Not supply-and-demand, but demand for a supply

by Prometheus 6
March 15, 2005 - 1:57pm.
on News

Quote of note:

Mr. Daley sighed grimly. "People always think it's the creeps and bums who go to these stores," he said. "But if you go there after lunch or after work, you'll see all these guys in suits. It's usually family guys who stop on their way home."

Makes you wonder who the people who always think that are, and how they go so deep into denial.

Sex-Related Shops Are Making a Comeback in Times Square
By NICHOLAS CONFESSORE
Published: March 15, 2005

Ten years after Mayor Rudolph W. Giuliani declared war on Times Square's X-rated peep shows, strip joints and video stores, shops selling sexually explicit materials have slowly begun to creep back into the area, adroitly exploiting loopholes in the law - and property-owners' demand for high-paying tenants - to stage their comeback.

Sex-related stores have been popping up again in other neighborhoods in the city, notably in Chelsea. But their reappearance on the side streets and avenues near Times Square is especially significant, given the large amount of time and money city officials have spent to reinvent the area as a family-friendly tourist destination.

The areas that have seen the biggest resurgence are on Eighth Avenue near the Port Authority Bus Terminal and on 37th and 39th Streets near the Avenue of the Americas, where the number of sex shops has tripled, to 18 from 6, in a year and a half. North of 42nd Street, the increase has been smaller, with only three of the 17 stores in the area opening since 2003.

Part of the growth owes to the agility with which store owners have learned to comply with city zoning regulations adopted in the mid-1990's to keep them out of residential neighborhoods and away from schools and churches.

But development officials and local business owners say that another factor has been the shops' willingness to pay well above market rents.

"There's a disparity between what the porn guys will pay and what the market will bear," said Tom Tompkins, president of the Times Square Alliance. "And it tends not to be the bigger landlords. It's a guy who owns a three-story building, and the apartments above are rent-stabilized, so the great majority of his return on the building comes from the ground-floor retail."