Startup company hopes to revitalize Old Town, change way shoes are made

PORTLAND, Ore. (KPTV) – Portland is facing a budget deficit brought on in part by declining property values as many downtown buildings see less usage. But business leaders hope this year will mark the start of a revitalization, and that change they believe will be sparked in the city’s Old Town neighborhood.

A group called “Made in Old Town” is buying downtown buildings. They recently closed on an Old Town building and they have offers in on two other buildings near NW 5th and NW Everett. They expect those deals to close soon.

“Old Town is a beautiful neighborhood that was the center of manufacturing in Portland to help build the city, and Old Town can be the center of the renaissance of this city,” said Elias Stahl, founder and CEO of HILOS.

Stahl believes firmly in Old Town’s potential to become a footwear and apparel mecca. He intends his young company to be a driver in the neighborhood’s success.

“HILOS is a software platform for brands and suppliers to be able to turn designs into 3D-printed footwear that can be made on demand without inventory or waste,” Stahl said.

More than 20-billion shoes are made worldwide every year, and Stahl says a significant percentage of those go to waste.

“That’s because it takes 18 months for brands to go from an idea to a product on the shelf. It’s impossible to predict what sizes or styles are really going to be bought,” he said. “There’s a huge amount of overproduction and waste – waste that you and I are paying for.”

His company aims to help brands make only what’s needed, allowing customer orders to be delivered on demand in 72 hours, saving time and money for brands.

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Shoe company Steve Madden likes the idea and just signed a deal with the Old Town start up.

“Steve Madden for us is a very exciting partnership. Because of their rich heritage to speed and breadth of products,” Stahl said.

With $2 million from the state, local business owners and former Nike and adidas executives are pulling together their skills. They’re purchasing building in Old Town to create a manufacturing hub. The hub will have infrastructure that many companies, like HILOS, can rent.

“We have a long list of interested suppliers and brands that want to come in and use the space,” said Jonathan Coen, development manager at Made in Old Town.

Made in Old Town has been reaching out to gauge interest.

“We have basically more interest than we currently have space available,” Coen said.

Matthew Claudel, who has a PhD in urban studies and planning from MIT, wants to ensure the hub will not just benefit businesses but the surrounding community as well.

“One example is workforce development. Old Town is a place with so much soul and so much spirit,” Claudel said. “There needs to be jobs at all levels, and in a key industry like footwear and apparel where people have jobs, growth opportunities.”

Made in Old Town expects to generate 6,000 jobs by the end of 2028.

Portland Mayor Keith Wilson calls the manufacturing hub an example of the innovations needed to revitalize the central city.

“There isn’t a brand I’ve spoken to that lives under the illusion that they will be making things the way they are today 20 years from now,” said Stahl.

The footwear and apparel industries are changing and HILOS, along with Made in Old Town, hopes to help lead the way by manufacturing in the U.S. on demand with a zero waste process.

“Portland has such a rich heritage of craft, but we also have such incredible technology here,” Stahl said. “That intersection of technology and craft is a real brand identity for the city that I think we’re all really proud of, and it’s an honor to be a part of that.”

Made in Old Town expects brands and suppliers for the first phase of their development to be moved in by the end of the year.

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