A resurgence in rail travel has helped the US city to capitalise on its midpoint location between Washington and New York, says Lindsay Sutton
Post 9/11, nobody wanted to fly and few people wanted to be anywhere near the site of the Twin Towers in New York or the Pentagon near Washington DC. Yet with the American mantra of “business as usual”, decisions had to be made, life had to go on and it was Philadelphia that became a key meeting place for the business fraternity on the East Coast of the US.
Founded by the peace-loving Quaker William Penn, who named it Philadelphia after the Greek for the “city of brotherly love”, “Philly” was seen as a safe haven in the aftermath of the September 11 attacks in 2001, halfway between cashbroking New York and the political clout of Washington DC.
Amtrak’s Acela Express train, which runs up and down the Northeast Corridor, has been the saving grace for business travellers on this side of the US. Celebrating its tenth anniversary in December, the service now takes more than 60 per cent of the air-rail market between New York and DC, and nearly 40 per cent of the traffic between Boston and New York. This year, a free wifi service was introduced on board after a three-month trial saw close to a 40 per cent uptake by passengers.
Philadelphia was a major player in the US’s break from Britain in the 18th century, having been the second-biggest city in the British Empire before independence. Even though New York soon surpassed it in population, the city was the young America’s first major industrial centre and remains a major power in commerce, manufacturing, education and culture.
Today, Greater Philadelphia has a population of nearly six million people, making it the country’s fifth-largest metropolitan area. Economic sectors include manufacturing, oil refining, biotechnology, health care, financial services and tourism.
James Shannon, chief marketing officer at Select Greater Philadelphia, which “offers assistance to companies looking to relocate, expand or start-up”, says that for a long time Philly was “too well-kept a secret” as a business hub. His organisation has attracted more than 40 new companies to the area in recent years, bringing in US$500 million in investment. With 94 colleges and universities in the region, a knowledgeable workforce is available for “Eds and Meds”, with most of the world’s pharmaceutical companies having a major presence in the area.
For Shannon, the aim is to bring in permanent new business. “Dating is not for us – marriage is our goal,” he says. “From its traditional manufacturing base, the city has reinvented itself. The move has been to the service and financial sectors, alongside IT and advanced manufacturing such as helicopters and defence equipment.”
Without a doubt, the Acela Express train has played its part in the city’s reinvention. By European or Japanese bullet train standards, it is not world shattering – until straight, dedicated tracks are built, with separate rights of way from freight or slower trains, the current limit of 240 kmph will remain. Owing to restrictions, the average speed between Washington DC and New York is 128 kmph, even though the trains are said to be capable of more than 320 kmph.
But for business travellers concerned about time, the service hits the mark. The journey from New York to Philly takes about 70 minutes and from Washington just over 90 minutes. Even the near-five hours from Boston has its appeal – the coastal curves may slow it down, but it is beautiful. Business class has large, comfortable aircraft-style seats, footrests, soft lighting, laptop trays and power points. The electrified, tilting trains – made jointly by Quebec’s Bombardier and France’s GEC Alsthom – provide a smooth and quiet ride, and there are more than 100 Acela Express services each week.
In its first year of operation, the undoubted kick-start was 9/11. Business leaders from Boston and New York knew they could avoid air travel and the time-consuming hassle of airport security. Unexpectedly and quite suddenly, East Coast travellers returned in droves to the old days, letting the train take the strain. Not since the so-called “Golden Age” of American train travel had so many people turned to the rails.
David Benton, vice-president and general manager of the Rittenhouse hotel (see panel, next page), says: “The habit of using Philly as a safe, amenable meeting place stuck – and so did the habit of using the train. People had to find somewhere to meet for that crucial last quarter after September 11, and we more than filled the gap. Business people found Philadelphia to be more affordable, easier to cross and welcoming – Philly really came back then and people are still travelling here in big numbers.”
No doubt seeing the potential, a couple of entrepreneurs decided to launch tailor-made meeting facilities by the station. In 2004, Bill Decker and John New opened the Hub – a dedicated meeting centre on the mezzanine floor of the Cira Centre, a shiny 29-storey skyscraper built over the tracks of 30th Street station, where the Acela comes in.
Decker says: “We’re just 100 steps from the train and can cater for any number between two and 400. Often in hotels, meetings are an afterthought – here, they are our first thought. We are a service industry, not a ‘space’ company. We employ 30 people, we’re growing fast and we have achieved the Emerging Business of the Year award in Philadelphia.” The Hub offers a dozen rooms of varying sizes and Dali and Warhol originals in the rooms and corridors.
