The possible permanent closure of the Palace Café on lower Canal Street has stirred familiar lamentations about the decline of the mile-long New Orleans commercial strip that was once lauded as “the Champs-Élysées of the South.”
But boosters of the historic New Orleans boulevard noted that the closing was, ironically, over soaring rent and property valuation, an indication more of the improving commercial prospects of the boulevard than its deterioration.
The creole bistro’s closing — which might yet be reversed — also comes amid several public and private initiatives that are aimed at elevating Canal Street, which already has seen some patchy signs of recovering its former glory.
The Palace Café case “really does seem to be an indication of commercial vibrancy, at least of that part of Canal Street,” said Seth Knudsen, executive director of the Downtown Development District, a state agency that, among other things, oversees security, beautification and economic development efforts for an area that includes lower Canal Street…