Creativity Pays Off: The ROI on a Thriving Arts Scene

The Creative Infrastructure That Builds Happy Valley’s Future

By Erica Quinn, Executive Director, 3 Dots Downtown

On any summer evening at 3 Dots and other arts spaces across Centre County, you can see the local economy in action: musicians unloading their gear, artists displaying new work, and food trucks arriving as people stop by, grab a drink, and stay awhile. Families fill the streets, visitors photograph and post murals to social media, and young professionals build connections that root them here—to commit, buy a home, and to invest deeply in our community. This isn’t just entertainment—it’s what keeps our streets vibrant and our economy moving.

But right now, local arts organizations are operating on the edge. Federal cuts to the arts are accelerating, and the creative spaces that make Happy Valley magnetic are being asked to do more with less. And yet, we’re seeing more demand than ever for the work we do. We’re constantly hearing from artists and community leaders about ideas for collaborations to meet this moment. We’re calling on the business community to see opportunity in this energetic investment in the arts.

This is a moment of opportunity. Because how we choose to show up now will shape the future we build together.

The Arts Are Why People Stay

We often talk about attracting talent, but what keeps people here? It’s not just jobs. It’s the chance to be part of a vibrant, nourishing community. Keeping people here takes more than a paycheck. It takes a community that feels alive.

We hear it regularly at 3 Dots: our work — and the ripple effects created by our incredible partners — is often what makes people choose not just to move here, but to stay. Time and again, early- and mid-career professionals tell us they were on the fence about building a life in Happy Valley until they found themselves in the orbit of arts and culture spaces like ours. It’s rarely just about their job — it’s about finding meaningful connection. Through the arts, they meet collaborators, build friendships, enrich their lives, and start to see a future here that feels exciting and possible. They find their people. They find their place. The arts help people realize not just that they can stay — but that they belong here.

These stories don’t always show up in the data, but they are the backbone of talent retention and the real reason Happy Valley continues to grow, thrive, and feel like home.

Ann Tarantino and Margalo Guo — nationally and internationally recognized public artists transforming our community’s shared spaces, including the 3 Dots patio. Research from the National Endowment for the Arts shows that public art projects can increase surrounding property values by up to 20%, boosting local tax revenues and stimulating economic growth. Investing in public murals is not just beautification — it’s a smart economic strategy that strengthens neighborhoods and businesses alike.

Creativity is Economic Power.

The arts aren’t just nice to have — they’re a serious economic force. In 2022 alone, nonprofit arts and culture organizations and their audiences generated over $151 billion in economic activity across the US, supporting 2.6 million jobs. Here in Pennsylvania, arts and cultural production contributes more than $27 billion each year to the state’s economy. In fact, the creative sector directly supports over 165,000 jobs statewide. These aren’t side projects — they are central to how our communities grow, how businesses thrive, and how people decide where to build their lives. The arts are a real engine for prosperity, and when we invest in creativity, we’re investing in the long-term strength of our local and state economies.

A sold-out crowd gathered for Colombian headliners Meridian Brothers at 3 Dots July 2024. This show was part of a series of sold-out pilots during Gorinto Productions’ programming residency at 3 Dots, each proving the same thing: live music drives serious economic impact. These consistently packed houses built the case for Manny’s Live Performance Space — a needed venue to keep this energy, spending, and creative talent circulating in Happy Valley. According to Americans for the Arts, the average attendee at a cultural event spends $31 locally, meaning single nights like this one generate over $4,000 in downtown State College spending. With artist fees, production costs, and local staffing, the total local economic impact tops $9,000 per show.

*Gallery spaces like ours give visual artists a platform to display and sell their work, driving economic growth in Centre County. Arts and cultural activities in Centre County generate* ***$22.5 million*** *in direct economic activity annually, including* ***$12.5 million*** *in event-related spending by audiences. This image is from our annual collaboration with Clearwater Conservancy’s Art & Chocolate—an example of how philanthropy and nonpro*fit partnerships strengthen community connections across sectors and economies.

At 3 Dots, enriching culture goes hand-in-hand with driving real economic growth in Happy Valley. Ours is a space where creatives feel encouraged to try new things—it’s a place of creative stimulus and economic stimulus. Together, these initiatives form a resilient ecosystem that fuels both economic growth and cultural vitality in Happy Valley and are part of 3 Dots’ broader commitment to arts incubation, helping to grow a creative economy that’s vital to the region’s future. (Read more about our impact on arts incubation in Happy Valley Industry here.)

Our Artist Residency Program

This looks like:

When we invest in artists, we invest in our community. 3 Dots’ Artist Residency Program supports creative entrepreneurs—artists who are part of Pennsylvania’s rapidly growing arts and creative sector, which contributes billions to the state’s economy each year. These residencies provide space, resources, and encouragement for artists to experiment, take risks, and create new work that directly engages the community. And the impact ripples out—cultural events like these generate real spending power. Americans for the Arts reports that attendees spend an average of $31 per person at local restaurants, shops, and businesses when they come downtown for cultural programming. Every artist we support drives this kind of economic and cultural vitality in Happy Valley.

