Survival mode along ART route - Albuquerque Journal

Survival mode along ART route

Bessie Romero was sitting in the back of her West Central shop on a recent afternoon when a young man representing Albuquerque’s bus rapid transit project walked in.

He had come to alert her that route-related construction would begin Oct. 24 in front of her store. It should last about two months, he said.

Romero – positioned among the silk flowers, lace, ribbon and party supplies she sells – was polite to the unexpected visitor. She said she’d open her nearby events hall to the construction crew for restroom needs. She was congenial even while describing her feelings about Albuquerque Rapid Transit, or ART.

“I don’t like it,” she said. “I will never like it.”

Touted by the city as a transformative, light rail-like option, but with a much lower price tag, the $119 million ART system will feature a network of bus-only lanes and stations in the middle of Central Avenue between Louisiana and Coors. The nine-mile route cuts through a diverse commercial corridor with tony boutiques, high-end restaurants and mom-and-pop specialty retailers, plus tire shops, aging motels and fast-food chains. Construction should wrap by late 2017.

Mayor Richard Berry says ART will improve transit through the heart of the city and spur development, calling it “a world-class project that will bring opportunity for Central Avenue and the people of Albuquerque.”

Some businesses along the route, though, have voiced the fiercest objections to ART. They have argued that construction, and even the finished product, could hurt their business, in part by limiting access.

But despite pending litigation, ART is moving forward. Heavy construction will begin on five different stretches today. New waves of work will begin on Oct. 24 and Nov. 14.

Now, affected businesses are figuring out how to cope.

Romero’s plan includes taking her wares out to customers. She already does that on various Native American pueblos, but now she might go more often to overcome slower in-store business. It can be inconvenient, but Romero said she’s a “fighter” who survived construction near her store’s old location.

“I’ll do what I have to do to survive,” she said.

Small-business resources

Kelli Muwumba of the Small Business Resource Collaborative, left, helps Gertrude Zachary store manager Janeice Silva with some digital marketing tools during a recent visit to the shop. (Adolphe Pierre-Louis/Albuquerque Journal)
Kelli Muwumba of the Small Business Resource Collaborative, left, helps Gertrude Zachary store manager Janeice Silva with some digital marketing tools during a recent visit to the shop. (Adolphe Pierre-Louis/Albuquerque Journal)

There are about 400 small, independent businesses along the route that rely on walk-in traffic, said Vanessa Roanhorse, one of three consultants with the Small Business Resource Collaborative (SBRC). Created to aid those businesses during construction, the SBRC’s “navigators” are funded by the city.

Major transit projects elsewhere have hurt businesses, Roanhorse said. ART, she added, could potentially double the vacancy rate along the corridor.

The collaborative aims to limit the impact. It offers website creation and marketing strategy support. Consultants can also help businesses hone accounting systems and other financial practices to improve efficiency. They have worked with even some of the area’s most established, successful businesses.

Janeice Silva, Nob Hill store manager for local jewelry giant Gertrude Zachary, credited the collaborative for her new social media skills. Now, she can supplement the company’s existing marketing efforts with her on-the-ground knowledge of the clientele. Working with SBRC’s Kelli Muwumba, Silva has begun posting photos of the store’s less expensive items, perhaps enticing a new audience.

SBRC’s team also connects businesses to local microlenders and other small-business resources.

Roanhorse said some programs are modeled on the Neighborhood Development Center, a nonprofit financial institution that helped businesses weather light rail construction in Minneapolis-St. Paul, Minn.

But reception to SBRC has been lukewarm.

The collaborative has visited all 400 businesses since February, Roanhorse said. It established contact with almost 300 owners, but is actively working with just 38, perhaps due to the belief – or, in some cases, hope – that ART would never happen, she said.

Gary Oppedahl, the city’s Economic Development director, said he expects activity to increase as ART construction ramps up and owners feel the need. “We knew it was going to be slow,” he said.

The consultants say they don’t care where a business stands on the project. They just want to help.

“This is it,” Roanhorse said of construction’s onset. “We are here for you; we want to be here for you.”

The goal is for that help to include a loan program, perhaps with funds for “forgivable loans.” In Minneapolis-St. Paul, businesses got a total of about $4 million in forgivable loans.

However, Albuquerque’s so-called Central Fund remains a work in progress. Roanhorse said the source and amount of funding is “still in discussion,” but more businesses working with SBRC could help determine the actual need and justification for such funding.

Oppedahl said it takes time to build such a fund, but expects to have it up by year’s end. Qualifying businesses could tap it for forgivable loans if they can demonstrate a construction-related hit, or other low-interest loans.

The state’s anti-donation clause prevents the city from giving businesses money, so the fund requires philanthropic and private sector support. The McCune Charitable Foundation has already given some money; it has declined to say how much, only that it was less than $100,000.

Lifelines for businesses

The city’s Economic Development Department has spent $105,000 on “navigators” like the SBRC and expects to add another $150,000. It has also spent $65,000 for ABQ66, a mobile app/website with a directory of businesses along the route; and $25,000 for Central New Mexico Community College coding students to help develop business websites. It will contribute $20,000 to support MainStreet events. The Nob Hill MainStreet organization, for example, will host a series of special events in the area starting this fall, Executive Director Carolyn Chavez said.

More than 100 businesses have signed up for promotional support through the online directory, 66 Reasons to Love Route 66, a program promoted through the city’s Transit Department.

O’Niell’s in Nob Hill recently hosted the second in a series of weeknight “pop-up” events at businesses along the corridor, featuring a Mariachi Nuevo Sonido performance. Called ARTBeat on the Street, the events drive traffic to a business willing to offer some kind of special, with the city promoting and advertising the events on billboards and paying the musicians.

O’Niell’s offered a free chips and salsa bar for the event, and co-owner Robert Munro estimated it drew 75 people. Officials say the previous week’s pop up at Rude Boy Cookies brought in 150.

Munro, who has championed ART and plans to spend thousands improving his venue’s streetfront in anticipation of the new line and city upgrades, anticipates the associated advertising the city did for the event will have lingering rewards.

Larry Rainosek, owner of the Frontier and Golden Pride restaurants, said he doesn't qualify or isn't interested in the city-sponsored programs available to help businesses affected by Albuquerque Rapid Transit construction. He said his other restaurants will have to help him absorb the impact ART will have on the two restaurants he has along the route. (Adolphe Pierre-Louis/Albuquerque Journal)
Larry Rainosek, owner of the Frontier and Golden Pride restaurants, said he doesn’t qualify or isn’t interested in the city-sponsored programs available to help businesses affected by Albuquerque Rapid Transit construction. He said his other restaurants will have to help him absorb the impact ART will have on the two restaurants he has along the route. (Adolphe Pierre-Louis/Albuquerque Journal)

But restaurateur Larry Rainosek isn’t counting on much assistance with his two affected eateries – Frontier and the Golden Pride on West Central. He is too big to qualify for SBRC’s services, since he has five total restaurants with combined annual revenue that top the program’s revenue threshold. Even a city-promoted pop-up holds little appeal since he fears it could alienate customers.

“If they’re asked to come down to the Frontier and then they’re in traffic for 10-20 minutes to come to an hour or two-hour event, they might say we’re not very smart,” he said.

Ultimately, said Nob Hill MainStreet’s Chavez, businesses just need customers.

“The impact of the project is really dependent on how the community reacts to the traffic,” she said. “If they want to make sure Nob Hill businesses survive the construction phase, they have it well within their power to help small business thrive in Albuquerque.”

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