KQED's Forum

With So Much Vacant Ground Floor Retail, Why Are We Still Building More?

Jun 3, 2025
Sujata Srivastava, Chief Policy Officer of SPUR; Alex Sagues, a senior vice president at CRBE specializing in retail; and Dr. Daniel G. Chatman, UC Berkeley's planning department chair, tackle the growing issue of vacant ground-floor retail in the Bay Area. They discuss the disconnect between retail demand and supply, the lingering effects of the pandemic on consumer behavior, and the need for innovative planning to revive urban spaces. Strategies include exploring flexible zoning, community-focused initiatives, and adapting to changing retail landscapes to fill these crucial areas.
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INSIGHT

Unintended Vacant Retail Result

  • Mandatory ground floor retail was meant to energize neighborhoods with vibrant street life.
  • Instead, many spaces remain vacant, dampening urban vitality in Bay Area cities.
INSIGHT

Policy Overreach Creates Vacancies

  • Cities require ground floor retail to boost economic development and walkability.
  • Universal mandates without context often backfire, creating oversupply and vacant spaces.
INSIGHT

Density Key to Retail Success

  • Retail requirements often ignore if housing density justifies foot traffic.
  • Lack of density and parking reduces viability of required retail spaces on ground floors.
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