Tesla's new 40,000 square foot showroom and offices in Brooklyn's Red Hook neighborhood is a great example of carefully selecting a brand neighborhood, both literally and figuratively. In the same way, and for similar reasons a person selects, and moves into a new neighborhood, brand neighborhoods are based on the idea of borrowed equity through adjacency. The people, or brands, one surrounds oneself with, help to convey a message, to tell a story, to posit a point-of-view. Leveraged strategically, brand adjacency helps seed and signal brand intention, ambition and meaning.
By investing in Red Hook, Tesla aligns its brand with a neighborhood in transition and, by association, signals that luxury today is also in transition - from symbolizing wealth to conveying one's sense of quality, innovation, responsibility and pragmatism.