That block includes bars like Flask and Candor, which are still open for now, a really nice flower shop, Dim Sum Garden (probably moving soon), sneaker shop WZK (open for now, in limbo), and many other businesses, including a copycat Chinburger rou jia mo, that are bricked up beyond recognition.
So what's going on?
According to several local business owners we talked to last night, including the boss of a clothing store that was having its "final day sale", this entire block belongs to The University of Shanghai for Science and Technology, and that the shutdown is happening because it is illegal to use school property for commercial purposes and now the shit is finally coming down. Many of these businesses have been open for years.
Several other employees on the block corroborated this theory, including the owner of the flower shop, who said they would move down the street. We also contacted one of the owners of Flask, who said Flask "might have to move" (they're opening a bar called Botanist on Xiangyang and Julu Lu soon anyway.)
Mass urban re-zoning is not an uncommon practice in China. At the end of last year in Beijing, several businesses in the expat-heavy Sanlitun district were forced to shutter when it was finally enforced that the Chinese military are prohibited to engage in commercial enterprises.
This comes after last week's announcement that Masse would soon shutter due to similar issues (and Pauly's prophecy that "Apparently a lot of places will follow the same path"), and a continuing crackdown on Danshui Lu bars and restaurants. We'll keep you updated on the status of this block. Stay tuned.