3rd Ward Brooklyn
{{Infobox company
| name = 3rd Ward
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| type = Private
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| industry = Art, Education, Coworking, Restaurants, Event Planning
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| foundation = East Williamsburg ({{Start date|2006|05|01}})
| founder = Jason Goodman & Jeremy Lovitt
| defunct = {{End date|2013|10|09}}
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| revenue = $3.6 million
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| homepage = {{URL|https://www.3rdward.com/}}
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3rd Ward was an art centric business in East Williamsburg, Brooklyn. It was variously described in the media as an artist collective or community,{{Cite news|url=http://cityroom.blogs.nytimes.com/2012/01/05/after-mans-death-a-family-sues-the-police-for-details/|title=After Man's Death, a Family Sues the Police for Details|last=Eligon|first=John|work=City Room|access-date=2017-05-09|language=en}}{{Cite web|url=https://nypost.com/2010/05/25/the-naked-the-slightly-drunk/|title=The naked & the slightly drunk|last=Kaplan|first=Don|date=2010-05-25|website=New York Post|access-date=2017-05-09}} a contemporary art facility,{{Cite news|url=https://www.wired.com/gadgetlab/2007/05/mutant_bicycle_/|title=Mutant Bicycle Mechanics in Brooklyn|last=Sorrel|first=Charlie|date=May 25, 2007|work=WIRED|access-date=2017-05-09|language=en-US}} an all-encompassing work studio and art space,{{Cite news|url=http://www.villagevoice.com/2006-12-12/nyc-life/put-a-cork-in-it/|title=Put a Cork in It|last=Romano|first=Tricia|date=2006-12-12|work=Village Voice|access-date=2017-05-09|url-status=dead|archive-url=https://web.archive.org/web/20131019111214/http://www.villagevoice.com/2006-12-12/nyc-life/put-a-cork-in-it/|archive-date=2013-10-19}} a finishing school for the Etsy set,{{Cite news|url=https://www.nytimes.com/2012/04/05/fashion/brooklyn-brainery-offers-popular-courses.html|title=Brooklyn Brainery Offers Popular Courses|last=Stein|first=Joshua David|date=2012-04-04|work=The New York Times|access-date=2017-05-09|issn=0362-4331}} and a creative mainstay.{{Cite magazine|url=http://www.newyorker.com:80/arts/events/above/2011/03/07/110307goab_GOAT_above |title=Above and Beyond |date=2011-03-07 |magazine=The New Yorker |archive-url=https://web.archive.org/web/20110301225704/http://www.newyorker.com/arts/events/above/2011/03/07/110307goab_GOAT_above |archive-date=2011-03-01 |url-status=dead |access-date=2017-05-09 }} It went out of business October 9, 2013.{{Cite news|url=http://observer.com/2013/10/what-happened-to-3rd-ward/|title=What Happened to 3rd Ward?|date=2013-10-15|work=New York Observer|access-date=2017-05-09|language=en-US}}{{Cite news|url=http://gothamist.com/2013/10/14/3rd_ward.php?no_redirect=true|archive-url=https://archive.today/20131018040057/http://gothamist.com/2013/10/14/3rd_ward.php?no_redirect=true|url-status=dead|archive-date=October 18, 2013|title=Nightmare Tales From The 3rd Ward Crypt|date=October 14, 2013|work=Gothamist|access-date=2017-05-09|language=en-US}}
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.{{Cite news|url=https://www.nytimes.com/2010/07/03/arts/design/03third.html|title=The Arts Collective 3rd Ward Thrives in Bushwick, Brooklyn|last=Ryzik|first=Melena|date=2010-07-02|work=The New York Times|access-date=2017-05-09|issn=0362-4331}} 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.{{Cite web|url=http://www.cityist.com/features/jason-goodman/|title=The Pied Piper|last=Sheppard|first=Alyson|website=Cityist|archive-url=https://web.archive.org/web/20110113213606/http://www.cityist.com/features/jason-goodman/|archive-date=2011-01-13|url-status=dead|access-date=2017-05-09}} 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.{{Cite web|url=http://www.indypendent.org/2007/03/20/artists-blend-crafts-bill-burg-studio|title=Artists Blend Crafts at Bill-burg Studio|date=March 20, 2007|website=The Indypendent|archive-url=https://web.archive.org/web/20120321234624/http://www.indypendent.org/2007/03/20/artists-blend-crafts-bill-burg-studio|archive-date=2012-03-21|url-status=live|access-date=2017-05-09}}
To raise rent money for the 30,000 square foot space Goodman and Lovitt threw large Burning Man-style parties. 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.{{Cite web|url=http://nymag.com/arts/art/features/48924/|title=Business Plan? What Business Plan?|date=2008-08-03|website=New York Magazine|access-date=2017-05-09}} 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. The founders had no business plan.
