The previous saying “crime doesn’t pay” might or is probably not true, however consumers at downtown Denver Sportsfan sports activities attire shops are paying extra as a result of its proprietor has seen crime rise there.
In February, proprietor Derek Friedman began charging prospects a 1% “Denver Crime Spike Price” together with metropolis and state gross sales tax, printed proper on the receipt.
He mentioned gathering the charge helps mitigate the rising price of doing enterprise downtown due to theft and shoplifting ranges which might be increased than his non-downtown areas.
“We’ve been struggling, not simply due to the COVID shutdowns and the protests, however simply monstrous losses,” Friedman mentioned. “We needed to do one thing to recuperate these losses.”
Enterprise losses attributable to theft from 2019 to 2022 at his downtown areas have tripled, he mentioned. Friedman operates 10 shops statewide, 4 Sportsfan shops and 6 Sock Emporium shops.
After thieves smashed the entrance window on the Federal Sportsfan and stole some $25,000 value of merchandise “in a single fell swoop,” he filed a declare along with his enterprise insurance coverage service. However after extra incidents, Friedman mentioned he feared the insurance coverage firm would drop his account.
“After the second or third incident, we get a heads up from the agent asking about our safety measures and if we’re investing there,” he mentioned. “In some unspecified time in the future, the insurance coverage firm goes to take a look at a enterprise and determine if the chance is value taking over. We had been primarily instructed if we saved submitting claims, we might lose our insurance coverage.
“I can’t lose my enterprise insurance coverage. I ended submitting claims and commenced consuming the loses.”
Along with the “large incidents,” Friedman mentioned shoplifters have grown extra brazen.
“These days individuals are simply strolling in, making for the racks and grabbing issues and getting out,” he mentioned.
He has invested in additional cameras, safety programs and superior expertise to attempt to curb the losses.
Friedman reprogrammed the purpose of sale machines on the two Sportsfan shops on the sixteenth Road Mall, in addition to the one on Federal Boulevard close to Empower Area at Mile Excessive, and the Sock Emporium retailer on the Denver Pavilions, to itemize the 1% charge. It’s there with the “Denver Bag Price,” and gross sales taxes to the Regional Transportation District, metropolis of Denver and state of Colorado.
He additionally employed a safety guard for the sixteenth Road Mall retailer, in order to not put clerks within the state of affairs of getting to confront shoplifters.
Friedman hasn’t heard of different downtown companies doing the identical.
Downtown Denver Partnership Government Director Kourtny Garrett mentioned downtown is slowly recovering from the pandemic shutdowns and protests in 2020-21.
These epic occasions drained the downtown space of employees, pedestrians, consumers and diners. Meaning fewer eyes and ears, much less vibrancy and an infinite “affect on the setting,” she mentioned. About 46% of workplace employees and weekday guests have returned. It’s higher nonetheless with weekend and particular occasion pedestrian visitors, which has virtually recovered to pre-pandemic ranges.
“Exercise has returned in a major approach to town’s core,” Garrett mentioned. “We’re seeing what exercise can do and you actually really feel a distinction whenever you’re right here.
“All that being mentioned, the challenges nonetheless stay for us. We’re working carefully with the Denver Police Division and social service suppliers on public security. Homelessness and crime should not synonymous. However once we see the purpose the place they intersect, we’ll be sure that these with felony intent are held accountable and people in disaster are supplied help.”
Requested if the “crime spike charge” has recouped the theft losses, Friedman mentioned it should take one other year-and-a-half at present gross sales ranges to recuperate the losses.
On a vivid be aware, Friedman mentioned enterprise has improved with the brisk gross sales of Russell Wilson Denver Broncos jerseys and the Colorado Avalanche’s playoff run.
“These tailwinds have definitely helped.”