Decker and New had considered the Ivy League setting of Princeton University, up the rail track in New Jersey, as a location for the Hub but settled on Philadelphia partly because of the healthcare presence there. Decker says: “We started with local clients and then did promotional work in New York and DC, knowing the Acela was taking off. We continued to grow and have built a lot of expertise. The smaller meeting market is huge and often flies under the radar – meetings of 50 people are important to us. We know our markets – we don’t compete with conventions.”
Still, with its accessible midpoint location, Philadelphia has capitalised on the convention scene too. The city now claims to have the largest ballroom (5,000 sqm) on the East Coast in the Pennsylvania Convention Center, which, thanks to expansion, now offers 93,000 sqm of space, up from 58,000 sqm. The Marriott Philadelphia Downtown, which opened in 1995, is connected to the convention centre by a skywalk. By next year, it’s expected that Philly will have 10,000 hotel rooms.
Jack Ferguson, executive vice-president of the Philadelphia Convention and Visitors Bureau, says: “On the convention front, we play to our strengths. Because 40 per cent of the US population is within easy reach, 90 per cent of groups holding conventions report their biggest-ever attendances in Philly. It’s worth US$1 billion to us and we take it very seriously.”
He adds: “The city’s history makes it attractive as a destination too. Delegates can get the meeting facilities they need, plus the cultural and historical components.”
The future looks good for business as well. The sizeable logistics sector is flourishing, helped by the Port of Philadelphia and Wilmington, and the city being linked by three railways and the highways network. Select Greater Philadelphia’s Shannon says: “The refrigerated fruit business with Latin America is established and growing. We’re taking trade from New York and California because of our quick port turnarounds. Plus, most of McDonald’s beef comes in through Philadelphia.”
He adds: “We’ve also attracted a wind turbine company [to set up in] an old US Steel plant, and we now want to do a deeper dive in the area of green, alternative energy.” Always a big player in the US’s fortunes, Philly looks set to keep on coming.
WHERE TO EAT
Butcher and Singer
A high-end steakhouse that used to be a bank, located on Walnut Street near Rittenhouse Square. It has a classy atmosphere with subdued lighting, although some areas are a little too dark. Amazing fixed price lunch deals are sometimes available for about US$15 for two courses but normally you’d expect to pay at least US$70 for three courses in the evening.
– 1,550 Walnut Street; tel +1 215 7324 444; butcherandsinger.com
Nineteen
On the 19th floor of the Hyatt at the Bellevue is Nineteen, with a seafood-oriented menu, a great ambience and views to die for. Nineteen signature cocktails are served in the stylish lounge bar, which has chocolate-coloured leather booths and cushioned, high-backed chairs. The restaurant has a hand-crafted chandelier as its centrepiece. Window tables are sought after for sunset or “city by night” vistas.
– 200 South Broad Street; tel +1 215 893 123; philadelphia.bellevue.hyatt.com
City Tavern
An authentic 18th-century colonial eating house – Founding Father and future president John Adams dined here in 1774, calling it “the most genteel tavern in America”. Waitresses wear period costume and the cuisine is guided by the customs and food of the 18th century. It’s ideal for lunch, when main courses cost US$10 to US$20.
– 138 South Second Street at Walnut Street; tel +1 215 4131 443; citytavern.com
FURTHER INFO
– The Acela Express costs US$88-US$131 from New York to Philadelphia (lowest non-Acela Express price US$35). From Boston it’s US$140-US$187 (lowest price US$62).
– Bookings can be made through the Travel Bureau: thetravelbureau.co.uk; tel +44 (0)8448 156 212
– For further info on Philadelphia visit philadelphiausa.travel
WHERE TO STAY
As well as the big hotel chains such as Ritz-Carlton, Four Seasons, Westin, Hyatt and Sofitel, Philadelphia also has some good independent options.
Rittenhouse hotel
Located on the fashionable Rittenhouse Square in the heart of the city, this award-winning hotel is one of Philly’s most stylish and comfortable properties. It has 98 rooms, including 11 suites, free wifi, almost 790 sqm of banqueting and meeting space, and a well-equipped business centre. The fine Lacroix restaurant specialises in French and contemporary US cuisine.
– 210 West Rittenhouse Square; tel +1 215 5469 000; rittenhousehotel.com
Hotel Palomar
A high-end boutique establishment from Kimpton Hotel Group and located in the Center City area. It has 230 stylish guest rooms and suites, and for meetings and events there is 560 sqm of space. It’s LEED Gold Certified and has a striking, artistically appointed lobby.
– 117 South 17th Street; tel +1 215 5635 006; hotelpalomar-philadelphia.com
Loews hotel
Set in a 1930s landmark building, the Loews offers commanding views over the city. It was the first skyscraper to be built in Philly and its contemporary décor is characterful. The hotel is located in Market Street, close to major attractions and the Convention Center, and has 16 function spaces available for hire.
– 1,200 Market Street; tel +1 215 6271 200; loewshotels.com
