Why college towns are brilliant for retail

Deborah Butler grew up in a college town. More importantly, she watched her family grow one store into a mega-retail-complex in Gainesville, Florida, that keeps on growing. The University of Florida has been very, very good to Butler and her family, and Butler has lots to say about the symbiotic relationship of higher education and retail.



“It’s like having an entire city within your city, the population and buying power of which are largely not reflected in the official data for the area,” said Butler, president of Butler Enterprises, which operates three shopping centers under the rubric of The Neighborhoods of Butler.



“When the students return for classes each August, we have our first Christmas season of the year,” said Butler.



Butler Enterprises calculates that the 50,000 students of UF annually spend about $125 million on restaurants, $92 million on groceries, and $35 million on clothing. That economic impact emanates not just from students, but family members, alumni, and sports fans who fill the 1,000 hotel rooms that surround Butler Plaza, Butler North and Butler Town Center.



The student effect on retail sales is often underestimated, said Butler, because while students may not report high incomes, their parents generally do. Average family income for Florida students is $106,700, and 30% of students come from households scoring in the top 10% of earners in Florida.



So while many retail centers falter, the marketplace finds Butler announcing plans for Residences and Terraces at Butler. Currently under construction is Butler Town Center at Stengel Field, which will offer up the region’s first Whole Foods Market, as well as a 14-screen Regal Cinema and a P.F. Chang’s.



“We are including even more dining options, including a chef-curated Food Hall at Butler Town Center, Butler said. “It will become a key destination for our residents, our region, and our much-loved students.”