Like many college students, Ray Walsh needed a way to pay for his MSU education.
Unlike some students, he chose not to sell plasma every week. His alternative? He began selling his old science-fiction paperbacks.
Walsh’s desperate need for money spurred him to open his own business, Curious Book Shop, 307 E. Grand River Ave., in 1971. The building remains in East Lansing today, more than 30 years later.
Perhaps he’s a lucky one.
As owner, Walsh has seen many local businesses, such as Bagel-Fragel Deli last year, come and go,leading up to the recent City Center Project.
The project, which has brought in national businesses such as Barnes & Noble Booksellers and CVS Pharmacy, was a joint venture between private business owners and the city administration.
And the rapid progress of the $30 million development has created obstacles for small businesses like Walsh’s, but so far he has no gripes with it.
“I think anything that draws people into downtown East Lansing is an asset,” Walsh said. “We’re glad to see Barnes & Noble down here because it draws literate people here.”
But Walsh said the type of development occurring is not a perfect solution to the city’s economic needs. The influx of business has brought more business-minded owners than in past years, Walsh said.
They target the community, including the students, but Walsh said it’s those two parties that support small shops.
But Jim van Ravensway, director of planning and community development for the city, said East Lansing can still support small businesses such as Walsh’s. And the city has never had a shortage of prospective entrepreneurs looking to make their way into the city’s downtown, he said.
“You’re always going to see a student who thinks they can make the best sub sandwich or the best burger,” van Ravensway said.
The obstacle many of those small business owners deal with, though, is the management hurdle. That’s why 90 percent of new businesses fold during their first three years, he said.
“They have a product that people want,” van Ravensway said. “Now they have to learn how to run and manage a business.”
Meanwhile, chains or larger businesses have the experience and the manpower to tackle those issues. And van Ravensway said the city will always have room for companies able to manage their stores.
He said the Campus Town Mall area is “an incubator” for local businesses, as showcased by shops like Flat Black & Circular and Gary’s Campus Hair Salon.
But Gary Bailey, owner of that hair salon, 549 E. Grand River Ave., disagrees, saying the city hasn’t focused enough on adding small business to the City Center Project. Bailey said in his 35 years of experience cutting hair on Grand River Avenue, he’s learned the secret to success in downtown lies across the street - at MSU.
“You cater to the college community strictly,” he said.
And the recent developments have ignored student needs, he said. Bailey said the city lost its Grand River Avenue staple, Jacobson’s, because store goods were out of the price range for an average student, something the city has not learned from since.
Barnes & Noble replaced Jacobson’s, which has since set up shop in the Meridian Mall.
“It’s strictly city hall trying to make East Lansing something that it isn’t,” Bailey said.
But some enterprising locals have made a niche in the city, such as 2001 MSU graduate Mike Krueger, who owns Vinyl Addict Records, 503 E. Grand River Ave.
Krueger said his business has been able to survive, but still hasn’t been immune to the development’s effects. He was forced to move from his previous site, which will soon house 39 condominiums as part of the City Center Project. Meanwhile, East Lansing’s higher rent has caused his budget to be a bit tighter.
But even with his increased costs and slightly slower sales, Krueger said as long as students are still interested in the music he sells, his business will survive.
“That’s pretty much the only way you’re going to exist in the first place,” he said, “is by doing something the students want.”
