News Photo by Steve Schulwitz Sue Perenchio, left, cuts some material for Alicia Bishop while at work at JOANN Fabric in Alpena on Friday. JOANN Fabric is closing all of its stores in the United States and is already running closing sales.

ALPENA — The U.S.-23 South corridor was once the primary business hub of Alpena, where people went to shop at places like the Alpena Mall, KMart, Midway/Giantway, and Neiman’s Family Market.

Over the last decade, many of the businesses — old and new — have closed and the number of vacant buildings is adding up, and local development leaders and their partners are trying to find new tenants to fill the empty spaces.

From 2020 to the beginning of this year, the U.S.-23 corridor has lost the businesses noted above, as well as Peebles, Rite Aid, Big Lots, JOANN Fabric and Crafts, and even the long-standing Burger King.

Alpena was not the only place where these chains have closed, as these companies closed stores in hundreds of locations, mostly due to bankruptcy.

A new hardware store, an Ollie’s Bargain Outlet, and several other small businesses have opened over the last several years, and the incoming Program of All-Inclusive Care for the Elderly Northeast Michigan center is slated to open soon where Peebles formerly was.

But mostly, it has been a challenge to lure larger retailers and restaurants to that side of town.

Young’s Appliance and Furniture owner Bob Young said when businesses close, it is always a concern. He said what is transiting on the southside of Alpena is not unprecedented because he can remember when businesses left the downtown, including his father’s business, and moved to the U.S.-23 corridor because that is where business was beginning to boom.

Young said he thinks the current business climate on U.S.-23 South is part of a cycle and the area will bounce back. He said it could look a touch different, but, he added, there are still a lot of things that make the corridor appealing.

“The highway isn’t going anywhere and we aren’t going anywhere,” Young said. “The highway is still a primary way in and out of town and there is a lot of traffic. I feel really good about the future and still think there is room for growth. It may end up a mix of businesses and not big-box stores and there could even be new neighborhoods. No matter what it is, I think the future’s still bright.”

Young, who has been at his current location since the 1980s, said he believes the popularity of online shopping has made it challenging for retail stores to survive, especially in a small rural town.

“Their business model got stale,” he said.

Larry Clark, who was the president of the now defunct South Bay Group that spearheaded improvements throughout the corridor and promoted development and growth, said it is sad to see businesses close and people lose their jobs, but it also creates new opportunities.

“We are all concerned when you see one business close after another, but if you look, they are all companies that are going into bankruptcy or going out of business,” Clark said. “The corridor seems like it may have lost some of its luster, but I like to be hopeful. I just think it needs a little attention and focus because I believe there is still a lot of opportunity there.”

Both Young and Clark said it is good to see all of the development on the M-32 corridor, but because business cycles change, there could be a time when things shift again and the south corridor could benefit.

“The more congested it gets out there and the more traffic there is, it can become an issue,” Clark said. “It is costly to purchase land and build out there and on the south corridor you have more purchasing power because it isn’t as expensive and doesn’t take as large an investment.”

Alpena Area Chamber of Commerce Economic Development Director Mike Mahler said it is always a concern when businesses close because people lose their jobs and it limits the products and services residents can choose from. He said businesses and business practices change, and sometimes they work out for the best, and sometimes they don’t. Mahler said shoppers today have more convenient ways to spend their money and the jobs that are lost when a business closes, shift to another business type.

“Today, many people shop after hours for the items that they once bought at places like JOANN Fabrics and they can find the same product online and order it and it arrives 24 hours later to their door,” Mahler said. “Today, this represents forward progress. The jobs that were traditionally found in a brick-and-mortar store, like a stock person and cashier, have been shifted to online order centers routed to a fulfillment center where a person or robot picks it, boxes it, and sends it to a pallet where it ends up in some sorting facility and placed in a box truck or van and delivered by a driver.”

Alpena Township Supervisor Abbi Kaszubowski said it is always the township’s goal to foster a strong and vibrant business community, and the township is committed to supporting local entrepreneurs, attracting new businesses, and creating an environment where businesses can thrive. She said although some businesses have closed, other new and exciting businesses have opened too.

Kaszubowski said the township will continue to work with its partners, developers, and investors to help fill the soon-to-be vacant buildings.

“Ideally, a large anchor store will come into the south corridor and help bolster business,” she said. “We are confident that, with the knowledge and expertise Target Alpena offers, we can move towards making that happen.”

Steve Schulwitz can be reached at 989-358-5689 or sschulwitz@TheAlpenaNews.com. Follow him on X @ss_alpenanews.com.