Fort Lee NJ, Businesswoman Linda T. Barba of Fort Lee today announced her candidacy for Bergen County executive. “I want to restore Bergen County to a place where our residents feel safe in all areas of their lives – physically, mentally, and economically,” said Barba, a 40-year-resident of the county, and a Republican. “We have seen our elected officials from Trenton to Washington to Hackensack, year after year, fail our families. It’s time for new people and new ideas to shake up One Bergen County Plaza and start to help businesses and families recover from the pandemic and protect our residents.”
Correct me if I are wrong. My general understanding is there is not widespread ownership of downtown commercial properties but that many of the downtown buildings are long time holdings by several who enjoy relatively low acquistion costs.
It appears that vacancies can be sat on instead of lowering rent because they can given the large cash flow coming in from other ongoing rentals. I do understand the basic economic principle that supply and demand sets prices and the market will bear what it can but I also understand that artificial price supports can be in place given any degree of monopoly and I believe that this is reflected in vacancies and heavy turnover at many spots.
Landlords do have the right to decent ROI at current values but rents do appear excessive in comparision to other towns and some numbers Ive seen for spaces are simply astronomical . The current rent structure eliminates most low margin businesses and any real chance for mom and pop shops to succeed long term so you see the opening and closing of many fine hopefuls which has as much or more to do with high rents than parking.
Ive watched numerous places with good nearby parking turnover a few times, ie the cozy coffee shop on the park corner, not because of parking but because of exorbitant rents. I do think parking should be addressed as it could be improved but landlord wishes to maintain high prices or further raise rents are secondary because their bottom lines dont need to be supported or subsidized.The value of their holdings can also operate and fluctuate in a fair market . It would be optimal to get the most convenient parking spot when visiting an establishment and not have to circle around but I eventually find one within walking distance in relatively short time .
The new council appears to be prudent and open to exploring parking options that could address the whole spectrum and I would also hope that they have discussions with the few dominant landlords and prod them to do their part in seeing housed businesses succeed and seeing that vacancies dont persist. To landlords, I would say look at your bottom lines vs today’s values and decide if you have squeezed the lemon too hard and if it is hurting the community in which you’ve invested.
