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SUNDAY, NOVEMBER 8, 2009
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6

Retail Exodus Speeds Detroit's Fall

Retailers jump ship as recession, auto industry's collapse hit city hard

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(Newser) – The auto industry's woes have sped up the long decline of retail in Detroit, the Wall Street Journal reports. America's 11th-largest city now lacks a single outlet from any national grocery chain downtown. Starbucks has just four stores in the city of 900,000, and as of last week, Motor City residents can't even buy a Chrysler in town.

Nearly a quarter of Detroit's people are now out of work. The lack of tax revenue, and the consequent cutback in city services, is causing increased problems like slower police response times for the retailers that remain. The city, trying to lure back retailers, maintains that opportunities still exist to make money in Detroit, and notes that low-income retailers like Family Dollar Stores are thriving.

A pedestrian walks by graffiti in downtown Detroit late last year.
A pedestrian walks by graffiti in downtown Detroit late last year.   (AP Photo/Carlos Osorio)
Borders was founded 40 miles from Detroit, but the chain closed its only bookstore in the city last year.
Borders was founded 40 miles from Detroit, but the chain closed its only bookstore in the city last year.   (AP Photo/Paul Sancya, File)
General Motors Corp. headquarters looms over Detroit streets.
General Motors Corp. headquarters looms over Detroit streets.   (AP Photo/Paul Sancya)
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The lack of retail is one of the biggest challenges the city faces. Trying to understand how to get it to come back will be one of the most important keys to its resurgence—if it ever has one.
- James Biere, president of a Detroit-based real-estate brokerage

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6 comments
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atomick
Jun 16, 09 6:30 AM CDT
Damn. As if Detroit didn't have enough problems as it is. Sad sad sad. Reply
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+4
Reader64481089
Jun 16, 09 6:50 AM CDT
You should see it in person, street after street of abandoned homes and many in lower to mid range income housing, it now spreads to the upper middle class regions. What once was a poverty area problem is now city wide and grows like a giant cancer. There was talk of demolishing many abandoned areas and turning it back to farm land the devastation is so wide spread and all because there is no work in the area mainly due to the collapse of the Auto industry. This is a scenario which WILL be repeated across the country mainly due to 8 years of mismanagement of an entire country and hiding problems for the next person elected. And the Right wonders why the left is so bitter, I have news for them, it will eventually be in their neighborhoods as well so hang tough. Reply
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+3
IN RESPONSE:
BoZo
Aug 1, 09 11:08 PM CDT
Regretfully I have to agree about the abandoned homes. But there are many areas with new housing and condos. If you get the chance to see it in person, please visit Southwest Detroit AKA Mexicantown. It's the "better" part of Detroit. And the only part where you will find out-of-towners after dark. Except for downtown of course.
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Timinator2K
Jun 16, 09 9:34 AM CDT
Detroit, like Gary, Indiana (and probably many like others in the rust belt) has been a dead, rotting corpse for decades and nobody has bothered to bury it. I agree with Obama (HOLY CRAP!), massively bulldoze anything and ***everything*** down that's abandoned and dead, which would be hundreds of square miles and...instantly raise real estate prices. Reply
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+1
Sauerkraut
Jun 16, 09 11:00 AM CDT
Green looks nicer then Rust Reply
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