Local businesses in Deep Ellum adapt during the Commerce Street construction project.
Deep Ellum in Dallas is facing significant economic challenges as ongoing construction on Commerce Street leads to decreased customer foot traffic and revenue for local businesses. With a project budget of around $30 million aimed at improving the area, business owners report substantial revenue declines, including clients experiencing reductions of up to 80%. Parking difficulties and accessibility issues have compounded challenges, prompting city officials to pledge support and improve communication about ongoing business operations amidst the disruptions.
Dallas is experiencing significant economic impacts among its smaller business community in Deep Ellum, as ongoing construction along Commerce Street has led to notable declines in customer foot traffic and revenue. The construction, which began last fall, aims to transform Commerce Street from a one-way to a two-way street while improving drainage and sidewalks, with a projected duration extending into the first quarter of 2027.
The project, with a budget of approximately $30 million, is part of a broader effort by city departments to upgrade infrastructure in the vibrant neighborhood. Key components of the project include converting the street layout, installing a new water line, and enhancing pedestrian and vehicular safety. While these measures are intended to benefit the area long-term, they have caused substantial short-term disruption for local businesses.
Business owners report a significant plunge in revenue since the construction commenced. For example, the owner of St. Pete’s Dancing Marlin has observed a 21% reduction in business, whereas the owner of Dot’s Hop House & Cocktail Courtyard reported a decline ranging between 30% and 40%, depending on the month. An owner of Arch by Suki highlighted a more alarming decline, with an 80% decrease in foot traffic, leading her to contemplate relocating her business.
Many proprietors have attempted to mitigate the effects through signage advertising their continued operation, but customers often mistake these signs for closures due to the extensive barriers and construction zones.
Parking has also become more difficult and costly, with several patrons expressing frustration over the limited availability and increased fees. The Deep Ellum Foundation responded to parking concerns by adding over 1,000 parking spaces since the pandemic, but owners and customers agree that these efforts have not fully alleviated the accessibility problems caused by ongoing construction and increased traffic congestion.
City officials acknowledge the hardships faced by businesses and have committed to addressing these issues. City Councilmember Jesse Moreno has indicated plans to meet with business owners and representatives from Oncor, the utility provider involved in the water line upgrades, to discuss potential solutions and support measures during the construction period.
The Dallas Department of Transportation & Public Works is working on project enhancements, including improvements to signage intended to inform visitors that businesses remain open despite the visible construction barriers. The department estimates the completion of the project, including the new water line, by December 2026.
This street reconstruction mirrors similar initiatives recently completed on nearby Elm Street, which followed a comparable timeline. Although these projects aim to positively transform the neighborhood, ongoing disruptions continue to challenge small business owners.
In response to ongoing concerns, the city plans to improve signage and communication to better inform visitors and reduce confusion about which businesses are open. Despite these efforts, many owners remain hopeful for relief as the project moves toward completion and the neighborhood begins to recover from the temporary downturn.
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