Thursday, February 26, 2009

Indies Locals and why they come and go

I was reading this article in the NYT, basically it bemoans the loss of local neighborhood
boho chic and unique shops due to the downturn.
It's an interesting read.
http://www.nytimes.com/2009/02/26/fashion/26eaglerock.html?8dpc

Not for what it says but I found it interesting that the locals interviewed had a similar sort of
idea that I hear here in Austin. That there is some great "them" that decides what types of shops to put where. And if only "they" would just stop choosing Automarts and Karate Studios for the neighborhood, then all would be fine.

Like some shadow group in City Hall says, "yeah stick all those buy here-pay here car lots over on 8th and throw in a couple taco trucks for good measure.... annnndd.. lesseee.. CherryBell Lane looks ready for a revival, call all the coffeehouses and indie bookstores and tell em to move to CherryBell. Yeah that'll do it. Who's ready for lunch?"

In reality it takes a handful of indie shops looking for a reasonably safe neighborhood, with cheap rent and POTENTIAL to become hip, to move in and stick it out. Sometimes the neighborhood sees other indies move in, and as more people take care of their business, the visuals improve and more people see a cool area vs a run down area and it snowballs.

Unfortunately the visuals in these area vary WILDLY. You have the immaculately kept by appointment only hair salon, and on the same block you have a tumble down shed that looks somewhat like a cross between an abandoned barn and a junkyard.

So getting back to the article.. There seems to be a disconnect between people who live in neighborhoods and people who open businesses in neighborhoods. Ideally, the locals of the neighborhood would be the main patrons of that business. Of course during the boom, niche shops were tres cool and a whole neighborhood could be turned around from "on the skids" to "in the swing" with a cache of fine and funky shops and a handful of decent cafes thrown in for good measure.

Somewhere in the article there is a half passing mention that the locals need to support those businesses in order for the businesses to stay. And that's very true. It's also true that if each local customer went to walmart or the cheaper alternative, that switch could effectively tank several small indies in short order.

People ask why we closed our North Loop store and have moved to online and by appointment only. To make it simple I put it down to being ahead of the downturn and staying slim and fast to keep going. And that is definitely part of it. This downturn mess was obvious as far back as Fall 07.
But there were a couple reasons for our leaving North Loop, some less obvious than others.

When we first opened on North Loop it looked like an up and coming neighborhood. It looked like the neighborhood association had a vision of good looking retail space and a plan for restaurants or cafes that might actually be open during the day.

We hoped we were on the ground floor of a cool area. But again, there was that disconnect. You can't just wish a cafe into existence, someone needs to WANT to open a cafe on North Loop first. After that they need the money required to open a business. And then after that, the area needs to be ZONED for it.
North Loop is zoned in such a way that there are only 2 locations in a 10 block strip that can potentially house a cafe. And neither of those locations are for sale. Because of what the city has done with the new restaurant requirements, any building not currently set up as a functioning restaurant, is almost cost prohibitive to turn into a restaurant now. Unless you own the building.
OR have a stash of cash you can throw at the problem.

In early 2007 a large plot of land in the northern part of the Highlands/North Loop was up for sale and a buyer wanted to put in a condo with ground floor retail. It would have been the pincer to the north to help meet improvements happening in the south. I personally NEEDED that project to go through as did a few other businesses that were depending on the neighborhood becoming more boho friendly.

When that project was turned down, it seemed obvious that the notion of North Loop changing in any way was just that. A notion. One of the stores who were waiting to resign their lease depending on the outcome, closed almost immediately and relocated to a more established part of town. Another store moved into a new development to the far eastend of NL, and I started running the numbers on large warehouses that were accessable but secure. I knew that when the Condo development was turned down, the hope for more boho was dimming.

Currently that potential lot is abandoned and overgrown. A large swatch of broken glass, graffiti and weeds. A nice little Welcome to the Neighborhood sign for everyone driving 2222 to see.
Everyone says that condos are a mess but Austin is doing better than other parts of the country, there was enough time for that to have been built and sold/leased before things started to stagnate.

As more and more of our business came from out of state, it didn't seem worth it to hold the door open as a drop in center for the bored and browsing while waiting for our intentional customers to come by. Intentional meaning "I'm going to Austin Modern because I want that chair they just listed online"

And so, Austin Modern By Appointment was born. By Appointment works quite well, our local customers look online, find something and then make an appointment to see it in person and really inspect it. If they like it, great! If not, well, may next time. It's better for everyone. Our customers aren't restricted by 9-5 hours and we have more time to do what we do best. Which is find and locate excellent items. Our warehouse space allows for more storage and I can pick and choose products more selectively.

And most importantly "the crazy garage sale guy" is no longer the bane of my existence!