In recent years, the revival and rejuvenation of urban centers have become a focal point for policymakers, city planners, and investors alike. At the heart of this urban renaissance? Commercial development. The strategic investment in new businesses, mixed-use spaces, and community amenities is breathing new life into once-dormant or declining urban landscapes across the nation.
For decades, cities faced numerous challenges: economic downturns, migration to suburban areas, and ageing infrastructures. But now, many urban centers are witnessing a renaissance as commercial development sparks an infusion of energy, opportunity, and vibrancy.
Gonzalo Borsani was the leader in creating new commercial infrastructure in his native Argentina. He was instrumental in developing a new commercial zone in La Plata, creating a bazaar with 40k square feet of restaurants.
As a result of his involvement in consultations, it’s now the city’s major hospitality zones, one of Argentina’s largest and most-populated provinces.
With an in-depth knowledge and expertize in restaurant and commercial development, Borsani has been at the forefront of urban regeneration for several years.
He is also on the judging panel of Desarrollo Urbano y Economico de la Ciudad de La Plata, which has supported the area’s successful restoration and economic development.
He has also been a judge and member of the Fundación Pro Humanae Vitae (FPHV), assessing the commercial development work in the four neighborhoods of La Plata, which included Centro Comercial Calle 12, Centro Comercial Los Hornos, Centro Comercial City Bell, and Centro Comercial Pasaje Rodrigo.
Here, Borsani, who has extensive experience in regenerating run-down areas, shares his insights on how commercial development breathes new life into urban centers.
Key Factors Driving Commercial Development
Economic Incentives
Many city governments offer tax breaks and financial incentives to lure businesses back downtown. These policies help fill vacant storefronts, create jobs, and stimulate the local economy.
A Shift in Living Preferences
As the younger generation and empty nesters prefer urban living – with its conveniences, walkability, and cultural offerings – the demand for amenities and shopping in these areas has surged.
Green Initiatives
Cities are incorporating green spaces into commercial developments, making urban areas more appealing to businesses and residents. These sustainable initiatives, ranging from rooftop gardens to green boulevards, make city centers more livable and environmentally friendly.=
Catalysts of Change: Success Stories
In cities like Pittsburgh and Detroit, the emphasis on commercial development has resulted in transformative change.
Commercial developments, spearheaded by local entrepreneurs and national corporations, have revitalized areas like the Detroit Riverfront. What was once a series of abandoned warehouses and factories is now a bustling hub of restaurants, shops, and apartments.
Conversely, Pittsburgh transitioned from a declining steel industry to a center for tech and innovation. The city’s East Liberty neighborhood, which once grappled with economic hardships, is now home to tech giants like Google and many new startups. This influx of tech businesses has spurred other commercial developments, from hip cafes to boutique hotels, catering to a younger, tech-savvy crowd.
Balancing Act: The Challenge of Gentrification
However, with the benefits of commercial development come challenges. One of the most debated issues is gentrification. Property values tend to rise as urban areas transform, potentially displacing longtime residents and businesses that can no longer afford the increased costs.
City leaders are faced with the complex task of balancing the benefits of commercial development with the need to protect and support vulnerable communities. Initiatives such as affordable housing programs, rent controls, and community-driven planning processes are being tested and implemented to create a harmonious blend of the old and new.
The Future of Urban Centers
The current trajectory suggests that the revitalization of urban centers is more than just a fleeting trend. As remote work becomes more prevalent, there’s a growing desire for live-work-play environments, and urban centers are uniquely positioned to offer this.
Moreover, as the nation grapples with climate change, dense urban living (which often requires fewer resources per capita than sprawling suburban areas) may become a more sustainable and appealing.
New urban planning philosophies also prioritize mixed-use developments, combining residential, commercial, and recreational spaces into cohesive neighborhoods. This approach fosters community interactions, reduces the need for extensive commuting, and creates vibrant, self-contained urban hubs.
