A downtown office is one of the many perks that come along with working for the Economic Development Department. Sixty-five different restaurants within walking distance, a brewery across the street, and retail opportunities right outside my office. How lucky are those that have this amenity outside their door? But things are changing, and depending on the observer, some would contend that the changes are for the worse. I disagree, and here is why.

The impending doom of the influx of students to our downtown is on everyone’s mind and at the forefront of a lot of conversation. There are approximately 18,000 people within a ten minute walk of our downtown today, and between the Uncommon, Georgia Heights, and The Mark, this number could grow by 15% over a five year period. Although there is legitimate concern that this will create more demand for bars and clubs, these new residents will also create new demand for services and for daytime retail operations in downtown. There is a certain percentage of the student population that will inhabit our downtown late at night; moving a portion of this population downtown will not necessarily increase demand for bars and clubs. In fact, it may reduce health and safety issues associated with transporting these students between downtown and home (since in theory the distance will now be walkable). I would contend that the net impact of the increase in demand from these residents for daytime services and household wares should outweigh increased demand for bars and clubs.

There is another interesting side effect of student housing developments that stems from this community’s efforts to increase density in our downtown. With the adoption of the downtown commercial zoning code, new student housing developments must have commercial uses on the bottom floor. Between Uncommon Athens, The Mark, and Georgia Heights, there will be over 100,000 foot of commercial space created in downtown. If our absorption rate does not change, this could take ten years to fill! Simple economics would indicate that as this supply of space is built to the point of surplus, cost for the space should go down, and we are already seeing this effect. 

So from a demand standpoint, we are expecting tremendous population growth in downtown over the next few years; on the supply side, we are expecting a surplus of space in our downtown. This is great news for business! There will be more patrons in downtown for retail operations, but more importantly, if you operate a business that could benefit from a downtown location, rates for space in downtown are getting cheaper. As businesses fight to remain relevant to the millennial generation and to attract top level workforce, our downtown is poised to be the benefactor. More professionals will move their operations to our downtown for the walkability, built in amenities, and economical rent. 

As the student population increases and the demographics of the average citizen in downtown evolve over the next few years, we must be careful to protect the diversity and history of our downtown. If we lose the authenticity of places like the Hot Corner, which is the historic African-American business district in Athens, or the Morton Theatre that hosted Duke Ellington and Louis Armstrong, we will have missed the mark. A student must feel comfortable walking home at midnight just as a member of our minority community should feel comfortable walking to the store for milk in the evening or to the pub for a drink.

The Economic Development Department is excited about working with our partners such as the Downtown Development Authority to facilitate the growth of businesses in downtown and to leverage the impending doom of the student influx to create a downtown that is attractive to (and filled with) a robust population of the young professional, creative class.