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Wednesday, July 25, 2012

DOWNTOWN COVINGTON MUST NOT LOOK TO PAST FOR FUTURE PLANS

THE RIVER CITY NEWS MORE COVINGTON NEWS THAN ANY OTHER SOURCE
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by Michael Monks 
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Mike Berne presents his study
Downtown Covington "can no longer support what it once was," said Mike Berne, a retail expert with MJB Consulting based in New York City and San Francisco. "There was a time it was the premiere shopping destination in Northern Kentucky" but that's no longer the case, he said. Berne based his analysis on three separate trips to Covington as part of the study that led to the creation of the Center City Action Plan (CCAP). Berne's firm was sub-contracted to study retail viability in the City by Denver-based Progressive Urban Management Associates (PUMA) which led the CCAP research.
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Covington's demographics have weakened since the days that shoppers from around the region flooded Madison Avenue and Pike Street to shop at Coppin's, Eilerman's, Woolworth's, Sears, JC Penny, Parisian and other well-known shopping destinations that helped solidify the City's position as Northern Kentucky's original outdoor shopping mall. A population of 65,000 in the middle of the twentieth century has dwindled to just over 40,000. Worse still, those who are left lack the affluence necessary to support a thriving retail community and those who do have the funds also have vehicles that take them to malls in Crestview Hills or Kenwood. 
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"We have formidable competition," Berne warned as Covington searches for ways to revive activity in the 613,000 square feet of retail opportunities in its Downtown area where only 430 households bring in more than $75,000 a year. Half the households bring in less than $25,000 per year.
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Covington must focus on smaller areas, ignore others for now
"We have to be strategic," Berne said, adding that Covington should focus on streets where potential retail is more viable. "Some streets won't be the focus while others will be." That concentration should be solely on Madison Avenue and not Scott Boulevard or Pike Street, Berne suggested, citing a familiar adage in retail: it's cheaper and easier to get more dollars from existing customers than it is to create new ones from scratch. 
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Madison Theater
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Madison Avenue is already at the early stages of a possible rebound with positive developments like the expansion of the Madison Theater and the budding popularity of the newly opened Whackburger. Other strengths include its intact retail fabric with steady businesses already filling many of the spaces. Madison has the highest visibility and could have the greatest impact on the City's brand. In order for the Madison Avenue approach to work two sectors of the population should be pursued: customers who already come to Madison Avenue for other reasons and those who are undeterred by the street's existing condition.
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Treat Downtown Covington's situation like a "triage"
When a disaster strikes and many people are injured, hospitals go into triage mode, prioritizing which patients need the most attention the quickest. Berne used the term to apply to Downtown Covington and his suggestion to focus on smaller areas. He cited Northside, the rugged but trendy Cincinnati neighborhood, as a community with similar attributes and potential to Covington. Particularly, Berne stressed the significance of a "hipster" crowd, described as young, creatively-inclined, alternatively minded people that live in and are drawn to the underground. 
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Hipsters, Berne reports, start trends, popularize nightspots, and pioneer neighborhoods. They are not deterred by a "little grit and diversity", he said. Live music plays a significant role in this sub-culture and iconic venues like the Madison Theater can serve as catalysts. During one of three trips to Covington Berne spent eight days including a weekend touring the City and analyzing its nightlife. "Before and after, people have nothing to do at the Madison Theater," Berne noticed. But, "other than Northside there's nowhere else with a music cluster."
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An upscale grocery in Covington is not ever likely
"An upscale supermarket is not necessarily realistic in the near term. There is not enough people who make enough money," Berne said, dashing the hopes of many Covingtonians longing for a closer alternative to the rundown, outdated, and grimy Kroger on the 1500 block of Madison Avenue. Even the anticipated, or at least hoped-for, addition of Gateway College's urban campus will not supply enough people with means to support an ambitious grocery or any other large-scale retail.
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However, there is hope for Covington in its quest for a larger variety of fresh foods. Starting with Bessler's Economy Meats, Berne encouraged the pursuit of an old European-style shopping experience where customers buy meat at one place, and fish, produce, and flowers at others. 
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City Commissioner Steve Frank disagreed with Berne's assessment of Covington's potential to host an upscale grocery. "I have had long conversations with chains that are looking at the area around Hamburger Heaven (the nickname given by PUMA to the fast food district around the Fifth Street exit)," Frank said, adding that he expects that many of the new residents in Downtown Cincinnati would patronize a Covington grocery. Berne stood by his claims. 
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"Downtowners (in Cincinnati) have options and will have more soon," Berne said. "That is just my opinion, but I don't see it."
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"I don't need you to see it," Frank countered. "Fortunately I've got the contacts and the money."
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Mainstrasse Village & Roebling Point should also be re-branded
Covington's most visited and most vibrant urban neighborhood is Mainstrasse Village where nightlife and restaurants thrive alongside a small cluster of retail. But for all the quality bar food and hamburger joints, Berne hopes the area narrows its focus to the style of landmarks like Chez Nora and Dee Felice and new neighborhood stars like Otto's, Bouquet, and Goodfellas Pizzeria. "Mainstrasse should be rebranded as a destination for fine dining and refined tastes," he said. 
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Mainstrasse Village
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Meanwhile, the neighborhood will likely never be a true retail destination according to Berne because there is a lack of steady daytime foot traffic and the streets are dominated by bars and restaurants which can afford to pay higher rents. The consultant said the better deal for aspiring retail business owners would be found along Fairfield Avenue in Bellevue where the prices for space are much lower. "The choice is rather clear," he said. Retail is better suited for Madison Avenue which is closer to other neighborhoods, he said. 
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The City should consider redeveloping the Fifth Street parking lot while at the same time retaining the free and ample parking that visitors to Mainstrasse have come to enjoy, the consultant recommended. 
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Across town at Roebling Point, the upstart entertainment district home to Keystone Bar & Grill, Sidebar, Blinkers and others, "the evolution has been a great thing to watch," Berne said, while expressing worries that the destination could grow too far, too fast. Roebling Point is closest to Cincinnati's dominating riverfront development known as The Banks and will face stiff competition from that. "They have a lot of things to occupy and distract them over there now," he said, noting that while Roebling Point is within Covington's most prestigious and expensive neighborhood, there are not enough people there to sustain it on their own.
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There is limited retail in Roebling Point but Berne suggested the neighborhood focus on ground-floor "flex" space with active uses for civic and community events, medical and dental offices, and daycare centers. 
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The City's next steps, according to the consultant
In order to implement Berne's suggestions, Covington would narrow its retail focus to Madison Avenue, while ignoring Pike Street and Martin Luther King Jr Boulevard/Twelfth Street. New retail space inventory should be added at the 400 block of Madison. In Mainstrasse, a redevelopment plan should be created for the Fifth Street parking lot while also looking at ways to extend the neighborhood into Hamburger Heaven. The City must secure a buy-in from landlords and brokers regarding both the strategy and their role in it. Marketing and leasing hand-out materials should be created and distributed. Also, recruitment efforts should be intensified.
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"We're never going to be what we used to be, it's just not a reality, and thank you for pointing that out," said City Commissioner Sherry Carran.

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