So true regarding the overpriced part ... well sorry I shouldn't say that ... out of my price range (and typical Toronto's residents price range I imagine ; - ).

Rents are not astronomical either I hear (for rents), commercial (i.e. office use not retail) space is pretty hot their too !

If I recall correctly, pioneering businesses were given attractive rental rates as incentive, since the area was very isolated and underdeveloped at its beginning as a commercial district. As a concept I think the DD has proven to be more than viable: keeping out chains and focusing on unique businesses, in conjunction with marketing its historical merits has turned an abandoned industrial site (that could've just as easily been torn down) into a vibrant retail/restaurant destination, and place to live as well.
 
Now I almost wish 3 more towers were coming. The DD really needs around 5000 local residents to make it viable year round.

My main issue with the Distillery District is the underdevelopment of the neighboring area. The district has felt much like an island, apart from the main downtown framework. Being surrounded by parking lots, auto dealerships, and box stores for decades, it has felt like a separate entity. The plans for the Pan Am Village and Canary Wharf will do wonders in establishing a more integrated urban context and fabric for the area as a whole. I find those lots along Parliament are still a key factor though, being a gateway for both the King East and DDistricts.
 
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I can imagine a few more buildings here, say at 60 Mill Street and 20 Trinity St lol...and hopefully they do happen! A hotel would be great. Plus, I love the new commercial buildings planned for the south parking lot.

As for the area, it has drastically improved in the last 15 years and will be less and less of an island, as you say AlbertC. Developers know that DT East is the place to be. Moss Park was just listed in Toronto Life's The City's Next Neighbourhoods/Places To Buy Now 2013 edition. Corktown was listed as such last year. In three years time, the Spring of 2016, the Pan Am site will be open to the public and new residents will move in, new retail, etc. The car dealerships are only located here temporarily...as they move further and further east after they sell to developers (at some point the highest and best use of their land won't be a car dealership!!). Plus the TTC along Cherry will be up and running in 2016, too. A perfect storm is happening here.
 
It appears that car dealerships have expressed interest in remaining in the area, but just integrated into urban concepts. Infiniti and Nissan have occupied ground retail units of condo buildings along King East.
 
Yes, haha, the relationship between Streetcar and car dealerships seems harmonious. Thankfully the TCHC Senior's building and River City along King St will not be allowing car dealerships in their retail units. Can't see Dundee allowing them in the West Donlands either after Pan Am since they don't want any chain stores here and will stick with DD style commercial. It shouldn't get any worse in the area...and over time the dealerships will move out of their huge parking lots.
 
Over time I expect the dealerships to become locations that carry no inventory, and you can only order cars from. Put 10 spots in the underground garage for them to store deliveries until they are picked up and you have a solid urban car dealership. (Hard to believe that those words would ever be seen together in one sentence lol)
 
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Over time I expect the dealerships to become locations that carry no inventory, and you can only order cars from. Put 10 spots in the underground garage for them to store deliveries until they are picked up and you have a solid urban car dealership. (Hard to believe that those words would ever be seen together in one sentence lol)

Interesting point. I don't deny that will happen somewher and someplace, but I suspect it would serve a limited market. Firstly, most of us want to test drive a vehicle before purchasing and that suggests that somewhere an inventory of test vehicles needs to be on hand. Perhaps more importantly, most dealerships feature a service department and certainly any car owner will need to patronize one. Finally, car dealerships make a good deal of money not just on new cars ordered on line, but also on used cars. They have to do something with your trade-in, after all.

I think this all suggests that car dealerships require a "lot" of space and are likely to become creatures of the suburbs, even more than is presently the case.

It has been quite a while since I lived in a European city. What do car dealerships do there these days?
 
Look how quickly all the dealerships and repair shops left Bay Street. Is there even one left anymore? When the right price is offered for expensive, in-demand property they'll sell and re-locate. Development in downtown east is ramping up.
 
Has Cherry St been reopened, or are you guys sneaking through the fence? I've noticed a few pictures from that perspective now
 
Interesting point. I don't deny that will happen somewher and someplace, but I suspect it would serve a limited market. Firstly, most of us want to test drive a vehicle before purchasing and that suggests that somewhere an inventory of test vehicles needs to be on hand. Perhaps more importantly, most dealerships feature a service department and certainly any car owner will need to patronize one. Finally, car dealerships make a good deal of money not just on new cars ordered on line, but also on used cars. They have to do something with your trade-in, after all.

I think this all suggests that car dealerships require a "lot" of space and are likely to become creatures of the suburbs, even more than is presently the case.

It has been quite a while since I lived in a European city. What do car dealerships do there these days?

I agree with your points, but it doesn't all have to happen in the same location. Most urban dealerships only have their car "gallery" in the downtown, and a small (maybe 5-10) fleet of test cars in the garage. However, that's not to say that they don't keep inventory -they do- but it isn't located in their downtown "gallery." It wouldn't make sense to have a whole lot of idle cars when parking rent is so expensive downtown. What they do instead is place their inventory lot, and service centre offsite, in a less central location. That way, the car is delivered from the inventory lot to the urban location only when it is purchased by a customer and ready for pickup. When it needs to be serviced, it is taken to the offsite location.

In my opinion, urban car dealerships are great. The minimalist glass galleries used to showcase the cars not only add interest to the streetscape, but they also provide "relief" areas where sidewalks are empty from typical obstructions found near store fronts. Also, these are typically higher end dealerships like Lexus, Infiniti, MB, BMW, etc. since most downtown car buyers will have larger budgets.
 
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Over time I expect the dealerships to become locations that carry no inventory, and you can only order cars from. Put 10 spots in the underground garage for them to store deliveries until they are picked up and you have a solid urban car dealership. (Hard to believe that those words would ever be seen together in one sentence lol)

That is an exact description of the dealership I bought my car at. They had about 8 spots underground in the condo next door, a miniscule surface lot (behind the building, not in front. The building came right out to the sidewalk). No mechanic/auto body facilities. Not to mention it was beautiful. Hardwood floors, exposed brick...it looked like a loft. Sadly it is no longer there, but the space still functions as a retail outlet. Can you guess which one it was?


Mini Downtown. King Street, west of Spadina circa 2008.
 
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