History
= 2006–2008 =
The original idea to focus on being an artist facility quickly expanded to serving as an educational resource.{{cite web|title=Q&A: Jason Goodman, CEO, 3rd Ward|work=Smart Planet|date=January 18, 2013|access-date=May 10, 2017|url=http://www.smartplanet.com/blog/pure-genius/q-a-jason-goodman-ceo-3rd-ward/9379|archive-url=https://web.archive.org/web/20130212100022/http://www.smartplanet.com/blog/pure-genius/q-a-jason-goodman-ceo-3rd-ward/9379|archive-date=2013-02-12|url-status=dead}} 3rd Ward offered hundreds of classes including woodworking, graphic design, fashion, and high-end sculpture in chocolate.{{Cite web|url=http://www.sandiegouniontribune.com/sdut-brooklyns-bushwick-becomes-world-class-arts-mecca-2011jul31-story.html |title=Brooklyn's Bushwick becomes world-class arts mecca |last=Dobnick |first=Verena |date=2011-07-31|website=The San Diego Union Tribune }} Events and parties continued to be important to the business. They hosted holiday markets,{{Cite news|url=http://www.brooklynpaper.com/stories/32/48/32_48_ac_xmas_roundup_this.html|title=Put down that eggnog and … pick up some eggnog!|last=Campbell|first=Andy|date=December 24, 2009|work=The Brooklyn Paper|access-date=2017-05-10|language=en}} pig roasts,{{cite web|url=http://www.brooklynpaper.com/stories/31/28/31_28_tasty_restaurant_gossip.html|title=Tasty restaurant gossip|last1=Rathe|first1=Adam|last2=Ray|first2=Kate|date=2008-07-17|website=The Brooklyn Paper|access-date=2017-05-10}} drink & draws,{{Cite news|url=http://www.brooklynpaper.com/stories/32/1/32_1_9_in_09.html|title=9 in '09: What you'll be doing, eating and seeing this year (including this French painting)|date=January 9, 2009|work=The Brooklyn Paper|access-date=2017-05-10|language=en}} festivals,{{Cite news|url=http://www.artforum.com/diary/id=11383|title=Media Circus|last=Sholis|first=Brian|date=2006-07-26|work=Artforum|access-date=2017-05-10|language=en-US}} literary fairs,{{cite web|url=http://www.brooklynpaper.com/stories/33/23/24_bushwickarts_2010_05_28_bk.html|title=Studio city! Bushwick artists throw open their aeries this weekend|last=Short|first=Aaron|date=2010-06-01|website=The Brooklyn Paper|access-date=2017-05-10}} and illegal all-night parties. The business also diversified being a coworking space,{{cite web|url=http://www.nydailynews.com/new-york/brooklyn/economic-crisis-brooklynites-turning-communal-offices-article-1.355197|title=Co-workspaces do brisk business|last=Sederstrom|first=Jotham|date=2008-12-03|website=NY Daily News|access-date=2017-05-10}} and serving as a gallery space hosting artists such as Dick Chicken.{{cite web|url=http://www.brooklynpaper.com/stories/32/40/32_40_bm_dick_chicken_revealed.html|title=A cock-and-bull story about Dick Chicken|last=Muessig|first=Ben|date=2009-10-07|website=The Brooklyn Paper|access-date=2017-05-10}} 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.{{cite magazine|url=https://www.wired.com/2007/04/industrial_desi/|title=Industrial Design Newbies Have More Options for Cheap Workshops|last=Zjawinski|first=Sonia|date=2007-04-26|magazine=WIRED|access-date=2017-05-10}}
