where the pools were made from dumpsters.[46] By the end of 2012, 3rd Ward was generating $3.6 million in revenue.[47] Goodman predicted that by 2018 3rd Ward would be a household name.[48]

2013

Others attempted to follow its model in other locations or focus on different mediums.[49] Former students of 3rd Ward started their own skillshare called "Brooklyn Brainery" offering lower priced classes were just one of many new competitors.[50] There were also many new investors by the end of 2012. Joanne Wilson, wife of New York venture capitalist Fred Wilson, invested and became the director of 3rd Ward’s board. Billionaire Tony Hsieh gave several million on the promise there would open be a 3rd Ward in Las Vegas.[51] Brooklyn Borough President Marty Markowitz gave Goodman a $1.5 million grant to build a kitchen incubator.[52] Goodman was able to find a partner with Brooklyn Flea founder Jonathan Butler at 1000 Dean Street in Crown Heights for the incubator.[53] The goal was to have the space ready for October 2013.[54] 3rd Ward also opened its second outpost in South Kensington neighborhood of Philadelphia.[55] Developers had offered to give him a building—and build it out, custom-made, to his specifications—for free in order to entice the expansion.[56] The 27,000-square-foot facility featured similar coworking, events, and diverse curriculum of classes opened in April 2013.[57]

Behind the scenes there were major problems with funding so many projects and making payments to investors.[58] As a last ditch effort, the company attempted a fundraising campaign with a goal of raising $1.5 million but was only able to collect $375,000. Due to the campaign's failure none of the money was taken from the investors.[59] With little notice to its members and employees about the financial problems 3rd Ward closed abruptly on October 9, 2013.[60] None of its members received refunds.[61]

In the aftermath of the closure there were many reasons given for 3rd Ward's demise. The company was promised funds from Next Street, a Boston- and New York-based merchant bank but Next Street then reconditioned the terms to release far fewer funds and used the funds as leverage to force layoffs and increase fees.[62] Goodman himself stated the company suffered from a lack of short-term liquidity due to rapid expansion with the Philadelphia outpost and the kitchen incubator.[63] Others blame mismanagement by Goodman[64] as the reason leading to the financial difficulties.[65]

References

  1. ↑ "After Man’s Death, a Family Sues the Police for Details" New York Times January 5, 2012, Retrieved October 15, 2013 http://cityroom.blogs.nytimes.com/2012/01/05/after-mans-death-a-family-sues-the-police-for-details/
  2. ↑ "Mutant Bicycle Mechanics in Brooklyn" Wired, May 25, 2007, Retrieved October 15, 2013 http://www.wired.com/gadgetlab/2007/05/mutant_bicycle_/
  3. ↑ "The naked & the slightly drunk" New York Post, May 25, 2010, Retrieved October 15, 2013 http://nypost.com/2010/05/25/the-naked-the-slightly-drunk/
  4. ↑ "Put a Cork in It" Village Voice, December 12, 2006, Retrieved October 15, 2013 http://www.villagevoice.com/2006-12-12/nyc-life/put-a-cork-in-it/
  5. ↑ "The Make-Your-Own Schoolhouse" New York Times, April 4, 2012, Retrieved October 15, 2013 http://www.nytimes.com/2012/04/05/fashion/brooklyn-brainery-offers-popular-courses.html?pagewanted=all
  6. ↑ "Above and Beyond" The New Yorker, March 7, 2011, Retrieved October 15, 2013 http://www.newyorker.com/arts/events/above/2011/03/07/110307goab_GOAT_above
  7. ↑ "What Happened to 3rd Ward?" New York Observer, October 15, 2013, Retrieved October 15, 2013 http://observer.com/2013/10/what-happened-to-3rd-ward/
