Revitalized Town Centers: Retail??? - by Carol Todreas

It is now widely accepted that customers want to shop in person at physical stores. Brands know that they do better business in a physical store than just on line so they want to open stores. Demand for retail space by digital merchants, local entrepreneurs, and newly developed national chains is stronger than in many years. So why aren’t we seeing better retail? The problem is the wrong kind of retail space is being built and much of it is not acceptable.

What is on the market is a steady stream of newly constructed mixed-use buildings with residential units above and left over space for retail on the ground floor. From the outside it all looks the same. To the retail tenant both local and chain they see space that is over -sized, layouts that do not work, and poor visibility. Other related issues range from little to no convenient parking, no adequate space for deliveries nor pick up, not to mention the absence of curb appeal. Then there is the rent, always higher for new construction than in a worn historic building.

So what happens?

The same tenants who can adapt to these conditions appear everywhere: banks, real estate offices, pharmacy/drugstores, and chain cafés. These tenants are bankable , reliable , and actually provide some of the goods and services needed in a neighborhood center, but they are everywhere in the new buildings. These few leasing tenants are often alone neighbored by long stretches of papered over vacant storefronts … causing gaps of nothingness, and rendering the streetscape lonely and dreary. This development model works for financing, for developer and investors, and for municipal tax revenue. But it does not work for creating active, engaging retail streets.

This then is the “revitalized” town center: a bunch of new buildings for residents and a few retailers on wide safe streets. Yes, and some bike lanes and parking, benches and planters. Some will call it placemaking. But the retail shopping street experience? Not much more than “meh”. Just look at East Boston, South Boston, Union Square, and Allston-Brighton. Different neighborhoods, same look for all.

Formulaic development , nothing unique, no distinction. Same thing for everyone. This is our future. Watertown is next.

If municipalities want a different outcome, they need a different pattern — one that treats retail as a critical component of community life, not leftover space.

Here is an idea of what that can mean:

• A separate strategy for ground-floor retail, distinct from the residential economics above;

• A distinctive design that feels and looks like retail for the ground floor of new buildings; 

• Zoning that allows smaller, flexible formats, including micro-retail and maker or workshop uses 

• Partnerships with local lenders and governments to support new and independent tenants; 

• Focus on the street experience not just individual buildings.

This or any other non standard approach will require more effort and more creativity, but success will bring profit, and produce streets that people actually use. More people are working from home. They are looking for reasons to get out, to connect, to spend time and to shop and eat. They are a new and vibrant market. Lets start building what they want.

Carol Todreas is founder of The Todreas Group, Cambridge, Mass.