Retail vacancies dot campus

Penn's retail mix is always busy with stores and restaurants coming and going, and there remain several empty storefronts that dot the campus. But Penn officials say it's all part of a coordinated plan. The 40th Street storefront formerly occupied by the convenience store Unimat lies empty, waiting to be transformed into a Mexican Restaurant. Starbucks' former 34th Street location also sits vacant, following the coffee shop's move around the corner. Eckerd drugstore, previously at 3737 Walnut Street, has been closed since last April. And there's been a vacancy next to what will soon become El Diner for more than two years. The University's top real estate official, Tom Lussenhop, explained that these properties and several others are still vacant on purpose -- the University does not want to rush into a 10- or 15-year lease for a retail site that may later prove unsatisfactory to students. "When we have vacancies we plan for them in advance," he said. "Things don't fall into place so easily. There are multi-party negotiations that go on. I could tenant [vacancies] overnight, but we're trying to be methodical and determine demand." Lussenhop explained that when Penn wants to move a tenant from its current location so something else can be put in that spot, the University must first find a new location for the tenant if the lease has not yet expired. Still, Lussenhop said there is not too much vacant space around Penn's campus. "Vacancies are rare," he said. "We have 344,926 square feet of property under management as of December 2000. Ninety-five percent is under lease or intended to be occupied." The other 5 percent goes toward achieving flexibility in retail space and keeping retail options open, Lussenhop said. Many Penn students have noticed the vacancies, but overall aren't bothered by them. UA member Molly Siems said she does not believe that University officials are dragging their feet in regard to vacant retail space. "I know that Penn real estate has future plans for the vacancies, but they want to make sure that there is a demand," the College sophomore said. "I think it's good that they take their time to figure out what the students really need." The UA has been working with the University to try to get students' needs met. El Diner, which is slated to open in the former Eat at Joe's location this month, was a collaboration between the group and Penn administration. "The UA has been helping [University real estate] out with surveys on the walk," Siems said. "We helped them figure out what type of restaurant to put in [the vacated Unimart space]." Other students aren't bothered by the vacancies so much as by what the University has been bringing in to fill those vacancies. "As far as I can tell, the pace [of adding new retail outlets] is fine, it's just what they're putting into the spaces that bothers me," Wharton junior Kathryn Kvam said. "I definitely have issues with all the high-end stuff coming in." Neighboring store owners are almost unanimous in their desire to see new stores open up in the unused locations. "When there are more stores, it means more profit for [all] the stores that are now open," Radio Shack Manager Gordan Bronner said. "And it makes [the whole street] look more presentable." Alissa Rivkind, manager of Izzy and Zoe's, agreed. Like Radio Shack, Izzy and Zoe's sits on 40th Street, close to the empty storefront where Unimart once stood. "We're hoping another store opens up," she said. "It would only help the block." Still, Rivkind has not noticed any decrease in business since the departure of Unimart. "If anything, we might be gaining some coffee business," she said. Barry Grossbach, president of the Spruce Hill Community Association, would also like to see the storefronts filled, but does not feel that the University has been moving too slowly. "These things often take longer than [would be] ideal," he said. "But getting it right is more important than speed." Grossbach added that student reaction may differ from his own because of the transient nature of the students. "I can understand student impatience when they are here on a semester basis," he says. "They are on a different time from the people who live here all year long."

Please note All comments are eligible for publication in The Daily Pennsylvanian.