  8. ↑ "Urban Artisans: A Collective Thrives in Brooklyn", New York Times, July 2, 2010, Retrieved October 15, 2013 http://www.nytimes.com/2010/07/03/arts/design/03third.html?pagewanted=all
  9. ↑ "The Pied Piper" CITYIST, Retrieved October 15, 2013 http://www.cityist.com/features/jason-goodman/
  10. ↑ "Artists Blend Crafts at Bill-burg Studio" The Indypendent, March 20, 2007, Retrieved October 15, 2013 http://www.indypendent.org/2007/03/20/artists-blend-crafts-bill-burg-studio
  11. ↑ "The Pied Piper" CITYIST, Retrieved October 15, 2013 http://www.cityist.com/features/jason-goodman/
  12. ↑ "Business Plan? What Business Plan?" New York Magazine, August 3, 2008, Retrieved October 15, 2013 http://nymag.com/arts/art/features/48924/
  13. ↑ "Artists Blend Crafts at Bill-burg Studio" The Indypendent, March 20, 2007, Retrieved October 15, 2013 http://www.indypendent.org/2007/03/20/artists-blend-crafts-bill-burg-studio
  14. ↑ "Urban Artisans: A Collective Thrives in Brooklyn", New York Times, July 2, 2010, Retrieved October 15, 2013 http://www.nytimes.com/2010/07/03/arts/design/03third.html?pagewanted=all
  15. ↑ "Q&A: Jason Goodman, CEO, 3rd Ward" Smart Planet, January 18, 2013, Retrieved October 15, 2013 http://www.smartplanet.com/blog/pure-genius/q-a-jason-goodman-ceo-3rd-ward/9379
  16. ↑ "Brooklyn's Bushwick becomes world-class arts mecca" U-T San Diego, July 31, 2011, Retrieved October 15, 2013 http://www.utsandiego.com/news/2011/Jul/31/brooklyns-bushwick-becomes-world-class-arts-mecca/2/?#article-copy
  17. ↑ "Put down that eggnog and … pick up some eggnog!" Brooklyn Paper, December 4, 2009, Retrieved October 15, 2013 http://www.brooklynpaper.com/stories/32/48/32_48_ac_xmas_roundup_this.html
  18. ↑ "Tasty restaurant gossip" Brooklyn Paper, July 17, 2008, Retrieved October 15, 2013 http://www.brooklynpaper.com/stories/31/28/31_28_tasty_restaurant_gossip.html
  19. ↑ "9 in ‘09: What you’ll be doing, eating and seeing this year (including this French painting)" Brooklyn Paper, January 9, 2009, Retrieved October 15, 2013 http://www.brooklynpaper.com/stories/32/1/32_1_9_in_09.html
  20. ↑ "Media Circus" Artforum, July 26, 2006, Retrieved October 15, 2013 http://www.artforum.com/diary/id=11383
  21. ↑ "Studio city! Bushwick artists throw open their aeries this weekend" Brooklyn Paper, June 1, 2010, Retrieved October 15, 2013 http://www.brooklynpaper.com/stories/33/23/24_bushwickarts_2010_05_28_bk.html
  22. ↑ "Urban Artisans: A Collective Thrives in Brooklyn", New York Times, July 2, 2010, Retrieved October 15, 2013 http://www.nytimes.com/2010/07/03/arts/design/03third.html?pagewanted=all
  23. ↑ "Brooklyn Economic crisis has Brooklynites turning to communal offices" New York Daily News, December 3, 2008, Retrieved October 15, 2013 http://www.nydailynews.com/new-york/brooklyn/economic-crisis-brooklynites-turning-communal-offices-article-1.355197
  24. ↑ "A cock-and-bull story about Dick Chicken" Brooklyn Paper, October 7, 2009, Retrieved October 15, 2013 http://www.brooklynpaper.com/stories/32/40/32_40_bm_dick_chicken_revealed.html?comm=1
  25. ↑ "Industrial Design Newbies Have More Options for Cheap Workshops" Wired, April 26, 2007, Retrieved October 15, 2013 http://www.wired.com/underwire/2007/04/industrial_desi/
  26. ↑ "Business Plan? What Business Plan?" New York Magazine, August 3, 2008, Retrieved October 15, 2013 http://nymag.com/arts/art/features/48924/
  27. ↑ "Free artist portfolios! (You can finally delete your MySpace)" Brokelyn, November 2, 2011, Retrieved October 15, 2013 http://brokelyn.com/tag/artists-wanted/
  28. ↑ "Design News" New York Magazine, January 4, 2012, Retrieved October 15, 2013 http://nymag.com/homedesign/features/design-news-2012-01-04/
