Mill Avenue inches toward business recovery after years of construction setbacks, pandemic, tell me about this news in (https://www.abc15.com/news/region-southeast-valley/tempe/mill-avenue-inches-toward-business-recovery-after-years-of-construction-setbacks-pandemic)

The report focuses on the ongoing revitalization and business recovery along Mill Avenue in downtown Tempe, Arizona, following years of severe disruptions caused by major construction projects and the COVID-19 pandemic.

Key Factors Behind the Setbacks

• Infrastructure and Streetcar Construction: For several years, Mill Avenue experienced intensive constructionmost notably the multi-year development of the Tempe Streetcar system alongside street modernization projects. Torn-up streets, detours, heavy machinery, and reduced parking substantially cut down pedestrian foot traffic and made access difficult for customers.

• The Pandemic’s Impact: Just as businesses were coping with construction hurdles, the onset of COVID-19 resulted in mandated closures, curtailed dining, and a sudden drop in visitors. Arizona State University transitioned to remote learning and local office towers emptied, removing the student and commuter base that local shops, bars, and restaurants depend on daily.

• Turnover and Closures: The compounded pressure led to the closure of dozens of downtown businesses, including beloved, long-running establishments (such as Rula Bula Irish Pub and other longtime staples), leaving multiple storefronts along Mill Avenue vacant.

Signs of Recovery and Moving Forward

• Completion of Transit Projects: With the Tempe Streetcar completed and operating, access along the corridor has reopened, creating smoother public transit connections throughout downtown.

• Return of Foot Traffic: The return of in-person classes at ASU, corporate workers returning to surrounding offices, and the resumption of major street festivals and weekend events have helped restore pedestrian activity.

• New Leases and Developments: While vacancies initially surged, new dining, retail, and mixed-use concepts gradually stepped in to sign leases and renovate shuttered spaces, supported by joint economic initiatives from the city and the Downtown Tempe Authority.

• Persistent Challenges: Despite the positive momentum, merchants continue to navigate post-pandemic hurdles, notably elevated commercial rents, higher operating costs, and hiring challenges, making the recovery steady but gradual.