State of Retail in Downtown GBO

Mary Contrary, Elm Street
(the store front that stirred up the neighborhood- you either love it or you hate it)
photo from Springboard - Action Greensboro's Blog

Blount Hunter, statistics analyst hired by Downtown Greensboro Inc. sheds some light on the nature of Elm Street's retailers, “They have a certain amount of stability, either because they have an Internet presence, or because they have a wholesale business, and they are covering a lot of their costs by that side of their business. But they want to have a front door, and a presence on Elm Street." (http://springboard.actiongreensboro.org/2008/08/22/retail-advice/)


News & Record report - good news and bad news for Revolution Mill project...
(http://www.news-record.com/content/2008/08/22/article/downtown_sales_untapped)

"Based upon positive perceptions and prevailing usage patterns, downtown's current patrons can be expected to respond favorably to new stores, restaurants, entertainment venues and event programming as downtown's offering grows," says the study, prepared by H. Blount Hunter Retail & Real Estate Research in Norfolk, Va. "It is imperative that downtown Greensboro's offerings remain unique and of high quality ...."

The study, which suggests downtown should not try to compete with Friendly Center or Four Seasons Town Centre, says the center city could support another 100,000 to 300,000 square feet of retail space. Only 64,000 square feet of space is currently available on South Elm Street.

The study suggested a two-year goal for retail growth of between 75,000 to 100,000 square feet.

To close the spending gap, the study recommends:

• Concentrating retail on South Elm. The street already has a group of existing shops and a collection of buildings suitable for retail use. Such a cluster stimulates customer traffic and sales.

"Before the retail core becomes a 'destination' it must succeed by serving patrons who visit downtown for a variety of reasons other than shopping," the study says. " Causing more of downtown's current patrons to think about visiting shops and restaurants when downtown is a major marketing challenge and downtown's greatest opportunity."

• Creating a "priority retail development zone." Covering the first six blocks of South Elm, the designation would encourage shops on ground-floor spaces instead of offices, restaurants and clubs.

• Focusing recruitment efforts on independently owned and operated businesses. This means that it is unlikely for downtown to attract national chain stores in the near future.

Wolverton pointed out that independently owned businesses are the most vulnerable to failure, need training to help them perform better, and should locate in smaller spaces that keep overhead, manpower and inventory low.

• Getting buildings ready for occupancy. The study says too many downtown structures are in bad condition, and their owners expect tenants to fix them up and then demand rents that are too high.

The study also says the city should adopt minimum building maintenance standards for commercial structures similar to those that exist for residential property.

The study also encouraged city government to consider downtown for catalyst projects that would generate additional economic activity.

One possibility would be to move Greensboro Farmers' Curb Market from 501 Yanceyville St. to the center city.

"The fit is very good," says Blount Hunter, president of the research firm. "I see that as low-hanging fruit."