  29. ↑ "Brooklyn Event To Showcase ‘MakerBot’ 3D Printing Technology" WCBS-TV, May 13, 2011, Retrieved October 15, 2013 http://newyork.cbslocal.com/2011/05/13/brooklyn-event-to-showcase-makerbot-3d-printing-technology/
  30. ↑ "Business Plan? What Business Plan?" New York Magazine, August 3, 2008, Retrieved October 15, 2013 http://nymag.com/arts/art/features/48924/
  31. ↑ "Feel Free to Dabble" Columbia Daily Spectator, April 5, 2012, Retrieved October 15, 2013 http://www.columbiaspectator.com/eye/2012/04/05/feel-free-dabble
  32. ↑ "How to Make Crappy Stuff Awesome" Popular Mechanics July 27, 2009, Retrieved October 15, 2013 http://www.popularmechanics.com/home/how-to-plans/metalworking/4326032?nav=RSS20&src=syn&dom=yah_buzz&mag=pop
  33. ↑ "Closure of 3rd Ward angers Bushwick artists — and the burgeoning neighborhood" New York Daily News, October 10, 2013, Retrieved October 15, 2013 http://www.nydailynews.com/new-york/brooklyn/art-pioneer-bushwick-closes-article-1.1482281
  34. ↑ "Urban Artisans: A Collective Thrives in Brooklyn", New York Times, July 2, 2010, Retrieved October 15, 2013 http://www.nytimes.com/2010/07/03/arts/design/03third.html?pagewanted=all
  35. ↑ " 3rd Ward Co-Founder Jason Goodman Addresses Questions About the Art Space's Closure" Village Voice, October 14, 2013, Retrieved by October 15, 2013 http://blogs.villagevoice.com/runninscared/2013/10/3rd_ward_jason_goodman.php?page=2
  36. ↑ "With Goods, 3rd Ward Brings Trailer Park Dining to Williamsburg" Village Voice, May 19, 2010, Retrieved October 15, 2013 http://blogs.villagevoice.com/forkintheroad/2010/05/with_goods_3rd.php
  37. ↑ "‘Goods’ news as 3rd Ward founders get into food" Brooklyn Paper, May 25, 2010, Retrieved October 15, 2013 http://www.brooklynpaper.com/stories/33/22/24_goodscart_2010_05_28_bk.html
  38. ↑ "Lightly Used 'Burg Airstream Trailer Restaurant For Sale" Eater, April 11, 2007, Retrieved October 15, 2013 http://ny.eater.com/archives/2011/04/lightly_used_burg_airstream_trailer_restaurant_for_sale.php
  39. ↑ "Williamsburg artists evicted in crackdown on illegal building!" Brooklyn Paper, October 15, 2010, Retrieved October 15, 2013 http://www.brooklynpaper.com/stories/33/43/wb_vacateorder_2010_10_22_bk.html
  40. ↑ "Nightmare Tales From The 3rd Ward Crypt", Gothamist, October 14, 2013, Retrieved October 15, 2013 http://gothamist.com/2013/10/14/3rd_ward.php?no_redirect=true
  41. ↑ " 3rd Ward Co-Founder Jason Goodman Addresses Questions About the Art Space's Closure" Village Voice, October 14, 2013, Retrieved by October 15, 2013 http://blogs.villagevoice.com/runninscared/2013/10/3rd_ward_jason_goodman.php?page=2
  42. ↑ "What Happened to 3rd Ward?" New York Observer, October 15, 2013, Retrieved October 15, 2013 http://observer.com/2013/10/what-happened-to-3rd-ward/
  43. ↑ "Container Store" New York Times, August 26, 2011, Retrieved October 15, 2013 http://tmagazine.blogs.nytimes.com/2011/08/26/container-store/
  44. ↑ "Shipping Containers Now Being Used As Vending Machines In Brooklyn" Gothamist, August 11, 2011, Retrieved October 15, 2013 http://gothamist.com/2011/08/31/shipping_containers_now_being_used.php#photo-1
  45. ↑ "The Palms: A “Dumpster Diving” Pool Party" Brooklyn Exposed August 31, 2011, Retrieved October 15, 2013 http://www.brooklynexposed.com/index.php/articles/single/the_palms_a_dumpster_diving_pool_party/
  46. ↑ "Send In the Food Trucks" New York Times, December 22, 2011, Retrieved October 15, 2013 http://www.nytimes.com/2011/12/25/realestate/temporary-tenants-bring-life-to-stalled-construction-sites.html
  47. ↑ "3rd Ward shut down last night" Free Williamsburg, Retrieved October 15, 2013 http://freewilliamsburg.com/3rd-ward-is-shutting-down-on-friday/
  48. ↑ "Q&A: Jason Goodman, CEO, 3rd Ward" Smart Planet, January 18, 2013, Retrieved October 15, 2013 http://www.smartplanet.com/blog/pure-genius/q-a-jason-goodman-ceo-3rd-ward/9379