In 2007, 3rd Ward partnered with underground party promoter William Etundi Jr. to form Artists Wanted.{{cite web|url=http://nymag.com/arts/art/features/48924/|title=Business Plan? What Business Plan?|last=Bernard|first=Sarah|date=2008-08-03|website=New York Magazine|access-date=2017-05-10}} Artist Wanted focused on staging popular art contests and providing free online portfolios to help artists better market themselves.{{cite web|url=http://brokelyn.com/tag/artists-wanted/|title=Free artist portfolios! (You can finally delete your MySpace)|date=2011-11-02|website=Brokelyn|access-date=2017-05-10}} On the opposite end of the business spectrum, the company forged ties with manufacturers such as Lie-Nielsen Toolworks{{cite web|url=http://nymag.com/homedesign/features/design-news-2012-01-04/|title=Design News|last=Goodman|first=Jillian|date=2012-01-04|website=New York Magazine|access-date=2017-05-10}} and Makerbot.{{cite web|url=http://newyork.cbslocal.com/2011/05/13/brooklyn-event-to-showcase-makerbot-3d-printing-technology/|title=Brooklyn Event To Showcase 'MakerBot' 3D Printing Technology|date=2011-05-13|website=CBS New York|access-date=2017-05-10}} Meanwhile, Goodman and Lovitt started GroundedNYC.com as an email subscription service that advertised artist studios for rent. 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.{{cite web|url=http://columbiaspectator.com/eye/2012/04/05/feel-free-dabble/|title=Feel Free to Dabble|last=Aylmer|first=Olivia|date=2012-04-05|website=Columbia Daily Spectator|access-date=2017-05-10}} 3rd Ward became a visible example of the DIY movement{{Cite news|url=http://www.popularmechanics.com/home/how-to-plans/how-to/a2915/4326032/?nav=RSS20&src=syn&dom=yah_buzz&mag=pop|title=How to Make Crappy Stuff Awesome|date=2009-07-27|work=Popular Mechanics|access-date=2017-05-10|language=en}} and the cultural renaissance of Brooklyn.{{cite web|url=http://www.nydailynews.com/new-york/brooklyn/art-pioneer-bushwick-closes-article-1.1482281|title=Art pioneer in Bushwick closes|last=Warerkar|first=Tanay|date=2013-10-10|website=NY Daily News|access-date=2017-05-10}} 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.
= 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.{{cite web|url=http://www.villagevoice.com/news/3rd-ward-co-founder-jason-goodman-addresses-questions-about-the-art-spaces-closure-6727057|title=3rd Ward Co-Founder Jason Goodman Addresses Questions About the Art Space's Closure|last=Stuart|first=Tessa|date=2013-10-14|website=Village Voice|access-date=2017-05-10}} 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.{{cite web|url=http://www.villagevoice.com/restaurants/with-goods-3rd-ward-brings-trailer-park-dining-to-williamsburg-6555018|title=With Goods, 3rd Ward Brings Trailer Park Dining to Williamsburg|last=Marx|first=Rebecca|date=2010-05-19|website=Village Voice|access-date=2017-05-10}} The restaurant delivered and had a 35-seat outdoor garden.{{cite web|url=http://www.brooklynpaper.com/stories/33/22/24_goodscart_2010_05_28_bk.html|title='Goods' news as 3rd Ward founders get into food|last=Brown|first=Kristen V.|date=2010-05-25|website=The Brooklyn Paper|access-date=2017-05-10}} The restaurant closed after 10 months.{{cite web|url=https://ny.eater.com/2011/4/7/6688003/lightly-used-burg-airstream-trailer-restaurant-for-sale|title=Lightly Used 'Burg Airstream Trailer Restaurant For Sale|last=Morabito|first=Greg|date=2011-04-07|website=Eater NY|access-date=2017-05-10}} In 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.{{cite web|url=http://www.brooklynpaper.com/stories/33/43/wb_vacateorder_2010_10_22_bk.html|title=Williamsburg artists evicted in crackdown on illegal building!|last=Campbell|first=Andy|date=2010-10-15|website=Brooklyn Paper|access-date=2017-05-10}} 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. 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. It was around this time that Levitt was bought out leaving Goodman as CEO.{{cite web|url=http://observer.com/2013/10/what-happened-to-3rd-ward/|title=What Happened to 3rd Ward?|last=Grant|first=Drew|date=2013-10-15|website=Observer|access-date=2017-05-10}}
