The Rise and Fall of CVS Pharmacy on University Drive: A Case Study in Urban Development and Retail Evolution
The story of the CVS Pharmacy located at the corner of Snelling and University avenues in St. Paul, Minnesota, offers a compelling case study in urban development, retail evolution, and the complex interplay of community vision, corporate strategy, and changing consumer patterns. From its controversial opening in 2007 to its recent closure, this particular CVS location encapsulates broader trends affecting the retail landscape and the ongoing efforts to create more vibrant, walkable communities.
A Contentious Beginning: Urban Design and Community Vision
When CVS first proposed its store at the intersection of Snelling and University, it faced significant opposition from the local community. Concerns centered on the building's design, which many felt was not conducive to good urban planning. Critics argued that the one-story structure, with its lack of a street-facing entrance on University Avenue, "turned its back to the street," prioritizing parking over pedestrian access and engagement.
University United, a local economic development advocacy group, spearheaded the opposition, arguing that the site was a valuable space that could be better utilized. They envisioned a denser, mixed-use development with multiple stories of housing above retail space, maximizing the land's potential and contributing to a more vibrant neighborhood. Brian McMahon, who ran University United during the early 2000s, expressed hope that the closure would give St. Paul "a second bite at the apple" for the corner lot.
The community's vision, captured in drawings showcasing a denser building, contrasted sharply with the proposed CVS store. However, despite the community's efforts, the CVS project received support from the local Chamber of Commerce and ultimately moved forward, opening its doors in 2007.
The Changing Landscape: Light Rail and Development Potential
Several significant changes have reshaped the Snelling and University area since the CVS store's initial proposal. The most prominent is the Green Line light rail, which began operations and transformed the transportation landscape. Initially, CVS representatives were skeptical about the light rail project, justifying the store's parking-centered design. However, the Green Line proved to be highly successful, serving over 40,000 riders daily before the pandemic. This shift has altered the conversation around parking, with St. Paul now up-zoning land along the light rail line and removing off-street parking requirements.
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Another significant development is the construction of Allianz Field, a soccer stadium completed in 2019. The stadium was intended to catalyze mixed-use development in the area, and it may have contributed to the construction of the first market-rate housing in Midway in half a century. The ambitions to create denser mixed-use buildings, once deemed ahead of their time, now seem more aligned with the neighborhood's potential.
The Rise and Fall: Over-Saturation and Shifting Strategies
Despite its initial success and subsequent adaptation with the addition of a street-facing doorway after the Green Line's opening, the CVS store at Snelling and University ultimately fell victim to broader trends affecting the retail pharmacy industry. In late, CVS announced the closure of nearly a thousand stores nationwide, including the Midway location. This decision reflects a shift in corporate strategy driven by "changes in population, consumer buying patterns, and future health needs."
Retail policy expert Stacy Mitchell had predicted such a scenario, warning of an over-saturation of retail aimed at driving out competition. The United States, with 23.5 square feet of retail space per capita in 2020, is indeed overbuilt in the retail sector. The closure of the Midway CVS may be a sign of this retail over-saturation and the rapidly changing market in the post-COVID era.
CVS: A National Overview
CVS Pharmacy, a subsidiary of CVS Health, is the largest pharmacy chain in the United States, with over 9,600 locations as of 2016. CVS sells prescription drugs and a wide assortment of general merchandise, including over-the-counter drugs, beauty products and cosmetics, film and photo finishing services, seasonal merchandise, greeting cards, and convenience foods. It also provides healthcare services through its MinuteClinic medical clinics and Diabetes Care Centers.
Founded as Consumer Value Stores, the company adopted the CVS name in 1964. CVS expanded rapidly through acquisitions, including the Peoples Drug chain in 1990, the Revco chain in 1997, and the freestanding drug store operations of Albertsons (Osco Drug and Sav-On Drugs) in 2006.
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In 2007, CVS merged with Caremark Rx, creating CVS Caremark Corporation. CVS acquired Longs Drugs in 2008 and Target Corporation's pharmacy and retail clinic businesses in 2015.
Controversies and Challenges
CVS has faced its share of controversies and challenges over the years. These include:
- Prescription Errors: CVS has been accused of making prescription dispensing errors.
- HIPAA Violations: In 2009, CVS was required to pay the United States government $2.25 million for violations of the Health Insurance Portability and Accountability Act of 1996 (HIPAA) Privacy Rule.
- Drug Diversion: In 2012, the Drug Enforcement Administration (DEA) revoked the registrations of two CVS pharmacies in Sanford, Florida, for allegedly dispensing controlled substances to customers under circumstances indicating that the drugs are diverted from legitimate channels, misused, or abused.
- Data Breaches: In 2015, CVS shut down its online photo processing services following a data breach.
- Receipt Length: CVS has been criticized for the excessive length of its customer receipts.
- Medication Errors: In 2023, CVS mistakenly gave misoprostol, an abortion pill, to a woman undergoing IVF, resulting in the loss of her embryos.
The Future of the Snelling and University Corner
The closure of the CVS Pharmacy at Snelling and University presents both a challenge and an opportunity for the St. Paul community. The vacant property could become a catalyst for redevelopment, potentially fulfilling the long-held community vision of a denser, mixed-use building that contributes to a more walkable and vibrant neighborhood.
The success of the Green Line and the presence of Allianz Field have created a favorable environment for development in the area. With careful planning and community engagement, the corner of Snelling and University could be transformed into a model of sustainable urban development, showcasing the potential for innovative design, mixed-use development, and a focus on pedestrian and transit-oriented amenities.
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