Decline of African-American owned businesses in Adams Point

Since the end of Oakland's foreclosure crisis, my family has noticed a visible decline in businesses owned by African-Americans in the Adams Point Neighborhood.  In 2006, my husband and I moved into a neighborhood which had a sizable number of businesses owned and operated by African-Americans.  The businesses were diverse: clothing stores, hair stylists, barbers, cafes, a bar, a photographer, and a funeral service.  Now, many of these businesses have gone out of business or moved because of fewer customers and rising rents.

The African-American community in Oakland was one of the hardest hit ethnic groups during the foreclosure crisis and the Great Recession.  In Oakland, many African-Americans lost their municipal jobs due to large budgetary cut-backs.  Additionally, a large number of African-Americans were displaced due to their homes being foreclosed.  The result was that African-American owned businesses lost their customer base due to decrease spending and displacement.

It is unclear if the remaining businesses will survive; those left will need to be able to attract non-African-American clientele and adjust to rising rents, if they wish to keep their doors open in the Adams Point Neighborhood.

This African-American barber shop is one of the few African-American businesses still operating in the Adams Point Neighborhood.

Bay Grape Wine Shop (shop with a grape leaf hanging in front) now inhabits a space that used to be occupied by an African-American run hair salon.

Photo of vacant storefront behind green and yellow cars.  Vacant storefront used to be home of Positive Images which was run by an African-American photographer.  The store is now inhabited by Oaktown Spice Shop.  When we moved to Adams Point Positive Images and an African-American clothing store were operating on this stretch of Grand Ave.  Both are now gone.

New signs drawing attention to the Adams Point Neighborhood

From Affordable to Luxury in the Eastlake Neighborhood

In recent months, I have been walking with my neighbor around Lake Merritt and passing by 1824 Lakeshore Avenue in the Eastlake Neighborhood.  From 2001 to 2006, Manny and I lived in a one-bedroom apartment at 1824 Lakeshore Avenue; we left the building when we purchased a two-bedroom condominium on the other side of the lake in the Adams Point Neighborhood.

The building has a spectacular view of Lake Merritt and downtown Oakland and is located in the Eastlake neighborhood- a predominately Vietnamese and Chinese immigrant community with a median household income of $30,000 a year.  Our building, like other buildings in the area, was affordable.  When Manny and I lived in a one-bedroom at "St. Bards" (the name on the awning of the apartment building), we paid $1,275 a month for the apartment with a fantastic view and its own parking spot.  During the four and a half years we lived in the building, the rent was only raised once from $1,275 a month to $1,325 a month.  Studio apartments in the building were rented out for around $800 a month and one-bedrooms were rented out for around $1,000.  The building was mixed with long-time residents as well as newer residents who were young professionals.  Manny and I were among the newer residents who chose Oakland for its relatively affordable housing stock.  During the time we lived in the building, we frequented the local Vietnamese owned restaurants, local video store around the corner (no longer in existence), Parkway Theater (no longer in existence), Albertson Supermarket Store (now Lucky's), and the Merritt Restaurant and Bakery.

Big changes are in the air in regards to our old building and to the make-up and character of the neighborhood of Eastlake.  St. Bards at 1824 Lakeshore has been transformed into a luxury apartment building.  Over a year ago, the old residents of the building were kicked out so the building could be gutted and remodeled.  Currently, the property management company, 2B Living, is seeking new tenants for the newly remodeled building.  2B advertises 1824 Lakeshore Avenue as located in a neighborhood with businesses such as "Portal Oakland, Fitness SF Oakland, Whole Foods, Peet's Coffee & Trader Joe's, and the Merritt Restaurant and Bakery."  2B Living is not shy about the new demographic they wish to rent to- 2B posts on its website: "Oakland- the new San Francisco."  Furthermore, the company brags that 1824 Lakeshore has such amenities as "white oak engineered wood flooring", "quartz counter tops", "top of the line stainless steel appliances", "high-gloss white cabinets", "personal washer and dryer in unit", and my favorite "shared, enclosed bike room."  2B Living is trying to attract a younger and wealthier tech crowd who may be enticed to move from San Francisco if they feel they can get more for their dollar in terms of location and price.  The rental prices listed for the units show that 2B Living does not want to rent to the working-class Vietnamese and Chinese families who have traditionally made up the Eastlake neighborhood- junior bedrooms start at $2,150, 1 bedrooms start at $2,550, and 2 bedrooms start at $3,550.

In a nut shell, an affordable apartment complex has now been turned into high price luxury housing.  The real estate moguls hope that neighborhoods like Eastlake will transform into high price areas.

My photo album showing a photo of "St. Bards" at 1824 Lakeshore and a photo of me on our old balcony taken in 2006

Photo of 1824 Lakeshore taken in April 2015

No more Sears

A title wave of change is coming to downtown Oakland.  When Manny and I moved to Oakland 14 years ago, downtown Oakland (and the area of downtown now called Uptown) was littered with vacant storefronts.  Friends and neighbors warned us to walk with caution in downtown because of street crime and even minor drug dealing.

