Vacant Storefronts: Why They’re Hard to Fix (and Why That Matters)

Vacancy Is What Everyone Sees First

When people talk about downtown challenges, vacant storefronts are usually the first thing mentioned.

They are visible. They are measurable. They photograph poorly. They feel like failure even when effort is high.

Vacancy becomes shorthand for everything that feels off:

  • a struggling business environment

  • stalled momentum

  • lost confidence

Because vacancy is so visible, it is often treated as the core problem.

In reality, vacancy is rarely the starting point. It is the outcome of multiple conditions interacting over time.

Vacancy Is a Symptom, Not a Strategy Failure

Most downtown vacancies are not caused by a lack of desire or effort.

They emerge when:

  • buildings are functionally obsolete

  • rents reflect past conditions, not current demand

  • operating costs exceed what businesses can support

  • ownership is disconnected from day-to-day realities

None of these issues are solved by recruitment alone.

Vacancy reflects market conditions, building conditions, and organizational capacity intersecting in ways that are uncomfortable to name.

That discomfort is why vacancy often gets oversimplified.

Why “Just Fill the Space” Rarely Works

When vacancy rises, the instinct is to fill it quickly.

Pop-ups, short-term tenants, aggressive recruitment, incentive programs. These can be useful tools. They are not universal solutions.

Filling space without addressing underlying constraints often leads to:

  • short-lived tenancies

  • repeated turnover

  • frustration among business owners

  • skepticism from the community

From the outside, it looks like progress followed by backsliding. From the inside, it feels exhausting.

The problem is not that activation efforts fail. It is that they are asked to do work they cannot sustain alone.

The Constraints That Actually Shape Vacancy

Vacant storefronts persist because of constraints that are easy to overlook and hard to change quickly. 

Building Condition

Older buildings often require:

  • mechanical upgrades

  • code compliance

  • accessibility improvements

Even when a tenant is interested, the cost and timeline can stop a deal before it starts.

Rent Expectations

Rent is not just about price. It reflects:

  • risk tolerance

  • debt service

  • owner expectations

  • past market conditions

When expectations and reality diverge, space sits.

Use Mismatch

Not every space is suitable for every business.

Deep floor plates, limited storage, poor visibility, or outdated layouts restrict what can realistically operate there. 

Support Capacity

New businesses require support. When support systems are thin, even good tenants struggle to stay.

Vacancy is often the downstream effect of these conditions stacking up.

Why Vacancy Feels Urgent Even When It Shouldn’t Be Rushed

Vacancy creates pressure. Boards feel it. Elected officials hear about it. Community members point to it as proof something is wrong.

That pressure pushes leaders toward visible action, even when readiness is unclear. The risk is not acting. The risk is acting without alignment.

When vacancy work moves faster than:

  • organizational capacity

  • market readiness

  • building feasibility

it absorbs time and credibility without reducing the underlying problem.

What Productive Vacancy Work Actually Looks Like

Communities that make real progress on vacancy tend to focus less on filling space immediately and more on improving conditions over time.

That work often includes:

  • honest assessments of building readiness

  • conversations with property owners about constraints

  • temporary uses that are clearly framed as temporary

  • support systems that stabilize existing businesses

  • realistic expectations about pace

This work is quieter than ribbon cuttings. It is also more durable.

Temporary Activation Has a Role, With Limits

Temporary activation can be valuable when it is used intentionally. 

It works best when it:

  • tests demand

  • improves perception

  • buys time while larger issues are addressed

  • is framed honestly

It fails when it is treated as a substitute for structural fixes.

Activation should clarify what is possible, not obscure what is missing.

Vacancy and Readiness Are Linked

Vacancy often persists not because communities are unwilling to act, but because the next step has not been fully prepared 

Before asking, “How do we fill this space?” better questions are:

  • What condition is this building in, really?

  • What uses are feasible here right now?

  • What support would a tenant actually need?

  • Do we have the capacity to sustain success if this fills?

Those questions slow the conversation slightly. They speed up results.

Why This Matters for the Long Term

Vacancy is emotionally charged because it feels public and personal. But treating vacancy as a signal rather than a failure changes the work.

It allows leaders to:

  • focus on readiness rather than optics

  • reduce churn instead of chasing occupancy

  • protect credibility with realistic timelines

Healthy downtowns reduce vacancy not by forcing outcomes, but by aligning conditions so outcomes become possible.

The Takeaway

Vacant storefronts are not the enemy. They are information.

They tell you where constraints exist, where expectations are misaligned, and where preparation is incomplete.

When communities listen to that information instead of rushing past it, vacancy becomes easier to address and less exhausting to manage.

Continue the series:
Next: The Tradeoff Every Downtown Must Choose

Or, if you want to see how RAD helps communities apply these ideas in real situations, you can explore how we help and our services here.