Adrian Ellis. Courtesy Global Cultural Districts Network
Adrian Ellis. Courtesy Global Cultural Districts Network

Adrian Ellis on why art scenes are important to civic and national identity



What makes a city's art scene vibrant? How and why are art scenes becoming so important to civic and national identity? What does a place having an "art scene" actually mean?

For Adrian Ellis, the founder of the Global Cultural Districts Network, they are both more important than ever, but also misunderstood, with governments usually thinking about capital investment in museums and institutions as a way to foster cultural development, instead of on-the-ground questions about how to nurture and attract cultural producers and consumers. "It's not about putting buildings up," he says about the topics his network addresses. "Everyone knows how to put up a building. It's about governance, the animation of public spaces, the relation between tourism and the local community, things like branding, the role of anchor institutions and their responsibility for adjacent spaces – things that actually matter."

In 2014, the British-born thinker, who had long worked in consulting on the role of culture in economic and social development, founded the Global Cultural Districts Network, a group of 45 districts that helps information-sharing among peers, puts out policy research and papers, and hosts yearly meetings as a means to discuss strategies.

Alserkal Avenue is hosting this year's summit tomorrow and Tuesday, with morning sessions for member-representatives and the afternoon sessions open to the general public.

Alserkal Avenue joined GCDN two and a half years ago, joining the likes of Adelaide Festival Centre, Adelaide City; West Kowloon Cultural District, Hong Kong; and the LAC Lugano Arte e Cultura, Lugano, Switzerland. (The network has grown rapidly, with 45 joining in the group's four-year life.)

The Dubai organisation is in many ways an exemplar of a cultural district: a site that arose organically, with commercial galleries lured by the prospect of large spaces at affordable rents, and which has developed into the Alserkal Avenue organisation, which commissions artworks, hosts residencies, and runs talks and performance programmes. Last year, they opened a multi-use "anchor" institution that offers a platform for larger exhibitions and events.

Like Dubai Design District – which is more focused on design – Alserkal Avenue follows the model of other cultural districts that recognise that having a space for public discussion, outdoor and easily accessible performance, and even undirected meandering is an important part of cultural development. Often, these districts have a greater engagement with local communities, allow for different types of cultural expression, and foster a better balance between production and consumption.

Cultural development is also big money. A study run by Ellis's consulting company, AEA Consulting, analysed cultural investment worldwide – the construction of museums, performing arts spaces and districts – and found that it reached US$8.45 billion (Dh31bn) in one year, 2016. Ellis frames cities' engagement with culture as part of a larger crisis stemming from the effects
of globalisation.

“Globalisation makes people and ideas and money whizz around the world faster and faster, and in the process, it homogenises cities,” he says. “Then the cities say: ‘How do we fight back? How can we reassert our identities?’ And they say, ‘Aha. Culture’. Then when they say culture, they say, that means buildings. So they all begin to invest in the assertion of a cultural identity.”

But, he continues, "there is a sort of collective failure of imagination at that point, because the nature of the investment is oddly re-homogenising. There are about 10 architects around the world who seem to end
up getting most of these gigs. So, the strategy of investment in culture and the strengthening of your cultural base is a really smart one. The next step in that argument is not always as smart or as well thought through."

Part of the goal of GCDN, in putting cultural districts in touch with each other and enabling knowledge-sharing among them, is to counter the effects of this homogenisation and allow better choices to be made. GCDN, Ellis says, "is about giving people the confidence to make bold choices – to have the language to talk about cultural strategies for districts, rather than just talking about buildings".

Speakers at the Alserkal Avenue GCDN include Minister of State Zaki Nusseibeh; Manuel Rabaté, director, Louvre Abu Dhabi; Nato Thompson, chief curator, Philadelphia Contemporary; and Angelita Teo, director, National Museum of Singapore. The morning sessions of the conference are closed, but the afternoon sessions will be open to the public, covering subjects such as the role of cultural districts in fostering gentrification – a frequent criticism lobbed against cultural districts, which often cater to particular social classes – and their potential to promote sustainability and equity within cities that are being rapidly changed by technology.

The conference is also one of a number of recent discussions in the UAE over the role that culture can play within national development more generally, such as CultureSummit 2018 in Abu Dhabi that also runs this week, co-organised by the Department of Culture and Tourism – Abu Dhabi and the Rothkopf Group, a US consultancy.

I asked Ellis how Dubai was faring in terms of the development of its art scene. His verdict was that: "Dubai is doing very well. There's investment, there are clusters, and they feel more organic than many others."

Volunteers offer workers a lifeline

Community volunteers have swung into action delivering food packages and toiletries to the men.

When provisions are distributed, the men line up in long queues for packets of rice, flour, sugar, salt, pulses, milk, biscuits, shaving kits, soap and telecom cards.

Volunteers from St Mary’s Catholic Church said some workers came to the church to pray for their families and ask for assistance.

Boxes packed with essential food items were distributed to workers in the Dubai Investments Park and Ras Al Khaimah camps last week. Workers at the Sonapur camp asked for Dh1,600 towards their gas bill.

“Especially in this year of tolerance we consider ourselves privileged to be able to lend a helping hand to our needy brothers in the Actco camp," Father Lennie Connully, parish priest of St Mary’s.

Workers spoke of their helplessness, seeing children’s marriages cancelled because of lack of money going home. Others told of their misery of being unable to return home when a parent died.

“More than daily food, they are worried about not sending money home for their family,” said Kusum Dutta, a volunteer who works with the Indian consulate.

Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”

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Cracks in the Wall

Ben White, Pluto Press