Surrounded by Change in Austin, South Congress Avenue Shop Owners Find Ways to Endure

Many of these shops that remain now fall into two camps: businesses that own their buildings and have some control over their future, and those with rented space whose futures are absolutely uncertain.

It’s the latter situation that Sheri Tornatore, the owner of South Congress Books, faces. Her shop has been on South Congress (aka “SoCo”), for 12 years. She says the shop is doing as well as it’s ever done, but it may need to leave the area anyway within the next year with her building’s rent tripling on top of a triple-net lease that requires the tenant to cover repairs, property taxes, and insurance premiums. “I wouldn’t be able to sell enough to make the rent they’re asking,” she says.

Shoppers of all ages still come to the store, and it receives regular foot traffic from nearby residents and tourists. But it’s still not enough to keep up. “We’re doing great. I’m not against progress,” Tornatore says. “I just can’t pay what they’re asking.”

Brandon Hodge, who is president of the South Congress Merchants Association and owns neighboring shops Monkey See Monkey Do! and Big Top Candy Shop, says he’s seen the death knell of South Congress headlines many times before. “In that very quintessentially Austin way, everything was cooler just before now,” Hodge muses.

But, he notes, while the historical shopping district remains largely locally owned, new developments on South Congress and an influx of money to chain businesses has caused “[a] different kind of displacement,” he says. “It’s had a trickle-down effect throughout the corridor.”

What’s been missing among the lamentations for colorful local businesses lost, he explains, is local support. “Just crying foul at the most recent loss doesn’t do anyone any good; it doesn’t serve the businesses down here that are open and are legacy businesses,” Hodge says. “It’s painful to read people saying, ‘I’m never going to South Congress again.’ It’s little wonder that businesses have had to pivot.”

Businesses on South Congress that want to pay employees a living wage without raising their prices too high have been struggling to find a balance, especially with a shortage of workers in the area and a pandemic that cut into their profits for a significant amount of time. Add to that, some shop owners say they just aren’t feeling the same enthusiasm they did when they were running their shops decades ago, before the avenue changed so much, even in terms of its customers.

Eliza Villapando, owner of Paper Work, on South Congress, and Parts & Labour, which is running online as it seeks a new home, misses the days when “[m]ore creative low-income people could afford to live within walking distance” of the strip. It’s true, musicians and visual artists who once populated the area have been replaced by tech entrepreneurs, retirees, and short-term renters.

So, as Villapando deals with rising rent like many other local-owned SoCo businesses, she finds the shift in culture is what really gets to her. “The changing landscape really breaks my heart,” she says. “But to be trapped in time doesn’t really serve anybody.”

Change is inevitable, so follow Villapando’s suggestion and appreciate and patronize these local businesses before they’re gone from South Congress forever.