Lena Geraghty: Reimagining downtowns in Washington

Three years after the pandemic began, many cities are still recovering – searching for new ways to support downtown growth and an evolving retail landscape. As local communities move into a post-pandemic recovery chapter, cities cannot be complacent and must take a proactive role in shaping the future of their local economy and retail, in particular.

Traditionally, downtown centers have forged connections by offering retail spaces for residents to come together, including restaurants, cafes, shops and open-air markets. Projects like the upcoming Scale House Market & Kitchen in the Spokane Conservation District facilitate those connections by creating an indoor space for a year-round farmers market, which will promote a sense of community well into the winter, once operational. Whether people are returning from work, exploring a new town or visiting relatives, these shared spaces have been the heartbeat of municipalities and hubs for activity, including business. In some areas, this is changing.

Recently, the National League of Cities analyzed the retail economy in communities nationwide and found that changes in central business districts have been profound and uneven, due in part to the variation in rates of in-office work in certain geographies. While the rates of in-office work nationwide are the highest since the early days of the pandemic, they still lag far behind pre-pandemic levels – leaving many downtown areas with ample office and retail space but fewer people to shop.

These population shifts also have impacts to the workforce. In addition to changes to which retail locations thrive based on where people are spending their time, the move toward e-commerce and automation will also affect the types and numbers of retail jobs available. Many retailers are now encouraging a “phygital” approach – blending physical and e-commerce shopping experiences, including shopping in-store, purchasing online and/or picking up or returning in store to accommodate consumer needs. Nevertheless, the total retail labor force is expected to contract between now and 2030 due to shifting consumer demands and increased digitization – especially affecting people of color and women, who are overrepresented in the retail workforce.

Acknowledging this shrinking job market, city leaders will need to identify innovative opportunities to preserve the current workforce and protect workers with fair wages and benefits. Elected officials must cultivate a friendly business environment while simultaneously supporting programs to reskill workers and address changing workforce needs, as the shifts in the retail landscape require different kinds of skill sets.

Together, these changes present great opportunities for local governments and business associations to rethink downtown areas, especially when it comes to promoting growth, equity and resilience in retail communities. Support from leaders to address these challenges can take the form of investments in programming, resources for small business owners, changes to how public space is used and training.

The city of Spokane has been a leader in innovating, especially in the last few years. All downtown parking was made free to encourage people to visit local stores struggling during the pandemic, and many areas were converted into 10-minute parking zones for quick pickups to help with economic recovery. To support local eateries, the #OrderUpSpokane campaign was launched by the local government to encourage residents to order from local restaurants through curbside pickup.

Spokane is an example of a city that is striving to reimagine downtown spaces to meet needs and foster growth. This spirit should be extended into the next phase of recovery, as municipalities rethink what it means to be a downtown and how to train the workforce to meet evolving consumer needs.

On June 22, I will be joined by Mayor Glenn Johnson of Pullman and Will Ibershof, city administrator for Sultan, Washington, at the AWC Annual Conference to discuss the future of downtown spaces and opportunities for municipalities to revitalize their local economies.

In this discussion, we will shine more light on how the changes to the retail landscape will affect workers, leaders and communities – and what kinds of investments from local leaders can be scaled and operationalized throughout the state.

Predicting future changes and equipping communities with the tools necessary to adapt to our evolving economy can be daunting. But the retail landscape has changed in the last several years, along with the needs of residents. City leaders have a vital role to play in connecting residents with public spaces, addressing inequities and fostering economic growth right here, at the local level. The quality of life of both residents and visitors depends on it.

Lena Geraghty is the director of sustainability and urban innovation for the National League of Cities. She lives in Portland, Maine.