Indiana – For small towns seeking to revitalize downtown areas, economic development can sometimes feel like an impossible puzzle. Municipal and county leaders often hire consultants for analysis and assessment, but these services come at a steep price and can strain already tight budgets. In Daviess County, Indiana, a new partnership with Indiana University has turned this challenge into an opportunity, transforming big ideas for downtown Washington into actionable steps that are already reshaping the community.
Bob Grewe, a 1990 alumnus of IU Bloomington and current executive director of the Daviess County Economic Development Corp., has long envisioned a thriving downtown that complements the $3.1 million multi-purpose community venue called The Commons. The facility has been drawing visitors for farmers markets, concerts, and other events, but Grewe realized that The Commons alone could not sustain consistent downtown activity. He wanted Main Street to become a hub where visitors would spend a full day, enjoy meals, shop, and experience everything the town has to offer.
Grewe’s vision is being brought to life through the Sustaining Hoosier Communities initiative, led by the IU Center for Rural Engagement. This initiative pairs IU faculty and students with local organizations and Purdue Extension Community Development to tackle 27 revitalization projects across Daviess County. The collaboration has brought fresh perspectives and research-backed solutions to longstanding challenges, demonstrating how universities can play a pivotal role in rural community development.
Cindy Barber, a community development educator with Purdue Extension, said, “The community truly appreciates how our universities collaborate to connect and mobilize resources for rural areas such as Washington and Daviess counties.”
One of the most impactful projects involved IU Kelley School of Business students working with the Daviess County Economic Development Corp. to address the issue of vacant storefronts in Washington. The students were guided by Keith Dayton, a senior lecturer who grew up in the town and has an intimate understanding of its history and potential.
“It had all the amenities you could want — right on Main Street, where you could shop for anything and everything, a place that was alive with the community,” Dayton recalled of Washington’s bustling past. His firsthand knowledge helped shape the students’ approach, blending nostalgia with forward-looking strategies to reenergize downtown.
Despite a strong industrial base in advanced manufacturing, agribusiness, transportation, and logistics, Washington had seen its smaller retailers leave without being replaced, leaving empty storefronts and diminished vibrancy on Main Street. The county is also home to the world’s third-largest naval installation, yet gaps in local retail and cultural amenities persisted. Through the Discover Downtown Washington initiative, the community seeks to encourage entrepreneurship, leverage historic resources, and highlight business opportunities for both residents and visitors.
Ethan Daniel Neal, an IU Kelley student majoring in finance, said, “We wanted to provide something that hadn’t been thought of before,” noting that the students first familiarized themselves with the economic development corporation’s prior accomplishments before formulating their own strategies. Dayton drove the students to Washington so they could conduct on-the-ground research and experience the community firsthand, a step that proved crucial for creating relevant and practical recommendations.
Grewe emphasized the value of involving students directly in local projects. “They take a topic that’s floundering and no one seems to know which end to grab it, and then you have the students weigh in,” he said. “Their recommendations were embraced, and I heard people say, ‘We’ve got the IU students working down here,’ and you could hear the energy in their voices and anticipation. I’ve never seen things go from class project to implementation that quickly.”
The student-led market analysis revealed downtown Washington’s key competitive advantages: a historic setting, affordable commercial rents, and a loyal resident base ready to support local businesses, particularly restaurants. They also identified a notable gap in breweries, highlighting an opportunity given new laws and regulations that facilitate such establishments.
The recommendations extended beyond simple market analysis. The students proposed innovative lease structures designed to lower barriers for new business owners while maintaining revenue for property owners. Their plan included educating landlords and tenants about available grants and tax credits, creating a marketing strategy to highlight downtown attractions, and organizing a Downtown Discovery Day to attract entrepreneurs.
“The biggest takeaway for me was just how important real estate is in building communities,” Neal said. “People want to be proud of where they are from, and having a cultural center like downtown Washington creates that hometown pride.”
Implementation began almost immediately. Grewe started coordinating more events and engaging with property owners to align with the new vision for Main Street. Within weeks, the efforts yielded tangible results, including the announcement of a new Chandelier Barn location in downtown Washington.
“Having a fresh pair of eyes was so valuable because it gave us some clarity and capacity without the pressure that would come from hiring consultants and straining the budget,” Grewe said.
Beyond revitalizing downtown retail, the IU partnership has spurred a variety of projects across Daviess County. Students and faculty have worked on digital history trails, addressing childcare shortages, beautification initiatives, bicycle and pedestrian safety improvements, and more. Over 550 students, faculty, and staff from IU’s O’Neill School of Public and Environmental Affairs, School of Public Health-Bloomington, Luddy School of Informatics, Computing and Engineering, and Eskenazi School of Art, Architecture + Design have contributed to these efforts, collaborating with more than 20 county organizations.
“In the absence of Indiana University, I’d think we’d be significantly behind where we are now,” Grewe said, acknowledging the vital role the university plays in the county’s progress.
The Sustaining Hoosier Communities initiative has accelerated 140 projects across six counties, including Daviess, Dubois, Greene, Lawrence, Orange, and Washington. Additionally, the Rural Placemaking Studio has allowed Hoosier businesses statewide to work with IU faculty and students on art and design projects, such as crafting new signage to enhance community identity.
Now, as Grewe walks from Main Street toward The Commons, he sees tangible steps toward revitalization. The once-elusive vision of a bustling downtown with events, dining, and shopping opportunities is beginning to materialize. The partnership between Indiana University and Daviess County demonstrates that small-town dreams, when paired with academic expertise and student engagement, can be transformed into actionable plans that improve quality of life and attract families, visitors, and entrepreneurs.
“This partnership signals that Washington and Daviess County are serious about developing quality-of-life amenities that are essential to retaining and attracting families to our community,” Grewe said.
From vacant storefronts to new businesses opening their doors, the work in Washington highlights the power of collaboration, the value of fresh perspectives, and the importance of connecting university resources with local priorities. What began as an idea—bringing students into community projects—has become a model for other rural areas seeking sustainable economic growth and renewed civic pride. Through these initiatives, Daviess County is charting a course for a revitalized downtown and a stronger, more vibrant community.