Downtown Phoenix businesses along Valley Metro’s South Central Extension route are seeing a sharp decline in customers as construction continues.
According to its website, when Valley Metro began planning the extension with Kiewit as its contractor, it formed the Construction Advisory Board (CAB), a board composed of residents, businesses and property owners whose goal is to report community concerns to Valley Metro.
“The CAB’s main concern is monitoring the manner in which Kiewit constructs the project to have as little negative impact on the community as possible,” Tom Stillwell, vice chair of the advisory board, wrote in an email.
The north sector of the board met on Sept. 16 to outline project updates and community impact with Valley Metro contractors and construction supervisors. According to the Valley Metro website, the extension is expected to be complete in 2024 and will include eight stations across 5.5 miles of new track.
After some discussion, board members began opening up about how their businesses or those around them have been impacted by construction on the extension.
Steve Cottrell, a member of the board, owns a cannabis dispensary on Central Avenue and Victory Street. He said his business has been heavily impacted by construction on the alignment, with customer count down 75%.
“That entrance to Central Avenue continually is being shut down, but yet there is nobody. There’s no construction going on around there,” Cottrell said.
Cottrell isn’t the only one feeling the impacts of the street closures and barricades. Azukar Coffee, a coffee shop located just outside the CAB north boundary, recently closed, citing the construction as the main reason for their business failing, CAB Chair Ben Tietgen said.
“This is at the heart of what the CAB is for. Sure, it’s fine for us to hear about noise complaints … but the ultimate impact of this project is the closure of business,” Tietgen said.
Jay Proskovec, communications specialist for Kiewit, said the firm is “very understanding” of businesses impacted by the project. Kiewit has been working to ensure businesses are aware of potential disruptions by issuing notices of street and sidewalk closures ahead of time.
“We do our level best to support businesses along the alignment,” Proskovec said. “We’re not just turning a blind eye. We are trying to help where we can.”
Members acknowledged Kiewit’s attempts to assist these businesses and keep them afloat.
“Unfortunately for Jay, the day their company was given this contract, that big target was put on their back,” Cottrell said. “They may be doing the best job humanly possible, but the fact that construction is present in this environment is definitely harming people’s businesses.”
Construction isn’t the only issue leading to the closure of businesses. The COVID-19 pandemic, which began after planning for the extension was complete, added a new layer of difficulty to businesses already struggling to survive along the route.
“The needs are different now,” said Erika Rubio, a CAB member. “Not only are they dealing with construction, but also a pandemic.”
Squid Ink Sushi Bar’s CityScape location was one of the businesses that closed due to both COVID-19 and the construction. During the pandemic, Squid Ink was unable to deliver because its owners didn’t think sushi would deliver well, Rubio said.
Businesses impacted by the construction are seeking rent relief to alleviate their situation, but have encountered difficulties securing financial assistance. The city encouraged them to seek county, state and federal resources dedicated specifically to business assistance.
“They’re [businesses] getting a double-tap between COVID and construction,” Victoria Bray, a Valley Metro business assistant coordinator, said. Until construction is complete and the downtown area fully recovers from the pandemic, business owners said they’re forging on.
Amidst echoing construction noise and dwindling customers, they’re opening their doors to the Phoenix community
“It’s not pleasant. The fact that we have to wait till 2024 with this is even more uncomfortable,” Cottrell said. “But this is what I’ve been given and this is where our businesses are located, so we have to suck it up and hopefully deal with it.”
Contact the reporter at idortch@asu.edu.
