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A Street businesses weather economic storm

Some washed out, others have hunkered down
 Posted: 2:00 AM October 11, 2008

Many mom-and-pop businesses on A Street — Ashland's "other downtown—" are bracing against the economic hits they have taken in the past few months, owners said.

The quiet, mixed-use neighborhood gets far less foot traffic than tourist-laden Main Street, making it tough for some shops and galleries to turn a profit. Due in part to the slowing economy, Nuwandart Gallery on A Street closed in September and Gallery DeForest on Fourth Street is scheduled to shut its doors later this month.

"It's been a transitional summer and people don't really know what next season will be like," said Susan Springer, spokeswoman for the Railroad District Association and owner of Illahe Studios and Gallery in the district. "I think everybody's kind of trying to hold where they are."

Bill Reichard, who opened A Street Copy four months ago, said some businesses neighboring his are fighting to survive.

"It's a struggle here because of the economy. Some of these business owners are worried because they have high rents."

Ashland's City Council and Planning Commission are considering installing signs on streets such as Pioneer Street to point tourists to the Railroad District stores, a move Reichard, along with many of his A Street neighbors, said could help businesses hang on.

"I think there should be something, yes. I call this a part of downtown, but it's not exactly the main drag. I was a little leery of moving in here," said Reichard, who owned the now-closed Ashland Copy Center on Main Street.

Some businesses on A Street, however, have found a niche and continue to grow despite the economic downturn.

Sales are up 20 percent over last year at Davis & Cline Gallery, owner John Davis said.

People are looking for investments that don't usually lose their value, like fine art, he said.

"With the market tanking, our sales are up," Davis said. "Some of our buyers have described it as a flight to quality."

Davis & Cline's location at 525 A St. is ideal because the gallery doesn't depend on foot traffic, but does benefit from the neighborhood's ambiance, Davis said.

"I'm down here for the quiet. We want people to be able to come who are interested in what we have. We cater to unique collectors."

Davis said installing signs to direct visitors to the district could be a "mixed blessing" for his store, but it might help the neighborhood as a whole.

Molly Schiessl, who owns Fourth Corner, a quilt store across the street from Davis' gallery, said she doesn't want a high volume of foot traffic in her store.

"I chose to have my business down here. I don't want 5,000 kids in here with ice cream cones every day," she said.

Schiessl said the business is doing fairly well, due in large part to online and overseas sales.

"I would have expected to feel the effects of the economic downturn more than I have so far," she said.

Still, Schiessl said advertising the neighborhood to tourists would likely increase her revenue.

"So many people don't have any sense that there is an Ashland beyond Main Street," she said. "And we honestly offer something different than Main Street does."

Retail sales at Gathering Glass Studio, which borders A Street, have increased this year largely because the business isn't dependant upon the local economy, owner Keith Gabor said. More than 150 galleries and retail shops across the country sell the glass art Gabor and others create at the studio.

The North Pioneer Street store provides glass blowing demonstrations to draw tourists who are interested in performance art.

However Gabor said he has noticed a decrease in foot traffic recently as compared to previous years.

"The economy is shaky and I know a lot of retailers in the area are shaky. They're worried," he said.

At Ashland Recycled Furniture, 258 A St., business has remained constant through the slowdown and the store is actually doing better than in some past years, owner Kathy Buffington said. She thinks locals are turning away from more expensive furniture retailers and buying at her store, where the furniture is priced as much as 70 percent lower than retail, she said.

But increased business has also brought traffic headaches, Buffington said.

"The most difficult problem down here is parking," she said. "It's a big problem, but otherwise I like the area a lot."

The store is right around the corner from the Ashland Food Co-op, which attracts a high volume of cars, she said.

Still, A Street is far less congested than downtown, said Robert D'Isidoro, Real Estate Depot owner, who leased a building at 325 A St. for that reason.

However, he would like to see the city put in signs to direct more visitors to the district.

"It remains to be seen whether it will work, but I don't think it will hurt," D'Isidoro said. "Having a vital Railroad District is important for businesses and residents, as well as creating jobs."

Music Coop at 181 A St. has felt the effects of the downswing over the past six months, co-owner John Brenes said.

"There's definitely been less dollar volume, but our traffic count has remained about the same. People are just buying less," he said.

Brenes, who has been in business for 33 years, said he thinks this is the third, but worst recession he has weathered.

"Am I worried about it? No. Am I kind of concerned and mad about it? Yes. There's a difference."

"Any help from the city would be greatly appreciated," Brenes said.

Brandon Kirkland, co-owner of Enchanted Florist, 157 A St., said he has been asking the city to put in signs since the shop opened seven years ago.

Although the business has grown about 9 percent this year, in previous years, it grew between 11 and 13 percent, he said.

Kirkland is hoping to open a sister shop in Medford, but he has been unable to get a business loan with affordable interest rates, he said.

"We're waiting for the economy to pick up. Economic growth for us right now is almost impossible," Kirkland said.

But Kirkland said he's thankful his business is at least surviving the downturn. Other nearby businesses are struggling to stay open, he said.

"It's not good. We have friends telling us that this economy is hurting their businesses. Don't be surprised to see some established businesses not make it through the winter in this area."


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