Outlook
Economic Development and Technology Committee agenda items From Paul Little
Date Tue 4/21/2026 11:12 AM
To Gao, Beilei <[email protected]>,· Paul Little ^ >; Klug, David <[email protected]>; Hawkesworth, Matthew <[email protected]> Cc Hampton, Tyron <[email protected]>; Lyon, Jason <[email protected]>; Rivas, Jessica <[email protected]>; Madison, Steve <[email protected]> [A] CAUTION: This email was delivered from the Internet. Do not click links or open attachments unless you know the content is safe. Report phish using the Phish Alert Button. For more information about the Phish Alert Button view article "KBOOn474" on the DolT portal.
Hello Economic Development and Technology Committee members, First, I want to thank and congratulate your Economic Development Department and its staff.
They are doing excellent work in supporting the business community in Pasadena.
Initiatives such as the facade improvement program and grants to micro-businesses are effective means to stimulate our economy and support businesses that really need help now.
I also appreciate the reports presented to the committee at today's meeting. Your staff has done excellent work pulling these together and provided you with some significant insights.
A few comments:
Vacancy rates among retail spaces are scattered throughout Pasadena and result from a wide variety of factors, many outlined in these reports.
Some areas, such as North Lake Avenue have seen storefronts remain vacant for years. Even at significantly lower rents than other parts of the city vacancies persist because of blighted sidewalks, the persistence of problem individuals who camp on the sidewalks, inhospitable retail environments and large floorplate spaces that are not conducive to current retails needs, along with the unwillingness of neighboring residents to shop there (and more).
One of the biggest problems facing potential retail tenants is the extreme and inordinate length of time it takes to complete tenant improvements and open a business. (We have seen two fitness studios recently that have taken more than a year to open because of delays, overlong processes and misunderstandings with appropriate city staff. Quite frankly, it takes too long for permits to be issued, inspections and re-inspections to be scheduled and carried out and occupancy permits to be issued. The process is not well coordinated and is (apparently) not conceived or designed to encourage timely openings or enhance economic development.) Retail success is subject to many factors and often varies from business to business. What makes a restaurant successful, for example, can be very different than what makes a furniture store or dress shop prosper. Even among similar businesses, success can be dependent on very different things. That said, some things are true among all business: they are dependent on costs remaining stable, they rely on customer purchasing habits and they depend on predictability of both.
When costs rise steeply in a short time, businesses must react. They can do four things: raise prices, lower costs, move elsewhere or close. Raising prices can impact future sales and deter customers from shopping. Lowering costs often means reducing employee costs, since that is one of the few expenses controlled by operators. (Often, they react by doing both.) Moving or closing create vacancies (and diminish revenues to the city). None are positive for the business or the local economy.
So what can you do?
1. Take into account the costs to your local entrepreneurs when you take actions that will increase their cost to do business. And be mindful of other economic pressures that may be negatively impacting your business community concurrently.
2. Ask for a real and meaningful study of the processes required for a new business to open in Pasadena or existing businesses to expand. That would be a comprehensive and wholistic look at the processes required by the city. Then act upon recommendations to streamline processes and facilitate openings and expansions. Grasp control of those impediments that are within your ability to influence and speed the process.
3. Similarly, ask for real and meaningful study of the costs imposed by the City of Pasadena on businesses. Are these fees and charges necessary? Are they fair? What can the City of Pasadena do to reduce the cost to do business here?
4. Talk with business operators to find out what they have to say, what worries them and what pressures they are feeling in the marketplace.
Thank you for the work you do on behalf of Pasadena and your constituents.
All the best,
Paul
Paul Little
Paul Little
President and Chief Executive Officer
Pasadena Chamber of Commerce and Civic Association
Pasadena, CA 91106
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