Thought Leadership

3 Signs Your Downtown Rules May Be Holding Back New Businesses

Written by The Planning and Zoning Team | Sep 9, 2026

Empty storefronts are hard to ignore. They can make a downtown feel quieter and leave people wondering what is holding it back.

But an empty space does not always mean no one wants it. Sometimes, a business finds the right location — then runs into a rule that makes opening too hard or too expensive.

In SAFEbuilt’s Revitalizing Downtown webinar, planners Jim Hickey and Dave Dixon explore how communities can identify the barriers between an interested business and an open storefront.

You do not need to revisit every rule or overhaul your whole downtown at once. Start by looking for the patterns that keep getting in the way.

1. A business is interested, but the space still does not work

A business owner finds a space that looks promising. The location is right, the building has potential, and the business seems like a good fit for the block.

Then the requirements start to add up.

It might be:

  • A parking rule the site cannot meet
  • A business use that is not allowed there
  • An approval step that adds more time or cost than the owner can manage

Each requirement may make sense on its own. Together, they can make a viable space difficult to use.

Ask yourself: Could a local business open here under the rules we have today?

When a business walks away, ask what changed their mind. If the same barrier comes up repeatedly, that is useful information. It may point to one rule that deserves another look.

2. The same few blocks keep falling behind

Vacancy can look like a downtown-wide problem. But often, it is concentrated on the same few blocks.

That pattern matters. It may mean the spaces are harder to use, or that the rules no longer fit the type or size of business the community hopes to attract.

Ask yourself: Where could a focused change help most?

Looking at one block closely can reveal a barrier that is easy to miss in a downtown-wide conversation. It can also help your team focus on the change most likely to create momentum.

3. Residents first see the plans when it's time to vote

A proposed update may make sense to your team. But if residents first hear about it at a public meeting, they may not know what it means for their street.

Without a clear picture, people are left to fill in the blanks. The discussion can quickly shift from what is actually proposed to concerns about what people imagine could happen.

Show residents what you are considering before the vote. A simple visual, rendering, or model can help them understand the proposal and respond to the change in front of them.

Ask yourself: Can people see the idea before they are asked to weigh in?

The goal is not to tell people what to think. It is to give them enough context to weigh in on what is actually being considered.

See the full four-step framework

The three signs above can help you spot where your downtown may be losing momentum. The next step is deciding what to examine first — and how to turn what you find into an actionable update.

SAFEbuilt’s free, on-demand webinar, 4 Ways To Fill Empty Downtown Storefronts, gives your team a practical framework for prioritizing opportunities, working through barriers, and building support for change.