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Central Business District
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THE CENTRAL BUSINESS DISTRICT Introduction The central business district (CBD) acts as the most important part of a city where the businesses are found along with the commercial activities in the centre of the city, forming what is known as the core. The CBD is a gradational fragmented zone rather than a single line that can actually be found. There are many important factors that contribute to the growth of the CBD. More purchasing power, better transportation and a larger population are preliminary conditions that have occurred as a slow process in their convergence after 1870. Other conditions that occurred over time include the economies of scale, the elimination of middlemen, the growth and location of dime stores, a need for financial exports and the vertical growth of buildings in the CBD. Changes in technology and the effects on the CBD during the later 1800’s will be discussed. Street patterns and block sizes will be touched on briefly with examples of why they are important factors in the growth of the CBD. In terms of retail location, there are certain principles that will be outlined and explained. It is clear that the CBD is an extremely important part of a city as it provides its citizens with the convenience of easily accessed goods and services because of improvement in transportation and other developments in the centre of the city. (Brozowski, 2003) The core of the city has undergone many changes which began as a benefit for society and for each business or industry within the district. This paper will illustrate that all the factors previously mentioned are what keep a city and a society functioning in the easiest yet most beneficial way possible. A Brief History of the CBD The central business district began as a “retail-commercial district” and transformed into an “office-commercial complex” from the turn of to the middle of the century. From mid century to now, the CBD has changed again to a “convention-tourist-entertainment centre” in the larger cities. In cities that are not as large, the CBD still remains a “retail-commercial” centre. (Hartshorn, 1992;p.322) Between 1840 and 170, industrial and commercial industries expanded as retail spread from place to place. Retail was mixed between warehousing and finance. The industrial sector began to decrease as other sectors expanded in the downtown area by 1870 and 1900 as well as wholesaling. The Industrial Revolution was an important turning point for the changes in the growth of the CBD. Important Factors in the Growth of the CBD The Industrial Revolution was the beginning of the preliminary conditions that were brought into the CBD after 1870. More purchasing power appeared in the CBD resulting from the Industrial Revolution. There was more money available to people because of the expansion of the city after the revolution which in turn gave people the desire to buy more goods. The retail sector therefore gained more purchasing power as the industrial sector expanded and hired more people. The spending habits of urban families also show the importance of travel and transportation. (Oi, and Shuldiner, 1962;p.3) The second preliminary condition was the increase of better transportation. The streetcar became important with the expansion of retail in the downtown area. Again, when there are more people, there is more money to circulate and build a better CBD.
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