Understanding Urban Retail Vacancy

Abstract

Storefront retail is highly valued because of its contribution to street life, its pedestrian-oriented urban design quality, and its ability to foster social connection. Despite this valuation, in many areas, main street retail struggles and storefront vacancies are common. To better understand retail vacancy causes, effects, and mitigation, we conducted 18 in-depth (in-person or phone) interviews of the leaders of business organizations in Chicago. From the literature, common explanations for retail vacancy include structural transformation of the retail industry, demographic change, and the increased cost of being a retailer. Responses from our interviewees cited demographic change, urban context, and property owner behavior as the main reasons for retail vacancy. While there was significant overlap with the literature concerning the role of demographic change, our respondents put particular emphasis on contexts and behaviors witnessed at the “street level,” such as property owner behavior.

Urban planning and design with points of interest and visual perception

“…In our redesign task, we considered two alternative POI allocation scenarios based on two required conditions: (a) demonstrating a need to maximise visual proximity and accessibility, and (b) exhibiting segregated, minimised visual exposure. The first scenario is suitable for urban uses that evolve and thrive from pedestrian flows, such as storefront retail, food, and other so-called façade-oriented amenities (Talen and Park, 2021), while the second scenario is potentially suitable for any segregated, private, or illegitimate use that strives to avoid exposure and surveillance, such as private clubs, segregated venues, certain bars, some beauty salons, and gambling venues. These kinds of uses require previous spatial knowledge and tend to be located in more discrete and hidden areas (Natapov and Grinshpun, 2020; Spain, 2014).…”

Retail Vacancies in City Centres – Causes and Consequences: Findings from Turku, Finland

“…Defining "long-term" vacancy is not straightforward, and there is no commonly agreed definition of short-term versus long-term vacancy [6]. A long-term vacancy is often used to describe spaces that have been vacant for an extended period, even years.…”

“…The increased competition from out-of-town and digital retailing and the economic fluctuations have put pressure on city centres and city-centre retailing, with many retailers moving out of town or entirely ceasing their brick-and-mortar activities [1]- [4]. The resulting retail vacancies further decrease the functionality and image of city centres as shopping areas [5], [6]. The COVID-19 pandemic, with its aftermaths, has further strengthened the ongoing development.…”

“…The current study examines groundfloor (spaces having direct access from the street) retail vacancies (also called "store-front vacancy") in Turku CBD, Finland, in 2016-2021. According to our knowledge, no systematic analysis of locations and life cycles of vacant retail spaces in a city centre has been conducted [6], [10]. An obvious explanation for the scant research on highstreet vacancy is that the necessary disaggregated data is difficult to obtain [6,1416], [11].…”

“…According to our knowledge, no systematic analysis of locations and life cycles of vacant retail spaces in a city centre has been conducted [6], [10]. An obvious explanation for the scant research on highstreet vacancy is that the necessary disaggregated data is difficult to obtain [6,1416], [11].…”