Tough Economic Times on Southern Boulevard

By Lennin Reyes

Bronx Journal Staff Writer

Since 2008, a foul economic climate has ravaged shopping districts across the US. The recession has led to high unemployment and a rising cost of living. Locally, high taxes and rents have hurt long-time businesses along Southern Boulevard in the South Bronx. We spoke to some of these shops to see how they were faring.

Three businesses along the strip have had distinct struggles in recent years. The 75-year-old Sol’s Pharmacy has been a staple on Southern Boulevard. However, the owners say business slowed due to a double whammy of the recession and changes in insurance company policies. “We went from selling 12 packs of toothpaste a week to only four,” manager Danny Meenan said. “With changes in insurance coverage, all prescriptions are not covered, thus forcing customers to pay high prices for medicine,” owner Andrew Silverman added.

A fire ravaged through Southern Boulevard in late 2009, burning down several stores. One of them was Boulevard Shoes, which promptly moved across the street. “Despite the move, no one’s coming to shop here because of the recession,” owner John Morales said. “We’re on thin ice thanks to the high rents and taxes.”

Just south of the fire-ravaged building is Golden Dreams Jewelry. While unemployment and rent are major factors in their loss of business, Golden Dreams staff say other factors have affected their fortunes. “Since 2002, the price of gold increased from $289 per ounce to $1,707,” Stephane Lee said. “Despite their credibility, other businesses like barber shops and clothing stores are selling gold to make a quick buck.”

In addition to the high unemployment brought on by the recession, local concerns also play a role in the struggles of Southern Boulevard business owners. One of them is the lack of parking. “Parking has always been hard to find,” Southern Boulevard Business Improvement District Executive Manager Medina Sadiq said. “While a new parking lot was created underneath one of the new buildings nearby, it’s still not enough.”

Another concern is the high crime, mainly hold-ups and robberies. “Chase Bank and Duane Reade dealt with them,” Sadiq said. In response to the crime, businesses like Sol’s Pharmacy have security cameras installed.

In addition to these concerns, there are more recent issues affecting Southern Boulevard. Two years ago, a project meant to increase driver and pedestrian safety around the Hunts Point Avenue subway station came at the cost of business for the merchants. “Because of the changes, those in the Hunts Point peninsula cannot reach us since cars cannot turn onto Southern Boulevard,” Morales said. “This has resulted in the loss of some business for us.”

Another sign of the times comes in the form of cellular phones, say store staff. Phones, they say, have led to a change in priorities for shoppers. “While we get people without a dollar to buy medicine, they have the newest Apple iPhone,” Silverman and Meenan of Sol’s Pharmacy explained. Because of this, cellular phone stores are over-represented on Southern Boulevard, leading to the lack of variety on the strip.

Adding fuel to the fire is the opening of big box stores such as Target in the nearby Gateway Center Mall. “Those stores have everything in one place, which provides incentive for shoppers to shop there instead of going to us,” Meenan said. In addition to an existing Target at the Gateway Mall two miles west of Southern Boulevard, another Target is set to open two miles east at the new Throggs Neck Plaza by 2014. The sandwiching of the two stores could double the loss of business on Southern Boulevard.

Despite the odds stacked against them, Southern Boulevard business owners have big hopes and dreams for the future. “I hope we are able to get a department store to anchor the strip, similar to what Woolworth’s did with other shopping strips back in the day,” Morales said. “We need more sit-down restaurants in order to provide an alternative to McDonald’s and Burger King,” Sadiq said. “Jimbo’s Restaurant opened on East 163rd Street, but it’s not enough.” While these dreams are big, the business owners on Southern Boulevard have one main goal in mind — for business to get better before all of them are forced to close. “No one wants to give up on Southern Boulevard,” Lee said.