By Michael Burke
Journal Times | Posted: Saturday, October 11, 2008 12:00 am
During this ongoing economic crisis - and on the presidential campaign trail - "Main Street" has become the new euphemism for everyday folks like us, and communities across the country.
But today we really are talking about Main Street and the rest of Downtown Racine. Economic turbulence is indeed being felt at the Main Street level, says Downtown Racine Corp. Executive Director Devin Sutherland. He cited three distinct effects.
- Spending. September is always one of Downtown's slowest months, but this year that pattern is quite pronounced, Sutherland said.
Most Downtown businesses sell goods that are bought with people's discretionary income, he noted. If you sell art, for example, especially high-end art, and the stock market is tanking, there are likely many art collectors who don't feel quite as free with that part of their budgets.
- Investment. In 2007, Sutherland said, there was not a lot of investment activity. In the first six months of 2008, there was none at all.
Then July brought an abrupt about-face, and DRC was entertaining four or five interested new property buyers and/or business start-ups.
"All of a sudden it's gotten pretty quiet again," Sutherland said - although he said there are still a couple of prospects. Credit has tightened up like leather drying in the sun, and entrepreneurs are rethinking the wisdom of opening new businesses.
- Corporate sponsorships. DRC depends to some extent on financial help from its corporate friends, and that money's been more difficult to raise.
That's how the economy really is hitting Main Street.
Overdue kudos
Just catching up here, but one person who did make a large investment in Downtown this year deserves a bit of recognition. Ray Borgeson of Guy Lloyd Inc. sank way more than he had to into a handsome new facade for 524 Monument Square.
The 27,600-square-foot building was erected in 1902 as the First National Bank, Borgeson pointed out. In remained that bank until 1957.
Borgeson bought the building about 12 years ago - long after some misguided owner had removed the columns and clad the exterior in an ugly aluminum skin, wiping out the building's original architectural charm.
You can see the improvement here. Borgeson said he spent about $170,000 on the rehab. "I'll never expect to get that money out," he said, "but Racine's been good to me, and this is one way I'm giving back to Racine."
A splash of color
Another building improvement project this summer brought vivid color to Washington Avenue and the little cluster of stores at the intersection with Grange Avenue.
As you can see, the ocean-theme mural on an exterior wall at Coral Corner, 1300 Grange Ave., catches the eye while also conveying what the business involves.
Coral Corner, a seller of tropical fish, is owned by Ben Webb, 28, of Racine and Craig Saris, a McKinley Middle School teacher.
Webb said he gave the artist, Judson Schwertman, some photos to look at, and left the rest to him.
"Everyone's noticed it," Webb said of the result. The partners, he added, are now remodeling the interior as well to reveal the original tin ceilings.
Schwertman also did the art work above the shop next to Coral Corner, Aquatic Oddities.
By the way, Schwertman of Willow Springs, Ill., said he recently quit a day job in a corporate office to start his own online art company, Entities of Design. He will line up future mural work and do art canvases for customers via his Web site at: http://www.entitiesofdesign.com
Eyesore in foreclosure
Speaking of Main Street, its biggest eyesore, the building at 311 Main St., is in foreclosure - and perhaps headed toward a better future.
The three-story building has sat vacant for years, since Merlo Heating Co. left.
It badly needed a face-lift - but instead, it became more dilapidated. There was an issue last winter with a lack of snow clearing on the sidewalk out front, and exterior issues such as broken windows forced the city building inspector to issue repair orders.
It was an odd turnabout for the building owner, Fiona Zaleski, once one of Downtown's biggest cheerleaders and an organizer of major Downtown events.
But in the past few years, she neither attended to the building - nor responded to possible sale offers. The DRC's Sutherland said there had been interested potential buyers, but Zaleski - who could not be reached for comment - "has indicated the building's not for sale."
It will be soon, barring a miraculous reversal of the foreclosure. Johnson Bank will own the building which is assessed at $251,500 ($288,000 including the land) and will likely put it on the market.
The structure, which includes a mezzanine, definitely has possibilities for helping to add value to the 300 block of Main Street.
Blockbuster speaker
Each fall, Racine Area Manufacturers and Commerce holds something called the RAMAC Management Dinner. Each year it brings in a speaker for the event.
This year RAMAC has hit a home run with its keynote speaker: none other than Milwaukee Brewers principal owner Mark Attanasio. He has to be one of this state's most popular men right now, having raised the team from mediocrity to the playoffs.
I know a business reporter from this newspaper who will make sure to hear Attanasio's talk.
Business reporter Michael Burke can be reached at (262)631-1716 or by e-mail at mburke@journaltimes.com To announce a new business complete the form at:
http://journaltimes.com/newbusiness