UPPER WEST SIDE (WABC) — A growing number of longtime businesses on Manhattan’s Upper West Side are facing challenges as neighborhood vacancies persist and business owners cite rising costs and changing consumer habits.
At Harvest Kitchen, where the restaurant says its guacamole has been voted among the top four in the nation, business remains active. The restaurant has employed more than 40 staff members for nearly two decades, but owner Jeremy Wladis said its future is uncertain.
“The economy is crushing us, tourism is crushing us. Every company tries to hit you with a fee for delivery now. People’s new diets, so they’re not drinking and eating as much, after Covid people learned they could stay home and watch anything that ever was on a computer, TV, or phone,” Wladis said.
Meanwhile, Jake’s Dilemma, a longtime neighborhood bar, is preparing to close after 32 years in business. The establishment is expected to shut its doors in a few weeks.
Vacant storefronts can be found throughout the Upper West Side. According to a city comptroller report, parts of the neighborhood rank among the city’s areas with the highest numbers of commercial vacancies, with some spaces remaining empty for extended periods.
In response, a local councilmember is proposing legislation aimed at addressing the issue. The measure would eliminate handshake lease agreements, which supporters say can leave tenants vulnerable to sudden rent increases. The proposal would also give commercial tenants the option to automatically renew their leases for up to one year, with rent increases capped at 10%.
“Overall, the Upper West Side is generally trending in a really good place, I think the vacancies are trending down. The prices have come down,” Community Board 7 member Doug Kleiman said.
Kleiman, who is also a commercial real estate broker, said the proposed legislation would help small businesses, though it may not address some of the neighborhood’s larger vacant spaces.
“On Broadway by comparison, some of the shops and some of buildings are larger footprint and when a large footprint store, a box store goes out, it’s not easy to lease,” Kleiman said.
Andrew Rigie of the NYC Hospitality Alliance said rent relief could help businesses, but he argued that policymakers should also address other costs facing owners.
“Something else that doesn’t get talked about a lot is most small business owners are paying a portion of the property tax which has skyrocketed over the years and imposes such a burden on these small businesses,” Rigie said.
As some businesses close and others struggle to adapt, owners, real estate professionals and industry advocates continue to debate how best to support small businesses on the Upper West Side.
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