Niche Market Initiative

Downtown Urbana needs a function. It needs a marketable image. No longer the economic heart of the community, its continued viability depends, in large part, upon establishing a distinctive character. While it can play many roles – host to local government, neighborhood, and spiritual center of the city – it needs a larger, regionally valued role if it is to compete beyond it present ability. Considered opinion, and the realities of the marketplace, indicate that many of the key regional roles have been taken by other area centers. North Prospect Avenue dominates the regional retail market, the University dominates the entertainment market, and South Neil Street appears dominant in the hotel market. At present, there is no dominant restaurant area. They are found within downtown Champaign, as well as downtown Urbana, and at other scattered locations.

The interests and realities of owners and operators of real estate in Downtown Urbana, the characteristics of development in the downtown, and the general interests of Urbana citizens, as they have made known at planning meetings indicates that, in addition to its present function as employment center, convenience retail area, and a locus of government and associated services, the most viable future for downtown lies in housing, food and entertainment. As evidenced in a host of small downtowns, this is a reasonable direction. Areas such as downtown Urbana, which have a pedestrian environment, reflect an older, often historic character, and offer viable buildings with relatively small floor plates that are attractive locations for restaurants, bars, specialty shops and the like.

While downtown Champaign also offers similar services, there are strong reasons why downtown Urbana might be able to successfully establish itself as a key regional venue for such services.

1. It is small enough to create an imageable environment, yet large enough to provide choice.
2. It contains sites amenable to the establishment of activities, which might serve to anchor this service (mall for public market or book seller).
3. It is supported by the housing strategy.
4. It is close to, yet separate from, the University environment such that it can serve as a defined, yet accessible, destination.
5. It builds upon food-based events such as the Market at the Square.
6. It has convenience goods and supermarkets within its area that helps to complement the theme.
7. It is supported by the community.

Several programs and projects are proposed to help bring this about:

The Public Market

A centerpiece of this initiative could well be a public market. Public markets are making a comeback in American cities. They are emerging in a form that embraces many farmers markets, crafts markets and even flea markets. It could represent a unique use within Champaign-Urbana and, given the present traditions and character of public and private space in downtown Urbana, offer great potential as a centerpiece for implementing this initiative and encouraging reinvestment within downtown.  Market feasibility for this use should be further tested.

Three characteristics distinguish public markets from other types of related retail activity.

1. Public markets have public goals. These goals might include attracting shoppers downtown, providing affordable retail opportunities to small business, activating the use of public space – all of which are directly applicable to conditions in downtown Urbana.
2. A public market is located on, or creates a public space within, the community. This is the visible aspect of the market – an inviting, safe, lively place that attracts a wide range of people. As a place where people mix, the public market can become the heart of a community, its common ground, and a setting in which other community activities take place. A public market need not be located on public land. As long as the privately owned land is easily accessible, the market may be perceived as public space.
3. Markets are made up of locally owned, independent businesses. This characteristic helps to account for the local flavor of public markets and the distinctiveness of the shopping experience.

The key to a successful market is the accumulation of three or more vendors in the key food categories such as produce, meats, and bakery items. Besides these vendors, the market should have other fresh food vendors that could include fish, bulk grains, spices, or any other specialty food products. That is not to say that some markets do not have three or more vendors in each of these categories, for it is internal competition that distinguishes the food market from the supermarket. Having three vendors in each of these three categories allows each to differentiate their product mixes, which attract a wider audience needed to support these fresh food markets. The goal is to have multiple vendors in narrow product categories. In bakery goods for instance, one vendor may specialize in breads, another in cakes, and the third in sweet rolls. Some vendors may overlap in the product lines they sell, but each needs to distinguish themselves sufficiently to attract their own customer base. That could be accomplished by targeting products on different ethnic food traditions in the area, different price points, or by carrying organic products.

It is critical to have enough space to support internal competition; that is, a dozen vendors with each vendor occupying an average of 500 square feet of leasable area and requiring another 500 square feet in common area or between 12,000 and 15,000 square feet total as the minimum size.

This facility can be the potential centerpiece of this initiative, indeed of downtown. The desire for a place to come and be together is amply demonstrated in many of the activities already proven in downtown Urbana; the library functions in just that way. The Market at the Square is not just an opportunity to purchase goods; it is a meaningful social event. Perhaps it is possible for potential public market sites to capitalize upon these events.

The Entertainment District

Efforts should be made to designate, design and market the historic core of the downtown (the Main Street District) as a food and entertainment center or, to use a much maligned term, a festival marketplace. While it will continue to have a variety of mixed uses – offices, traditional retail, and perhaps a limited amount of housing in its upper stories, the image to be created is that this is the place to go for restaurants, specialty food shopping, bars, and related specialty goods. This district should contain a special lighting program, coordinated façade design, and streetscape, all oriented toward the creation of a pedestrian environment. Provisions should be made to allow more innovative signage than allowed in other portions of the City, especially with regard to projecting signs, neon and the like.

Joint Niche Marketing Program

Businesses within this area should continue to participate in a joint marketing program oriented toward food and entertainment. Beyond coordinated advertising, this program should prepare and publish an entertainment and events calendar, perhaps establish a common frequent diner rewards program and coordinate in the joint booking of entertainment (musicians, poets, etc) as support for its businesses.

Economic Incentives

The City might investigate the development and use of certain economic incentives to attract and maintain desired business investment within the downtown. This might involve tax incentives or perhaps limited special assistance to food and entertainment uses which remain in operation for a given number of years.

Historic Character Niche

The historic character of downtown and the surrounding neighborhoods should be promoted in an effort to encourage heritage tourism opportunities.  Where appropriate, historic districts should be considered, to safeguard historic resources and highlight areas of interest for tourists.