  49. ↑ "A Brooklyn atelier helps designers create high-quality fashion via a more transparent processes" PSFK, January 3, 2013, Retrieved October 15, 2013 http://www.psfk.com/2012/01/brooklyn-based-workshop-offers-local-designers-resources-to-create-and-manage-their-own-brands.html
  50. ↑ "The Make-Your-Own Schoolhouse" New York Times, April 4, 2012, Retrieved October 15, 2013 http://www.nytimes.com/2012/04/05/fashion/brooklyn-brainery-offers-popular-courses.html?pagewanted=all
  51. ↑ "What Happened to 3rd Ward?" New York Observer, October 15, 2013, Retrieved October 15, 2013 http://observer.com/2013/10/what-happened-to-3rd-ward/
  52. ↑ "3rd Ward gets $1.5 million to open kitchen for food start-ups" Brooklyn Paper February 2, 2012, Retrieved October 15, 2013 http://www.brooklynpaper.com/stories/35/5/dtg_3rdwardkitchen_2012_02_10_bk.html
  53. ↑ "Bushwick's 3rd Ward Brings Experimental Test Kitchen to Crown Heights" DNA Info New York, June 5, 2013, Retrieved October 15, 2013 http://www.dnainfo.com/new-york/20130605/crown-heights/bushwicks-3rd-ward-brings-experimental-test-kitchen-crown-heights
  54. ↑ "Q&A: Jason Goodman, CEO, 3rd Ward" Smart Planet, January 18, 2013, Retrieved October 15, 2013 http://www.smartplanet.com/blog/pure-genius/q-a-jason-goodman-ceo-3rd-ward/9379
  55. ↑ "Brooklyn’s 3rd Ward Is Coming to South Kensington" Philadelphia March 1, 2013, Retrieved October 15, 2013 http://www.phillymag.com/property/2013/03/01/brooklyns-3rd-ward-has-chosen-philadelphia-for-its-second-location/
  56. ↑ "What Happened to 3rd Ward?" New York Observer, October 15, 2013, Retrieved October 15, 2013 http://observer.com/2013/10/what-happened-to-3rd-ward/
  57. ↑ "3rd Ward closes Brooklyn and Philadelphia locations" Philly.com, October 11, 2013, Retrieved October 15, 2013 http://www.philly.com/philly/blogs/home_and_design/3rd-Ward-closes-Brooklyn-and-Philadelphia-locations.html
  58. ↑ " 3rd Ward Co-Founder Jason Goodman Addresses Questions About the Art Space's Closure" Village Voice, October 14, 2013, Retrieved by October 15, 2013 http://blogs.villagevoice.com/runninscared/2013/10/3rd_ward_jason_goodman.php?page=2
  59. ↑ "3rd Ward Closes: Members Organize To Save Brooklyn Studio Space" International Business Times October 9, 2013, Retrieved October 15, 2013 http://www.ibtimes.com/3rd-ward-closes-members-organize-save-brooklyn-studio-space-1419900
  60. ↑ "Nightmare Tales From The 3rd Ward Crypt", Gothamist, October 14, 2013, Retrieved October 15, 2013 http://gothamist.com/2013/10/14/3rd_ward.php?no_redirect=true
  61. ↑ "3rd Ward Members Won't Get Refunds After Abrupt Closure" DNAInfo New York, October 10, 2013, Retrieved October 15, 2013 http://www.dnainfo.com/new-york/20131010/east-williamsburg/3rd-ward-members-wont-get-refunds-after-abrupt-closure
  62. ↑ "What Happened to 3rd Ward?" New York Observer, October 15, 2013, Retrieved October 15, 2013 http://observer.com/2013/10/what-happened-to-3rd-ward/
  63. ↑ "3rd Ward, Brooklyn Art and Design Space, to Close" New York Times, October 10, 2013, Retrieved October 15, 2013 http://artsbeat.blogs.nytimes.com/2013/10/10/3rd-ward-brooklyn-art-and-design-space-to-close/
  64. ↑ "3rd Ward Shuts Down Without Warning or Refunds: Shady Founder to Blame?" Animal, October 11, 2013, Retrieved October 15, 2013 http://www.animalnewyork.com/2013/3rd-ward-shuts-down-without-warning-or-refunds-shady-founder-to-blame/
  65. ↑ "Inside 3rd Ward Owner's Sweet Waterfront Getaway In Montauk" Gothamist, October 10, 2013, Retrieved October 15, 2013 http://gothamist.com/2013/10/10/inside_3rd_ward_owners_sweet_waterf.php#photo-1
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