"I am working independently and with local brokers to bring businesses to downtown," said Campbell Redevelopment Coordinator Francine Principe.

Right now downtown is home to several vacant spots. Grace Josephine at 411 E. Campbell Ave. left in January; Mr. Smith's at 401 E. Campbell Ave. left in February, with owner Dana Smith moving the items into his other store, The Stone Griffin; Tutto Bella at 241 E. Campbell Ave. left at the end of April; and Tarlow's at 68 E. Campbell Ave. is downsizing by closing its retail front.

"We wouldn't have lost Tutto Bella if the economy was better," Principe said. "If it had been here for part of the boom time then it would have had staying power."

But even with stores like Kasé leaving for more exposure at Santana Row, the city is already busy finding replacement retailers.

Blendz, a smoothie and sandwich shop, is opening up next to Starbucks in early June to replace Essence of Nature. Sweet Child of Mine, a quilt fabric store, has plans to open next to Katie Bloom's in the summer of 2003.

Of course, not all retail spaces are benefiting from a business turnover. Some spots, such as 296 E. Campbell Ave., where Phone Supplements Inc. used to be, have been vacant for a month.

But at least space is cheaper now.

Space downtown is presently selling at about $2 per square foot. In 2000, when the economy was booming, the same space was renting at $225 per square foot, and the price was still moving up in 2000, Principe said.

Orchard Valley Coffee owner Keith Cova remembered when certain spaces downtown were selling for as much as $550 per square foot. Now, he said, the price is about $1.50 for the same space.

"We're not anywhere near the bottom," the 42-year-old Cova said. "We have a lot of unemployed come in and hang out all day."

For Cova, having vacancies downtown is seen as part of a normal cycle.

"There's always vacancies in a normal economy," Cova said. "But we weren't in a normal economy."

Cova, who has owned his shop for 10 years, signed a long lease before prices went through the roof. He called the rental rates of the last few years "pretty crazy."

When the economy was still on the upswing, the city did experience some vacancies, Principe said. But in 2001, when the economy was great, the city didn't have any spaces available.

Principe added that new business owners are entrepreneurs and try to get the best deals in terms of leasing so that they can weather downturns in the economy.

"They sign shorter two- to three-year leases now," Principe said. "Before they signed 5-year leases."

She said tenants are also renting smaller spaces to pay less rent.

In the meantime, the city is looking to bring in a variety of stores, from restaurants and clothing boutiques to a kitchen and bath showroom.

"We want to add to the tenant mix," Principe said. "We try to market the downtown as a whole."

To help sell the downtown to customers, the city has added a directory of downtown vendors to their website. Color photos of select retail businesses are also posted on the site.

"People say there is an upturn in the economy," Principe said. "We hope the trend continues."

For more information, visit www.ci.campbell.ca.us/cityservices/rda/historic downtowncampbell.htm.