= 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.{{cite web|url=http://tmagazine.blogs.nytimes.com/2011/08/26/container-store/|title=Container Store|last=Fones|first=Sarah|date=2011-08-30|website=T Magazine|publisher=The New York Times Company|access-date=2017-05-10}} Shopbox was essentially a luxury vending machine.{{Cite web|url=http://gothamist.com/2011/08/31/shipping_containers_now_being_used.php|archive-url=https://web.archive.org/web/20171105193050/http://gothamist.com/2011/08/31/shipping_containers_now_being_used.php|url-status=dead|archive-date=November 5, 2017|title=Shipping Containers Now Being Used As Vending Machines In Brooklyn|last=Carlson|first=Jen|date=August 31, 2011|website=Gothamist|access-date=May 10, 2017}} It also expanded to Long Island City after being temporarily given space from Rockrose Development Corporation to host pool parties{{cite web |url=http://www.brooklynexposed.com/index.php/articles/single/the_palms_a_dumpster_diving_pool_party/ |title=The Palms: A "Dumpster Diving" Pool Party |work=Brooklyn Exposed |date=August 31, 2011 |access-date=October 15, 2013 |url-status=dead |archive-url=https://archive.today/20131018040040/http://www.brooklynexposed.com/index.php/articles/single/the_palms_a_dumpster_diving_pool_party/ |archive-date=October 18, 2013 }} where the pools were made from dumpsters.{{Cite news|url=https://www.nytimes.com/2011/12/25/realestate/temporary-tenants-bring-life-to-stalled-construction-sites.html|title=Temporary Tenants Bring Life to Stalled Construction Sites|last=Toy|first=Vivian S.|date=2011-12-22|work=The New York Times|access-date=2017-05-10|issn=0362-4331}} By the end of 2012, 3rd Ward was generating $3.6 million in revenue.{{cite web|url=http://freewilliamsburg.com/3rd-ward-is-shutting-down-on-friday/ |title=3rd Ward shut down last night |work=Free Williamsburg |access-date=October 15, 2013 |url-status=dead |archive-url=https://web.archive.org/web/20131013162423/http://freewilliamsburg.com/3rd-ward-is-shutting-down-on-friday/ |archive-date=October 13, 2013 }} Goodman predicted that by 2018 3rd Ward would be a household name.
= 2013 =
Others attempted to follow its model in other locations or focus on different mediums.{{cite web|url=https://www.psfk.com/2012/01/brooklyn-based-workshop-offers-local-designers-resources-to-create-and-manage-their-own-brands.html|title=Brooklyn-Based Workshop Offers Local Designers Resources To Create And Manage Their Own Brands|date=2012-01-03|website=PSFK|access-date=2017-05-10}} Former students of 3rd Ward started their own skillshare called "Brooklyn Brainery" offering lower priced classes were just one of many new competitors. 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 it would open a 3rd Ward in Las Vegas. Brooklyn Borough President Marty Markowitz gave Goodman a $1.5 million grant to build a kitchen incubator.{{cite web|url=http://www.brooklynpaper.com/stories/35/5/dtg_3rdwardkitchen_2012_02_10_bk.html|title=3rd Ward gets $1.5 million to open kitchen for food start-ups|last=Short|first=Aaron|date=2012-02-02|website=The Brooklyn Paper|access-date=2017-05-10}} Goodman was able to find a partner with Brooklyn Flea founder Jonathan Butler at 1000 Dean Street in Crown Heights for the incubator.{{cite web|url=https://www.dnainfo.com/new-york/20130605/crown-heights/bushwicks-3rd-ward-brings-experimental-test-kitchen-crown-heights|title=Bushwick's 3rd Ward Brings Experimental Test Kitchen to Crown Heights|last=Sharp|first=Sonja|date=June 5, 2013|website=DNAinfo New York|access-date=May 10, 2017|url-status=dead|archive-url=https://web.archive.org/web/20170305120005/https://www.dnainfo.com/new-york/20130605/crown-heights/bushwicks-3rd-ward-brings-experimental-test-kitchen-crown-heights|archive-date=March 5, 2017}} The goal was to have the space ready for October 2013. 