Study Session:Vacant Retail Activation Pilot Program
Katie Donner
Management Analyst I
Economic & Community Development Department
February 12, 2025
1 Challenges of Vacant Storefronts
Economic challenges are a cause of vacant storefronts.
Issues including maintenance, graffiti, & vandalism can cause a negative perception of business corridors.
Vacancies can have an impact on surrounding property values. 2 Economic Support Initiatives
Economic Advancement Center
Property and Business Improvement District (PBID)
Small Business Grants
3 Challenges for Entrepreneurs
Many small businesses start in pop-ups, markets, or fairs.
Moving to a commercial space increases costs & financial risk.
Tenant improvements, high rent, & lease terms create obstacles. 4 Program Overview
Aims to fill vacant retail storefronts & support small businesses.
Reduces financial barriers for new brick-and-mortar businesses.
Enhances commercial corridors and sustainability.
5 Similar Programs in the Bay Area
San Francisco – Vacant to Vibrant
San Jose – MOMENT
Santa Cruz – Downtown Pops!
Common Strategies:
Discounted Rent
Short-Term Leases
City Partnerships
6 Identified Storefronts for Activation
634 El Camino Real (1,600 sq. ft.) – Former fitness gym 7 Identified Storefronts for Activation
244 Grand Avenue (345 sq. ft.) – Previously used for storage 246 Grand Avenue (720 sq. ft.) – Former barber shop
8 Proposed Lease Structure
Short-term leases
Up to $10,000 tenant improvement (TI) allowance
Lease rate of $1.00 per square foot, triple-net (NNN) leases 9 Eligible Businesses
For-profit startups or entrepreneurs
Seeking their first retail storefront
Participants in Renaissance Entrepreneurship Center programs/EAC Clients preferred 10 Marketing & Outreach Plan
Solicitation of Request for Interest (RFI)
Multi-lingual marketing through:
City Website
City Social Media Platforms
South San Francisco Chamber of Commerce
Economic Advancement Center clients
11 Selection Process & Evaluation
12 Implementation Timeline
13 Expected Benefits of the Program
14 Discussion & Council Direction
Staff is Requesting Feedback & Direction On:
Program Structure
Lease Terms & Incentives
Long-Term Sustainability
15 Thank You!
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