Retail Development Strategy for Downtown Berkeley

The Downtown Berkeley Association (DBA) is a “nonprofit organization that represents over 800 businesses, non-profits, financial institutions, and property owners.” It has published a report entitled “Retail Development Strategy” that highlights the DBA’s goals, strategies, as well as analysis for attracting as well as retaining businesses in Downtown Berkeley.

Like Patrick Kennedy, the authors of the report discuss the need for higher quality retail that complements the expansion of art and entertainment. Interestingly, the report points out that one of the biggest challenges to attracting new retailers is the small size and rundown condition of both available and existing spaces in Downtown, stating that “These buildings do not attract high quality retailers.” One of the Association’s goals remains to encourage property owners to rehabilitate spaces in order to attract desired tenants; in the case of the Francis K. Shattuck building, for instance, once it had been renovated it was able to attract retail, offices, and a white table cloth restaurant.

In our discussions we have pinpointed homelessness and the lack of preexisting higher quality businesses in Downtown as main factors for why businesses are hesitant to commit to a Downtown Berkeley location. The physical conditions of the actual spaces likely play a key role in businesses’ decisions, however, and is a problem that can be more easily remedied on an individual basis (in comparison to homelessness, for instance).

The Report additionally addresses marketing and promotion activities, maintaining a historic downtown that is attractive and safe, providing adequate parking, and encouraging downtown housing.

Facts from a 2000 study indicate that the demand for high quality retail can certainly be present: the average Berkeley household has an estimated $33,000 of disposable income to spend annually on retail purchases, or nearly $2.19 billion citywide. Approximately 23,500 people work within a one-mile radius of Downtown Berkeley.

Downtown Berkeley Association's Retail Development Strategy, available at http://www.downtownberkeley.org/index.php?option=com_content&task=view&id=15&Itemid=30#reports