Portland's downtown downturn

| Print |  Email
Archives - May 2009
Friday, May 01, 2009

ATSDowntownLease

Portland’s downtown has been losing key stores.

PORTLAND It was the 25th anniversary of Pioneer Courthouse Square. The early April weather was brilliant, the cake was free, and the center was humming with visitors and workers soaking up sun and ambience. Shoppers were filing into the Nordstrom store across the street. The line inside Starbucks ran 10 people deep. One block away, the sidewalk tables in front of Elephants Deli were packed with people enjoying the gritty construction of the coming Park Avenue West skyscraper.

But the for-lease signs are creeping. Among the recent casualties in the heart of Portland are See’s Candies on SW Morrison, the City Arts shop on SW Yamhill, the Shoe Pavilion on SW Fourth, the Three Lions Bakery on SW Sixth, and Portland Cutlery Co., which sold knives on SW Broadway for more than a century. Add to that list the disconcerting recent news that Zell Bros. Jewelers, an upscale shopping destination since 1912 and the presumed anchor tenant of the remodeled Pacific First Center, is unlikely to survive the downturn, and you’ve got a problem. Especially when you factor in the construction delay at Park Avenue West.

According to a recent report by Norris, Beggs & Simpson, the overall retail vacancy rate for metropolitan Portland is a relatively strong 6.5%. But the central city, one of seven submarkets within greater Portland, has the highest vacancy rate at 8.2%. For all of Portland’s self-congratulatory claims of having defeated the sprawl beast, 2008 retail sales at suburban Washington Square topped those in all of downtown by $180 million.

These downward trends lend new urgency to an effort by 30 business leaders selected by Mayor Sam Adams to hone a downtown retail strategy based on success stories from Pasadena, Calif., Vancouver, B.C., and Boston. David Leland, a Portland-based retail strategist who has been in the business for more than 40 years, recommends recruiting urban versions of big-box stores such as Target, improving the atmosphere along SW 10th, encouraging still more residential density, turning Broadway into a two-way street, providing more street parking and creating new financing options.

Leland has consulted with more than 80 city governments about their downtowns over his career, and he remains optimistic about Portland’s position. But he predicts more stores will close before the next wave of grand openings, and he warns, “Complacency is a great danger."

BEN JACKLET
 

More Articles

Photo Log: Waterfront Blues Festival

The Latest
Thursday, July 09, 2015
bluesfestthumbBY JASON E. KAPLAN | STAFF PHOTOGRAPHER

The sweltering weather didn't keep the crowds away. Although the numbers were down slightly from last year, the Oregon Food Bank raised $850,636 to fight hunger.  About 80,000 people attended despite temperatures in the upper 90s.


Read more...

Balancing Act

July/August 2015
Friday, July 10, 2015
BY DAN COOK

The Affordable Care Act has triggered a rush on health care plan redesign, a process fraught with hidden costs and consequences.


Read more...

Best Foot Forward

July/August 2015
Monday, July 13, 2015
BY CHRIS NOBLE

Whether you're stepping out to work or onto the track, Pacific Northwest shoe companies have you covered.


Read more...

Fixing Oregon’s broken roads

The Latest
Tuesday, June 09, 2015
RUCCostComparison rev4-30BY KIM MOORE | RESEARCH EDITOR

The technology at the center of Oregon’s road usage fee reform.


Read more...

Farm in a Box

July/August 2015
Friday, July 10, 2015
BY JACOB PALMER

Most of the food Americans consume is trucked in from hundreds of miles away. Eric Wilson, co-founder and CEO of Gro-volution, wants to change that. So this past spring, the Air Force veteran and former greenhouse manager started work on an alternative farming system he claims is more efficient than conventional agriculture, and also shortens the distance between the consumer and the farm.


Read more...

Urban benediction

Linda Baker
Wednesday, July 22, 2015
072215 THUMB Credit-PontificalAcademyofSciencesBY LINDA BAKER

Charlie Hales has long viewed sound urban planning as the route to salvation: social, economic and environmental. This week, the mayor's city design philosophy got the nod of approval from a bona fide spiritual authority, Pope Francis.


Read more...

Modern design defines new Portland indoor market

The Latest
Thursday, June 25, 2015
thumbSnøhetta JBPM exterior www mir noBY KIM MOORE | RESEARCH EDITOR

An international architecture firm known for its design of the National September 11 Memorial Museum Pavilion in New York unveiled its plan this week for a modern indoor/outdoor food market at the foot of the Morrison Bridge in downtown Portland.


Read more...
Oregon Business magazinetitle-sponsored-links-02
SPONSORED LINKS