last update: October 23rd, 2007

Investigation Conclusion

A UTAH STORIES INVESTIGATION:
How Main Street Was Traded for Wall Street

Introduction

I:The Great Divide

II:Post WWII suburban growth

III:The decline of Main Street

V: The downtown trade

IV:The rise of the mall

VI: skybridge debate of 1978

VII: collapse of the local giants

VIII: Investigation Conclusion

For eighty years Auerbachs was one of the most dominant retail giants west of the Mississippi. Throughout their existance they prided themselves in their historic connection to the growth and development of Salt Lake City and the West. They regularly thanked their customers for their business and some of their employees had worked nearly their entire lives at their store.

Could have Auerbachs possibly survived if the malls weren't built? Likely not, the chain retail stores such as Pennies, Weinstocks and Nordstrom were too dominant. And just as ZCMI eventually sold-out all of its department stores to Macy's, there would be no way they could have competed with the extreme efficiency of the national chain stores bulk purchasing power. However, they suffered an untimely death. How ever well intentioned, planners made very foolish decisions in their attempts to revitalize downtown.

	The Paris company. Aprx.1930 Located on Broadway and 300 South just East of Main Street (courtesy of the Utah State Archives)
	The Paris company Auerbach & Keith O'brien.aprx. 35 years after above. Notice no overhanging signs due to the city ordinance designed to "beautify the city" Every business on this block went under within 10 years after this photo was taken.

The history of these decisions offer many lessons for our day. City Planners should not be in the business of mandating excessive laws in the hope of reviving streets and commerce. The decision to force merchants to remove their signage overhanging the city sidewalks was a desperate attempt and a knife in the back of merchants.

The decision to widen sidewalks and remove parking for the smallest local merchants while making it nearly impossible for customers to enter their doors during beautification construction-- was equivalent to burying these businesses under a pile of dirt.

Finally, the decision to build the Crossroads Mall across the street from the Z.C.M.I mall was the final "nail in the coffin" for Salt Lake City's former central retail district on Broadway and Exchange Place on Main Street. This decision completely ignored the economic impact to hundreds of local families and merchants. Ultimately this decision killed many of those who had defined Salt Lake City and its growth as a great Western City including: Auerbach's, Paris Company, Keith O'Brien, Baker Shoes, Jacke Wolfe Ranch, The Owl, The Orphum Theater, the Pinecone Cafe and Keith Warshaw's. Local merchants and history and local economic vitality were ultimately traded in the interest futuristic dreams that neglected the incredible history of the city. The decay that Salt Lake City faced in the early sixties was no doubt because retail tax dollars were being lost to suburban shopping centers. This in-turn created and environment where city planners felt like they needed to "compete against the suburbs."

Cities and municipalities are still competing against each other for tax revenue today. "The rise of the big-box domination parallels the rise of the department store 30 years ago." Says Salt Lake City Planner, Doug Dansie. Today every city and municipality in Salt Lake City competes for Wal-Mart, Lowes, Costco, Home Depot as well as fast-food and clothing chain stores. This ongoing cold war mentality often sacrifices zoning and laws favorable to local merchants in the interest of enticing big boxes that planners believe inaccurately will provide greater tax revenue and economic benefit. (see our Sandy Wal-Mart investigation for more)

The greatest lesson the story is-- to maintain a thriving Main Street, Its best for planners to carefully keep the interests of all in mind. When problems arise, get out of the way, the the market prevail. A famous quote, from Ronald Reagan, "the nine most feared words in the English language are: 'I'm from the government and I'm here to help.'" Planners must take a broad look at the interests of all those involved before coming to decisions that will help a few but hurt others. The key statement that was repeated many times: "You are killing us with kindness." Richard Schubach of Standard Optical repeated this phrase telling planners that while he knew their intentions were not evil, their projects and reliance on "Barton-Aschman, so called "expert architects from Chicago" would lead to their ultimate demise.

The toughest guys on the block

With this said Its incredible that Salt Lake City still has many great local merchants that have weathered the toughest storms. The new City Creek Center will no doubt monopolize the area once it is built. If these local merchants are to survive the city shouldn't be in business of helping aiding the project in this effort by building a sky bridge. Secondly, the city needs to stop the business of enticing national chain stores and instead attract more local merchants who could once again recognize that Salt Lake City welcomes their business and investment.

(To see the first installment of this story with interviews with the long-time local merchants click here)