Cost of an Empty Storefront

 A small building sitting empty for one year in a small-town commercial district will have the following impact on the community:

Source of Loss
Amount Lost
Advertising revenues to local media$3,500
Business profits and owner compensation$24,750
Employee payroll$16,250
Fees to local attorneys and other professionals$1,250
Household income generated elsewhere in the community$18,900
Loan demand to local banks for the building$51,000
Loan demand to local banks for the business$15,000
Local deposits in local banks$5,100
Payments to local utility companies$5,550
Property management fees$750
Property tax revenue to the local government$1,500
Rents to the property owner$15,000
Sales tax revenue to state and local government$12,500
Estimates prepared by Donovan D. Rypkema, Place Economics, Washington, D.C.