Updated September 14: WTOC has some video coverage of the Bay Street closings that have occurred to date. Check out the story here and the video below.
Reported September 12: In the wake of news that Kathleen's restaurant has closed and Bay Street Trading Co. bookstore will shortly, there are rumors that many other businesses may soon join the exodus. The Island Packet has penned a competent piece rounding out the situation with various insights.
Truth is, it's impossible to really know if it's the economy, the Internet, too many touristy business, bad business plans, or just a cycle.
For my two cents, I know I'd shop downtown a lot more if I could buy something I actually needed -- yes, I'm one of those crazies that supports the idea of downtown green grocer or market.