Plaza Midwood retailer closing. Owner and landlord give dueling reasons for the move

A Charlotte retail shop that promotes local businesses is closing one of its stores, citing rising rent, and locals are upset.

Charlotte Collective will close its flagship store at 1222 Central Ave. at Plaza Midwood on Jan. 29, according to the business’s Instagram post on Tuesday. The store is a collective of small local businesses and creatives selling clothing, art, handmade jewelry and leather goods, and pet accessories.

“Across Charlotte, small businesses are facing rent increases that aren’t sustainable for a small business, and we are now part of that sad pattern as well. This was our first home where we started one of the first retail collectives in Charlotte,” the business said.

Rising rent and landlords unwilling to negotiate lease terms has been cited by several other retailers and restaurants as reasons behind recent closing in the Plaza Midwood neighborhood and throughout Charlotte.

The half-acre site was purchased for $620,000 by Lamar Central LLC in 2012, according to Mecklenburg County property records.

Lamar Central owner Tim Brumm told The Charlotte Observer late Tuesday he was shocked seeing local news reports about Charlotte Collective’s social media post, which he said was misleading.

Brumm said he’s had a good relationship with Charlotte Collective, which is on a month-to-month lease. Charlotte Collective gave him a 30-day notice four days ago, Brumm said.

“Rent did not go up in three years,” Brumm said. “I did not propose a rent hike and did not suggest I’d raise the rent.”

Brumm wished Charlotte Collective the best of luck. “Now I have to find someone else,” he said.

On Wednesday, Amy Crowe, who spearheaded Charlotte Collective and is the owner of Worthy Figures, declined to comment on the Central Avenue shop closing. Instead, she said by email: “We’re moving ahead and focusing on our South End store to make it the best place for small business shopping that our customers have come to love so much.”

About Charlotte Collective

Charlotte Collective opened over three years ago in Plaza Midwood. The store “showcases local makers and creatives,” according to its website.

“During our time there, we have helped many small business owners grow their businesses and created a go-to gift store for the neighborhood,” the Instagram post said.

Charlotte Collective urged customers to check out its second store at 110 West Blvd. in South End, which opened in 2021.

Reaction to Charlotte Collective on Central closing

The neighborhood response to the Plaza Midwood news was swift on the store’s post about its closing.

“This space is responsible for so many dreams coming true and it will always be one of my favorite chapters,” one person said.

“This was the start of (a) beautiful beginning for a lot of those who followed suit. Way to set an example,” another person said.

Nearby shops and other Charlotte businesses also responded about the small business that helped support other local stores.

“We’re so sad to hear this. Our neighborhood is becoming unsustainable for small businesses and every loss is a loss for us all,” CLTCH at 1512 Central Ave. said.

ShareTea Clt at 1204 Central Ave. said “We love how you guys are so unique and have so(cq) many different cool finds! It’s sad to hear you are leaving us neighbor!”

Rent, lease terms cited for other closures

Charlotte Collective joins a growing list of locally-owned retailers in Plaza Midwood and other areas of Charlotte that have closed recently citing rent increases or landlords unwilling to renegotiate lease agreements.

Charlotte Cafe at The Arboretum on Providence Road closed last month after 30 years. Restaurant owners Jimmy and Mary Roupas told The Charlotte Observer the cafe’s lease was not renewed or renegotiated .

Island Grocery and Grill in East Charlotte for 20 years shut its Albemarle Road store in November. Owner Caroline Coke told The Charlotte Observer The Colonnade shopping center would not renegotiate the lease for a longer term.

And Charlotte restaurateurs owners Andy and Lesa Kastanas closed the iconic Midwood restaurant Soul Gastrolounge closed in August and cafe Sister in July. Rising rent was including as reasons for closing both of the Plaza Midwood eateries.

Other Plaza Midwood changes

Other retailers are feeling the squeeze as development is changing the artsy Plaza Midwood neighborhood.

Several longtime businesses like Elizabeth Billiards, Yoga One, Sammy’s Deli, Yama Izakaya and RoCo closed in 2020 and 2021 to make way for new development at the former Central Square, at the corner of Central and Pecan avenues.

After 23 years in Plaza Midwood, the family-owned Book Buyers closed its 4,000-square-foot space at 1306 on Jan. 2, 2022. It reopened Feb. 7, in a similar-sized space about 2 miles away at 3040 Eastway Drive.

In August, Midwood Guitar Studio owner Douglas Armstrong and other Plaza Midwood business owners like Charlotte Tattoo Company owner Bill Harris told CharlotteFive rent had increased 15 to 75%, respectively, over the past several years.

This story was originally published January 4, 2023 at 10:43 AM.