In Brief Downtown Storefronts No Longer Vacant May 22, 2010 Waldo Jaquith 11 Comments Two months ago, 10% of downtown storefronts were vacant. Now, just one is.
11 thoughts on “Downtown Storefronts No Longer Vacant”
“Many of the lease holders, the landlords that have shops and storefronts on the mall, lowered their square footage prices, so that’s definitely helped out as well,” said Barrick.”
I wonder if these lower rates are sustainable.
I suspect the issue was that the higher rates were the ones that were unsustainable. I’m glad that reality struck home for the property owners to stop holding out for high rents.
If the sum total of the rents do not cover the mortgages and carrying charges then the rents are not sustainable.
Mall front properties do not change hands all that often, and thus most are mortgaged based on out of date values (unless owners have been pulling equity out). There’s plenty of equity there and most owners could afford to suffer significant cuts in rent. The fact that we’re seeing them do so means they’ve more or less collectively decided that vacancy is bad for business and this economic downturn is going to last some time.
Actually, quite a few properties have changed hands in the last ten years, including the buildings beside the old Jefferson National Bank, the Hardware Store and the old Gilmore, Hamm, and Snyder building. It is very difficult to speak to the issue of equity because we have no idea whether the owners have employed their equities in other ventures.
Sure some have. But the majority have not. Additionally, it has only been the last 10 years that the values have really spiked. But for every property sold, there remains one like Daedalus Books, where the entire building was bought for 17K and still in that owners hands.
Apparently, the article was only covering store fronts on Main Street since it did not include the forever-vacant former dry cleaning pickup on 5th Street SE. Oh, well. Only time will tell when it comes to sustainable.
Still, the downtown mall is looking better now.
Businesses are still emptying store fronts though. Drive north of town. The old Circuit City space is empty and further north, into Greene County, there is empty space everywhere.
Yep. been to lots of malls. So many are just cookie cutter corp. entities. The mall may not be big time, but it is unique, with lots of homegrown biz that are owner operated and unique.
well, it’ll be 2 in about a month if the ice park closes.
Anybody notice that the city appears to have caved in on the old Victory Shoe Store building? I wonder if it was because they wanted a tenant in there.
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