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Rising rents threaten small businesses along Delray Beach's Atlantic Avenue

Small business owners on Delray Beach's Atlantic Avenue worry rising rents are forcing out mom-and-pop shops from the popular downtown corridor
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DELRAY BEACH — Small business owners and longtime residents are raising concerns that rising commercial rents along Delray Beach's Atlantic Avenue are threatening the mom-and-pop shops that help define the popular downtown corridor, according to business owners and community members who contacted WPTV.

Gail DelVecchio, a Delray Beach resident who has visited the area for decades and lived there full-time for the past four years, said she reached out to WPTV because she fears the trend could undermine the character that makes Atlantic Avenue a destination.

"They've done such a great job bringing it back," DelVecchio said. "People come to Delray. It's just a great happening place and I hate to see that ruined."

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Rising rents threaten small businesses along Delray Beach's Atlantic Avenue

Amanda Perna, owner of boutique A Little Wild on Atlantic Avenue, shared similar concerns in an email to WPTV. Perna said tenants who have operated businesses on the strip for a decade are being pushed out due to rent increases.

The issue comes as Delray Beach's downtown continues to attract visitors and new development, potentially creating pressure on commercial real estate prices. The city's Downtown Development Authority reports that 95% of shops on Atlantic Avenue are classified as small businesses, making rent affordability a critical factor for the corridor's future.

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The Downtown Development Authority (DDA) acknowledges that business operating costs are rising but says rent increases are not the only factor behind recent business closures along the avenue. However, the authority was unable to provide WPTV with specific data on average commercial rent costs along Atlantic Avenue or the current number of vacant storefronts.

According to the DDA, many empty commercial spaces along Atlantic Avenue are currently undergoing renovations by new tenants, and overall commercial vacancy rates remain low compared to other cities in South Florida.

The city and Downtown Development Authority continue to monitor the situation as they work to balance economic growth with preserving the small-business character that defines much of Atlantic Avenue's appeal.

Small business owners or employees on Atlantic Avenue are welcome to share their stories— email Victor Jorges at victor.jorges@wptv.com.

This story was reported on-air by a journalist and has been converted to this platform with the assistance of AI. Our editorial team verifies all reporting on all platforms for fairness and accuracy.