Yet despite the noticeably high business vacancy rate and crime, Manny and I quickly discovered that downtown did have vibrant businesses and restaurants.  During the 1970's and 1980's, Oakland began a steady economic decline.  Yet, many businesses were able to stay open despite the economic downturn.  Today, there are many mom-and-pop restaurants, delis, coffee shops, convenience stores, and specialty shops which cater to a racially mixed middle-class workforce employed by large governmental and private organizations such as the City of Oakland, Alameda County, the Superior Court, the Federal Court, University of California, California Department of Transportation, Clorox, the Marriott Hotel, Kaiser Permanente, and the Oakland Tribune.  The mom-and-pop businesses in downtown are owned by African-Americans, Whites, and immigrants from Africa, the Middle East, China, Vietnam, and Korea (to name a few).  (On a side note: over the last 10 years there has been an influx of pot clubs and artists who were originally attracted to the area because of its central location and relatively affordable rents.

However, now that the tech boom is moving across the bay from San Francisco, I fear that the small mom and pop businesses will be forced out of downtown Oakland.  Once the tech industry is established it will push up rents and will bring a wealthier and predominately White workforce who in turn will demand higher-end restaurants and specialty shops.

I have personally witnessed this type of change when I worked on Market close to Fell Street (about 3 blocks from San Francisco City Hall).  About 6 years ago, Market had a high business vacancy rate and street crime was more prevalent.  However, there were many small mom-and-pop businesses that catered to employees from City Hall, the Superior Court, State Fund, and Bank of America.  I remember the wonderful Filipino family who ran a cafe on the corner of Market and Fell where I would get my morning coffee; the kids would help with customers before their dad would walk them to school.  Next door was a very popular sandwich shop owned by a transgender Chinese woman.  Next to that shop was a long established bar that served long-time San Francisco residents (I think the average age of the patrons was 65 years).  All this changed when the city began massive layoffs during the "Great Recession."  The mayor decided to invite the tech industry to "revitalize" Market and make the area more inviting to developers and tourists.  The mom-and-pop businesses I remember are all gone because they could not survive in the new climate.  Many of there clients disappeared due to lay-offs.  Twitter moved in and brought a wealthier workforce.  Today, the block has a high-end restaurant, high-end candy shop, and a high-end cafe.  My husband and I were told by one of the waiters at the restaurant that Twitter employees make up the majority of their customers during the weeknights.  The only thing that continues to be the same on Market are the homeless that sleep and huddle in doorways of vacant store fronts.

To sum up my feelings about the future of downtown Oakland: I am worried that new prosperity in downtown Oakland will not be shared.  The small mom-and-pop businesses who kept downtown alive during the lean years will be forced out of their centrally located shops.  They will either need to find a new location or possibly go out of business.  Below are photos I have taken showing that some of this is already beginning.  My prediction is it will increase when tech companies move into the old Sears building in 2016.

Recently closed Sears building to be remodeled for incoming tech businesses

Three of the five businesses on this block have closed or will close.  The only business on this block which is thriving is "Donut Savant" (high-end donuts for foodies)

Vo's Restaurant and Bar owned by an Afro-Amerasian woman has recently closed.  According to the sign a Cuban Tapas restaurant will open in its place.

Small mom and pop businesses hire local artists to paint on store fronts in hopes of keeping taggers away

Cassidy in front of a long time vacant business on Broadway which has a sign that a new restaurant will be moving in.

Cassidy in front of mural at 19th Street Bart Station.  19th Street Bart has recently remodeled in order to make it look more attractive to commuters.

City of Oakland's push for gentrification

Broadway Auto Row (now being renamed and redeveloped as Uptown)

Broadway Auto Row (now being renamed and redeveloped as Uptown)

Old 1/4 lb Giant Burger drive-in in the Uptown neighborhood 

Old 1/4 lb Giant Burger (not clear if it will stay burger drive-in or redeveloped into different business)

Oakland is changing rapidly.  The City of Oakland has made it no secret that it is rolling out the red carpet to developers.  The first two photos show old auto dealerships which are being redeveloped.  Oakland City Council wants to transform Broadway Auto Row into an area for high-end retail businesses and restaurants.  Over the last two years, I have noticed auto dealerships moving out and slowly being replaced by restaurants and clothing boutiques.  Broadway Auto Row was created in the 1990's as a way of creating jobs and bringing people outside of Oakland into the city to spend money.  The development project was successful.  However, Oakland's city leaders believe the city can make more money by attracting high-end retail and restaurants.  The city has already replaced the signs designating the area as Broadway Auto Row with signs designating the area as Uptown.  The Uptown redevelopment pushed by our former mayor Jerry Brown was originally planned for only the north end of downtown Oakland.  Jerry Brown assured city residents that the Uptown development would not disturb the neighborhoods north of downtown or around Lake Merritt.  However, the Uptown development project has fueled gentrification beyond its borders.  The residential neighborhoods (Pill Hill, Oak Glen Park, and Oakland-Harrison corridor) next to Broadway Auto Row a.k.a Uptown will all be greatly impacted by the redevelopment.  Once restaurants and high-end retail moves in, the surrounding areas will be seen as "desirable" to live in.  Older residents will be pushed out (if they were not lucky enough to buy) and they will be replaced by wealthier people who most often are white.

The bottom two photos show an old drive-in at the edge of the north side of downtown (within the Uptown redevelopment area).  Up until recently, Oakland has been home to old drive-ins, mom and pop run restaurants, diners, and bars.  As Oakland changes these old businesses are being replaced with restaurants and bars which cater to hipsters and wealthier customers.  The 1/4 lb Giant Burger has been in business on Telegraph Ave. for as long as anyone can remember.  Now, the drive-in has been shut down and workers have arrived to work on the building.  It is unclear if it will continue as a drive-in.  If it stays a drive-in it most likely will be remodeled to appeal to a hip, younger, and richer crowd.