Our $1,000 Grant Program

At 3 Dots, resourcing creatives means resourcing our region. Our $1,000 Grant Program—powered entirely by grassroots donors and community members—has invested over $75,000 locally, helping artists, entrepreneurs, and residents launch projects that improve public spaces, strengthen civic life, and contribute to the region’s creative economy. These microgrants seed bold ideas and bring new energy into our neighborhoods.

Community-Led Programming

3 Dots is a space where creatives feel encouraged to try new things, build audiences, and forge lasting connections. Through our long-running Tuesday Open Mic, we’ve become a launchpad for emerging musicians, poets, and entrepreneurs to test work, meet collaborators, and grow their creative practice. We also regularly partner with organizations like Ridgelines, Open Music, and State of the Story to expand networks, amplify new voices, and activate public spaces with dynamic, community-driven programming. These collaborations don’t just strengthen the arts—they create the kind of social infrastructure that fuels both creative and economic resilience across Happy Valley.

Gallery spaces like ours give visual artists a platform to display and sell their work, driving economic growth in Centre County. Arts and cultural activities in Centre County generate $22.5 million in direct economic activity annually, including $12.5 million in event-related spending by audiences. This image is from our annual collaboration with Clearwater Conservancy’s Art & Chocolate—an example of how philanthropy and nonprofit partnerships strengthen community connections across sectors and economies.

At the core of 3 Dots’ mission is a simple but powerful idea: when we resource artists, we resource the community. When creatives have space, support, and permission to try new things, they generate more than just art — they build audiences, spark new connections, and surface community needs. This creative energy fuels local businesses, activates public spaces, and strengthens social bonds. 3 Dots is a proving ground for bold ideas — a place where artists test projects, where grassroots leaders find support, and where collaborations take root. By investing in artists, we’re not just supporting individual careers — we’re creating the conditions for a more vibrant, connected, and economically resilient Happy Valley.

This spring I joined Bill Arrowood of the PA Downtown Center at the National Main Street Now conference in Philadelphia for a presentation called “From Pop-Up to Anchor”. I shared how 3 Dots’ arts incubation model — and the strength of Happy Valley’s arts ecosystem — can serve as a case study for driving serious economic impact across Pennsylvania.

We work alongside powerhouse partners who are transforming Happy Valley’s economy and cultural life every day. Manny’s Live Performance Space routes music from around the world directly to our region, breathing life into a long-vacant venue and making State College a destination for global sounds. Rhoneymeade Fest has grown its budget and economic footprint by over 600% in five years, cementing itself as a major economic engine and a summer cornerstone for our area. Blue Brick Theatre consistently packs the house with performances, workshops, and not one but two annual festivals, making it a year-round hub for tourism and lifelong learning. The Print Factory revitalized a once-vacant storefront, now a vital part of Bellefonte’s growing cultural district.

We’re proud to partner with other vital non-profit organizations like The Rivet, Tempest Productions, The Makery, and The Art Alliance (just to name a few), with business owners centering the arts in their business model like Boal City Brewing, Hotel State College, or Pine Grove Hall, and with university colleagues like The Center for the Performing Arts. We deeply admire the municipal leaders who understand that the arts are not a side project — they are central to smart, sustainable growth. The Downtown State College Improvement District’s Live After 5 series activates MLK Plaza all summer, seamlessly integrating live music into the rhythm of downtown life. Events like Pop Up Ave, the Borough of State College’s cross-sector arts-based planning initiatives, and community celebrations like Arts Fest, Juneteenth, and Latin Fest all keep the arts front and center as a driving force in local planning, tourism, and business development.

The arts don’t just support these efforts — they power them.

Together, these efforts create the living infrastructure that makes Happy Valley sticky — a place where culture, commerce, and community connect and grow.

At 3 Dots, we see it in real time: street performances that feed foot traffic into nearby businesses, pop-up vendors who grow into storefronts, visiting artists and passersby who put down roots and help shape our community’s future.

The arts aren’t extra. They are essential. They are smart business.

Let’s Build This Together

If you lead a business in Happy Valley, you have a direct role to play in growing our region’s creative economy — and it benefits you, too. The arts drive foot traffic, attract and retain talent, and make this a place where people want to live, work, and spend.

Here’s how you can make an impact:

Invest in local arts organizations. Your financial support directly fuels the vibrancy of the community your customers and employees call home.
Host or co-host events at creative spaces (like 3 Dots). Align your brand to the vibrant cultural energy that attracts people across the county and builds a loyal local audience.
Purchase creative services locally. Hire local musicians, graphic designers, photographers, and artists for your events, branding, and office spaces.
Offer flexible space, services, or in-kind support to artists and cultural organizations. Help keep creative work visible, accessible, and sustainable in Happy Valley.
Advocate for the arts as part of regional economic development. The creative sector is a proven growth engine — your voice matters in making sure it’s prioritized.

When industry invests in the arts, the whole community grows stronger, more connected, and more magnetic. At 3 Dots, we know creativity is serious business — and we’re ready to build this future with you.

Let’s make it happen. Together.
(I’d welcome direct communication- I can be reached at erica@3dotsdowntown.com and folks are encouraged to visit our website https://3dotsdowntown.com/)