> ## Content Index > Fetch the complete content index at: https://www.smdp.com/llms.txt > Use this file to discover other available public pages before exploring further. # Exodus on Main Street - URL: https://www.smdp.com/exodus-on-main-street/ - Published: 2008-06-21T15:00:00.000Z - Updated: 2026-10-25T00:17:12.000Z - Author: Melody Hanatani - Tags: Business, Main St, #archive-import *Rent, poor economy blamed for vacancies* First it was Eames Office, the gallery and retail store leaving for a roomier spot on Pico Boulevard. Then came Earth Accents, the natural furnishings company enjoying a short run in the commercial district, ultimately replaced by children’s boutique Harper Lane. Three businesses, two years, one retail space — the 2600 block of Main Street serves as a microcosm of the retention issue that has become an occurrence along the southern Santa Monica shopping destination. Nearly 30 businesses have bid farewell to Main Street since 2006, some long established like Schatzi on Main, others shorter lived, the reasons for their departures running the gamut, from unaffordable rent to low consumer spending due to a sluggish economy to a death in ownership. The majority of the businesses have left the seaside shopping district since the spring of 2007, some replaced by failed enterprises that have since vacated, some retail units that have yet to be leased to a new occupant. “A lot of places operate on such a tight margin that if the economy takes a hit, they’ve lost their margin,” Gary Gordon, the executive director of the Main Street Business Improvement Association, said. The reasons for the exodus have been attributed to a lethal combination of factors, consisting of unfeasible high rents, poor economic conditions and in some cases, an unfortunate location. “If economic times are good and the rent is high, it’s less of a hit than if the economy is poor and the rent is high,” Gordon said. “Sometimes, it’s whether or not the business was well run or well positioned in terms of what they sell,” Gordon said. “I know of one retail store that had a record April in the middle of everyone else having terrible numbers.” The list of closed businesses is about to get longer. After more than a year, boutique Beauty and Wisdom plans to close its doors this weekend, owner Janabai Amsden deciding to shut down after experiencing a dip in retail sales, planning to focus instead on her thriving restaurant, Euphoria Loves Rawvolution. “The boutique fell into the current climate easily because it’s retail,” Amsden said. “The cafe doesn’t follow that pattern, it’s the most unique restaurant in all of Santa Monica and has been built around a growing clientele.” Amsden said she has noticed more and more entrepreneurs going out of business and for-lease signs popping up across Main Street, which in itself has seen a decline in foot traffic the past few months as the economy is on the brink of a recession. “It’s surprising to see the signs and places that are coming and going rather quickly,” she said. “Our end of north Santa Monica has seen a lot more growth, but the south area seems to be slowly diminishing.” Three of the city’s four major business districts — Pico Boulevard, Montana Avenue and Bayside — saw an increase in taxable sales revenues in 2007, the lone exception being Main Street which saw its figures dip by a small.01 percent. The street generated roughly $1 million in sales tax revenues, according to Carol Swindell, the finance director for City Hall. While other districts report business turnover during the past few years, it is far less than what has been seen on Main Street. In the Pico Boulevard District, which stretches from the beach to the West L.A. border, turnover has been minimal, losses including a party supply store and record shop, according to Bob Kronovet, the president of the Pico Improvement Association. Airport Pharmacy also left the area last summer. “It’s been a pretty solid environment on Pico,” Kronovet said. Turnover typically occurs in phases, some years experiencing a mass exodus, other years seeing a trickle, according to Jane Walker, the manager of Three Bags Full on Montana Avenue. The issue on Montana Avenue has been an influx of corporate chains, with the addition of PinkBerry and Lucky Brand. A Williams-Sonoma is also expected soon. “I was on Main Street 30 years ago and I remember one year when we had a two-block area where 17 businesses went in and out in one year,” Walker, a board member of the Montana Avenue Merchant Association, said. “On Montana one year we had about 25 businesses go in and out.” Turnover has been fairly minimal on Montana the past few years, businesses like Room with a View and Merle Norman Cosmetics bidding adieu. While street activity has seemingly slowed down on Montana, there are other factors that have some business owners concerned. “The last month it’s been slow,” Walker said. “The foot traffic is not at all what it used to be.” But for many businesses, the blame is placed on the rent. Joel Mikkalson, the owner of Ritual Adornments, said he is considering moving his bead store next year after 15 years on Main Street. The problem is his rent, which costs him $11,500 a month. “I love Main Street, I picked it because it’s quaint and by the ocean,” Mikkalson said. “It’s the only place culturally that I can survive in L.A.” He said part of the problem with the turnover on Main Street is a lack of what he calls “focused merchants” — business owners who work on developing their businesses internally, organically and setting up so that it can compete against corporations. “They plan how they can be competitive against multi-national corporations, doing diverse products, and outsourcing,” he said. Ron Schur, the owner of the Galley Restaurant, said he doesn’t believe the turnover is a problem that’s attributed to Main Street itself, pointing out that businesses that have something to offer will survive. “If you build it, they will come,” Schur said. The Galley is the oldest restaurant in Santa Monica, opening on the Santa Monica Pier in 1934 and moving to Main Street in 1946\. Schur, often called “Captain Ron,” purchased the restaurant in 1989. “I think Main Street is one of those unique streets left in California in terms of being in a homey place where you know your neighbor, your UPS man,” Schur said. “There are so many Main Street regulars.” Improving business In an effort to promote local businesses, the city’s merchants associations every year host a number of events to attract foot traffic to the area, large-scale outdoor parties ranging from the Pico Art Walk to the Holiday Walk on Montana Avenue to the Summer SOULstice on Main Street, which will take place on Sunday. The Pico Art Walk, which launched in 2006, will expand this year to include a vintage auto show, a way to promote the auto-related businesses along the popular shopping area, according to Jennifer Taylor, the City Hall economic development liaison to the Pico and Montana districts. “It helps raise the profile of the businesses and attract more customers,” Taylor said. The merchants association on Main Street has also undertaken a number of initiatives to protect their businesses, including convincing City Hall to provide free parking at a beach lot during the Sunday Farmers’ Market. The Main Street parking lot was filled every Sunday by Farmers’ Market shoppers, who often don’t stay to patronize the other businesses, according to a survey conducted by the merchants association. 40B,“If a third of the lot is taken by just people at the Farmer’s Market on Sunday then a significant number of spaces aren’t being available for all other businesses on the street for customers,” Gordon said. After lobbying by the association, City Hall decided to open the beach lot, which is located about two blocks away from the Victorian, to Farmers’ Market patrons for free. The association also secured free employee parking at the beach lot during weekdays and off-season weekends, keeping street spaces open for customers. “The spaces at the beach weren’t being used and meanwhile Main Street employees were parking in meter spaces or in the neighborhoods,” Gordon said, “making life more difficult for people in the neighborhoods and more difficult for businesses on Main.” Jump hedline: Rent, poor economy blamed for businesses’ demise, Suggested pullquote: “It’s surprising to see the signs and places that are coming and going rather quickly,” Janabai Amsden Owner, Euphoria Loves Rawvolution *Originally published in the Santa Monica Daily Press print edition on June 21, 2008.* [Read the original PDF.](https://s3.us-east-1.amazonaws.com/smdp%5Fbackissues/062108.pdf?ref=smdp.com)