Private, public downtown development gains momentum

When most people saw only vacant storefronts and neglected interiors, Brian King and Rob Weislocher, owners of the Mudhouse Cafe, saw potential. In late 1998, they began ripping up aging carpet to reveal original wood floors. They sandblasted plaster to expose brick. In 120 years, the building has been home to a beer distributor, toy store, coin shop, and now a coffee house. This South Avenue building typifies the evolution of center city. Entrepreneurs are restoring and reclaiming downtown's business scene.

"Twenty years ago, no one went downtown," said Ann Peck, community loan officer for the city of Springfield. "I think that there was even a fear factor. That's not the case now. There are really nice, upscale restaurants. Downtown is much more of a destination today. Also, there's just not as much vacant property."

Across the nation, communities like Springfield are looking inward to their center cities. Jim Anderson, Springfield Area Chamber of Commerce president, said the Community Leadership Visits program allowed local business leaders to see firsthand the resurgence of other communities' downtown areas. "We thought, hey, we need to be doing that,'" Anderson said.

"Columbia, Kansas City, and St. Louis all have very distinct downtown areas. There has definitely been a shift toward more things downtown," said Kevin Mackey, general manager of downtown Springfield Brewing Company.

There is financial incentive for businesses making that shift downtown. Packages include low interest loans and tax credit benefits for historic district locations. Since July 1999, Peck's office has awarded six small business loans in the downtown area and five facade loans. Amounts ranged from $12,000 to $200,000.

"Since 1984, we've awarded $4.5 million in downtown development loans. It has been leveraged by at least that much in private investment. From my standpoint, this will only continue. Our year starts in July, and we're out of money by October. There is just so much demand," Peck said.

Reasonably priced properties have helped spur growth. When Bob Horton opened Har-Bell Athletic Goods in 1967, he was drawn by the area's affordability. Now, Horton said he sees a new generation of entrepreneurs discovering downtown.

Dick Bennett, owner of Wheeler's Furniture, credits location on the square for Wheelers' growth, "Downtown has been good to us. We've had a lot of square footage and low overhead. Ultimately, we're able to give customers more value for their money because of less overhead."

Bennett said he remains committed to downtown, "We looked at locations in south Springfield, and we put that on hold. We've really expanded our operation in the last 20 years from 20,000 square feet to 40,000 square feet. Rather than moving out, we're spending more money. We're pouring money into the building, and we wouldn't be doing that if we didn't think that downtown's future looks good. We believe in it," Bennett added.

Key to downtown's past and future is the Heer's building. Warren Davis Properties plans to convert the building to office space. In late 2000, construction will begin to restore the building exterior. Ron Shepherd, property manager, anticipates demand on par with the McDaniel Building. Since the firm acquired it in 1994, occupancy has grown from 30 percent to 90 percent.

"We've seen downtown change from being a large retail center to a recreation and entertainment center with specialty dining," said Bill Compere, director of Urban Districts Alliance. "The community generally agrees that we need a vibrant downtown, and I think that this community also really feels that center city is theirs. With Jordan Valley Park, we're going to have even more community-oriented activities and development."

Anderson added that center city's revitalization is a combination effort of John Q. Hammons' investment, institutional development with Southwest Missouri State University, Drury University and Ozarks Technical Community College, passage of the hotel/motel tax, and joint efforts of public and private sectors.

Compere said from Vision 20/20 focus groups to the Downtown Springfield Association and DDEC.net, more people and organizations are promoting downtown redevelopment.

"Center city is a mirror of the entire area," Anderson said. "Throughout history, economic activity started in the center city. No doubt, center city is hot, and I think that it will remain hot. In the next five years, we'll see an acceleration of development."