Chains push local Mom and Pop stores aside

With Yale making no secret of its plans to draw national chains into the Broadway area, many owners of small businesses on Yale property fear that their survival is in jeopardy. Rents and competition have increased dramatically in recent years, and entrepreneurs who have operated in the area for several generations are worried that they will fall victim to the national trend favoring of corporate retail.

As part of its plan to revitalize the Broadway area, Yale has tried to move service businesses from current ground-level locations to the second floor to make room for retail stores. "As we talk to national retailers we want to maximize first-floor selling space," University Secretary Linda Lorimer, LAW '77, said. "Our larger concept is that services which rely on repeat business can be on the second floor--a successful common strategy used to develop areas."

Y Haircutting is one small business on Yale property targeted by this strategy. Owner Tony Mongillo said that he is not happy about the prospect of having to move. "We prefer the first floor, but if we have no choice we'll have to go to the second," he said. Phil's Hairstyles, which has resided at 19 Broadway for 14 years, might also be forced to move upstairs.

Patrick McGarvey/YH As Yale courts national chains to open businesses on Broadway property, some long-time tenants wonder if they will go the way of Dakota J's.

Other local business owners criticize the University for putting the interests of national retailers above those of longtime local establishments. "I don't think that's a good relationship to have with businesses that have been here for years," Lew Beckwith, owner of the Yankee Doodle, said. "To kick somebody upstairs to possibly rent the space to somebody three years down the road is unfair."

However, according to Jim Kurko, manager of University Commercial Properties, charges that Yale is forcing businesses upstairs are "absolutely 100 percent incorrect. Nobody is being required to do anything."

Still, some say that the costs of Yale properties are so high that only large corporate chains can afford to rent Yale-owned properties. "If these buildings were privately owned, they would be rented a lot quicker," Beckwith stated.

The increased rivalry with national chains like Au Bon Pain and Willoughby's has hurt local establishments that have been here for decades. Beckwith, who has worked in the area for 47 years, said he was forced to extend his hours and to open on Sundays in order to make up for business lost to his new competitors.

"I'm fortunate that I have family working here. If I had to hire people from the outside I wouldn't have been able to do it," Beckwith said.

The Daily Caffé, which has been situated on Yale property for eight years, has been another victim of corporate competition. "When Willoughby's and Au Bon Pain went in, they became a very convenient place for people to stop and cut off the flow of people up here," owner Steve Shapiro said. "The same number of people in the area have more choices.... We have seen fewer people come into the Daily because of it."

Managers of some new chains insist that it is possible for small businesses to survive alongside franchises if they are willing to modify their tactics. "You have to keep up with the competition or you'll get squeezed. That's the reality," Mark Duffany, general manager of Bruegger's Bagels, said. "Mom and Pop businesses have to offer different types of products.... If a business doesn't want to change, it will put itself out of business."

Some local business owners actually believe Yale's courting of chains is necessary to draw customers into the area. According to David Brause, fourth-generation owner of the Quality Wine Shop and a Yale tenant, "The Yale Co-op stopped being the draw long ago. When the Co-op lost business, we suffered. As much as we loved the Co-op, this area needs a draw to help us survive."

Brause insisted that chains will provide a cheaper alternative for students. "To sell goods at a reasonable price, you need businesses that can afford the rent," he said. "They're trying to look out for students' best interests.... As much as businesses may complain, everything Yale does is for students."

Many Yalies agree with this notion. "Small stores are way too expensive," Brenda Ng, BR '00, saidd. "We need chain stores with realistic prices."

Yet business owners like Shapiro question whether Yale's concern for students should jeopardize the survival of those who have faithfully served the area for generations. "I believe Yale's intent is good, but if it's at our expense it's not good," Shapiro said. "Is that what they want to accomplish? Is that what students want?"

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