Downtown Development:
Key Trends & Practices
by Kent Robertson, Ph.D.*
The purpose of this article is to present some of the key downtown
development trends and practices in the United States at the onset of
the 21st Century. These trends are based on the author's extensive research,
writings, and consulting activities in the field of downtown development.
Trend #1: Emphasis on Multi-Functional Uses
Downtowns have always housed a wide variety of functions. In recent
years, cities are building on this valuable asset that is rarely found
in other commercial settings. Where else can one find shopping, services,
professional offices, hotels, churches, housing, entertainment, the
arts, libraries, dining, government offices, and more, all within walking
distance of each other? Different functions bring different types of
people downtown at different times of the day and week, thereby increasing
the volume and distribution of downtown activity levels.
Although downtown retailing can never hope to recapture the dominant
role of its heyday, recently there has been a notable increase in several
other functions. Cities large and small have encouraged the development
of more housing in and next to the downtown. Redevelopment and new development
of market rate, senior, and subsidized downtown housing has been widespread.
These new residents breathe life into downtown districts during evenings
and weekends, add diversity, and help provide an additional market for
downtown businesses. Another function on the rise is tourism. Tourism
has been widely utilized as an economic development tool because of
its potential to generate income from outside of the community and to
encourage a broader mix of downtown shops, services, and restaurants.
Trend #2: Enhancement of Sense of Place
Most downtown development efforts now recognize the value of possessing
a strong sense of place. A sense of place serves to create an inviting
downtown that encourages people to linger and is distinctive from other
settings that generally suffer from placelessness (i.e., shopping malls,
big box retailers, strip malls).
A number of strategies have been implemented to enhance downtown's
sense of place. First, cities have made downtowns more pedestrian-friendly
by widening sidewalks, making street-crossings easier and safer, and
adding pedestrian amenities such as planters, street trees, lowers,
benches, brick pavers on sidewalks, humanscale street lights, and banners
that make downtown look more festive and colorful. Second, to take advantage
of the distinctive older architecture found downtown, cities and downtown
associations have established low-interest revolving loan funds for
façade improvements and have instituted design guidelines or ordinances.
Third, cities have added and enhanced downtown open space. Open spaces
are important to a downtown because they encourage people to linger
and provide a setting for community gatherings. Finally, cities fortunate
to possess a downtown waterfront have worked to clear the waterfront
of obsolete or undesirable uses, increase public access, and provide
clear pedestrian linkages to the commercial core.
Trend #3: Development of a Community Vision
For many years planning for downtown development was a topdown endeavor.
Local government agencies, usually in collaboration with major downtown
businesses, property owners, and developers, crafted the future direction
for the central business district with minimal community input. The
1990s ushered in a more community-inclusive approach. Downtown visioning
sessions have become a popular starting point. The purpose of visioning
is to work towards community consensus in identifying: 1) civic goals
and objectives for the downtown, 2) assets upon which the downtown can
build, 3) key problems, issues, and barriers that must be addressed,
and 4) opportunities that can be taken advantage of. These then are
incorporated into a strategic plan for downtown that contains specifics
in terms of priorities, timelines, and resources. The key to successful
visioning is to include a wide variety of downtown interests - including
small businesses, residents, employees, and institutions - together
with city government and other interested parties from the community
at large. Effective visioning increases the number of people who have
a stake in the future of downtown and can be a catalyst in making the
downtown feel more like "everybody's neighborhood."
Trend #4: Use of Private/Public Partnerships
The partnering of private and public interests and resources has
become a dominant feature of successful downtown development. An active
and well-organized downtown association, with a full-time manager and
a broad base of volunteers, can help downtown businesses and property
owners work together towards their mutual benefit, serve as a unified
voice representing downtown interests, and engage in marketing, promotions,
business recruitment, and event coordination. City governments contribute
by granting downtown high priority in the comprehensive plan and budgeting
process, by investing in public improvements (e.g., infrastructure,
sidewalks), and by providing financial incentives such as low-interest
revolving loan funds. The establishment of a business improvement district,
wherein special downtown property assessments are levied by the city
and used to fund projects identified by the downtown organization, has
become an increasingly common tool to foster private/public partnerships.
In cities where either the city or the private sector is apathetic,
these efforts generally face a difficult road.
Trend #5: Application of the Main Street Approach
A very popular approach to downtown development, particularly in
smaller cities, is the Main Street Approach established by the National
Trust for Historic Preservation in the late 1970s. Approximately 1000
cities are officially Main Street Programs (National Main Street Center
2000), and countless others use the approach as well. This approach
emphasizes the balanced use of four critical elements: 1) organization
of downtown businesses and interests, 2) design that enhances visual
qualities and historic architecture, 3) promotion and marketing, and
4) economic restructuring and business recruitment. Typically, a local
Main Street organization will have a full-time manager, integrate a
variety of public and private funding sources, organize a series of
downtown promotional events, and be involved in design improvement and
business development activities.
Trend #6: Attention to Promotional Activities
The promotion of downtown attractions, businesses, and events has
become a major dimension of downtown development today. For example,
a survey conducted by the author of Main Street programs found that
a significantly higher percentage of time and effort was expended on
promotional activities than on organization, design, or economic restructuring.
Promotions are usually spearheaded by the downtown organization. These
organizations recognize the necessity of reacquainting long-time residents
and introducing newer residents and visitors to the virtues of downtown.
Staging downtown events, such as festivals, parades, concerts, and craft
shows, can bring people downtown and expose them to what the downtown
has to offer. Other commonly used promotional activities include media
relations, websites, newsletters, brochures, cooperative advertising,
and self-guided walking tours.
Trend #7: Creation of New Suburban Downtowns
A recent trend that provides extraordinary evidence of the value
and importance of downtowns is the development of new downtowns in suburbs
that heretofore have never possessed a traditional core district. Scores
of suburbs have recognized the importance of creating a public realm
and a gathering place for community events that might help to instill
a stronger sense of community. In suburban communities ranging from
Rockville, MD to Schaumburg, IL to Maple Grove, MN to Valencia, CA,
new town centers (AKA downtowns) have been constructed that mirror many
of the attributes of traditional Main Streets, such as a high density
pedestrian-friendly setting that contains a variety of functions, including
government facilities in many cases. These suburbs are hopeful that
their new downtown will serve to provide a much needed identity and
sense of place for their community.
Conclusion
What lessons should policy makers take from this review? First,
cities of all sizes, including an increasing number of suburbs, value
downtown for its economic benefits, heritage, identity, and sense of
community/place. Downtown development has been a catalyst for the enhancement
of civic pride and economic development in communities from coast to
coast. The entire community, not just the downtown, benefits from a
healthy downtown. Second, a strong commitment by local government, in
conjunction with a well-organized and active private sector, is essential
for successful downtown development. Third, it is important for state
government to be on board too. Many states (e.g., California, Georgia,
Iowa, Missouri, Oklahoma, Oregon, Pennsylvania, Washington, West Virginia,
Wisconsin) have established either a State Main Street Office or an
Office of Downtown Development - often housed in a Department of Commerce
or Economic Development - for the purpose of providing much needed technical
assistance and financial resources to support local downtown revitalization
efforts.