3rd Ward also opened its second outpost in the South Kensington neighborhood of Philadelphia.{{cite web|url=http://www.phillymag.com/property/2013/03/01/brooklyns-3rd-ward-has-chosen-philadelphia-for-its-second-location/|title=Brooklyn's 3rd Ward Opens in Philadelphia|last=Spikol|first=Liz|date=February 1, 2013|website=Philadelphia Magazine|access-date=May 10, 2017}} 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. The 27,000-square-foot facility, which featured similar coworking, events, and a diverse curriculum of classes, opened in April 2013.{{cite web|url=http://www.philly.com/philly/blogs/home_and_design/3rd-Ward-closes-Brooklyn-and-Philadelphia-locations.html|title=3rd Ward closes Brooklyn and Philadelphia locations|last=Bonghi|first=Gabrielle|date=May 10, 2017|website=Philly.com|access-date=May 10, 2017}}
Behind the scenes there were major problems with funding so many projects and making payments to investors. 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.{{Cite web|url=http://www.ibtimes.com/3rd-ward-closes-members-organize-save-brooklyn-studio-space-1419900|title=3rd Ward Closes: Members Organize To Save Brooklyn Studio Space|last=Killoran|first=Ellen|date=October 9, 2013|website=International Business Times|archive-url=https://web.archive.org/web/20151002153046/http://www.ibtimes.com/3rd-ward-closes-members-organize-save-brooklyn-studio-space-1419900|archive-date=2015-10-02|url-status=dead|access-date=May 10, 2017}} With little notice to its members and employees about the financial problems 3rd Ward closed abruptly on October 9, 2013. None of its members received refunds.{{cite web|url=https://www.dnainfo.com/new-york/20131010/east-williamsburg/3rd-ward-members-wont-get-refunds-after-abrupt-closure|title=3rd Ward Members Won't Get Refunds After Abrupt Closure|last=Hoffman|first=Meredith|date=October 10, 2013|website=DNAinfo New York|access-date=May 10, 2017|url-status=dead|archive-url=https://web.archive.org/web/20150923230232/http://www.dnainfo.com/new-york/20131010/east-williamsburg/3rd-ward-members-wont-get-refunds-after-abrupt-closure|archive-date=September 23, 2015}}
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. 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.{{Cite news|url=http://artsbeat.blogs.nytimes.com/2013/10/10/3rd-ward-brooklyn-art-and-design-space-to-close/|title=3rd Ward, Brooklyn Art and Design Space, to Close|last=Ryzik|first=Melena|work=ArtsBeat|access-date=2017-05-10|publisher=The New York Times Company|language=en}} Others blame mismanagement by Goodman as the reason leading to the financial difficulties.{{Cite news|url=http://www.animalnewyork.com/2013/3rd-ward-shuts-down-without-warning-or-refunds-shady-founder-to-blame/|title=3rd Ward Shuts Down Without Warning or Refunds: Shady Founder to Blame?|date=2013-10-11|work=ANIMAL|access-date=2017-05-10|language=en-US}}{{cite web |url=http://gothamist.com/2013/10/10/inside_3rd_ward_owners_sweet_waterf.php#photo-1 |title=Inside 3rd Ward Owner's Sweet Waterfront Getaway In Montauk" |work=Gothamist |first=John |last=Del Signore |date=October 10, 2013 |access-date=October 15, 2013 |url-status=dead |archive-url=https://web.archive.org/web/20131013005714/http://gothamist.com/2013/10/10/inside_3rd_ward_owners_sweet_waterf.php#photo-1 |archive-date=October 13, 2013 }}