An interesting thing in my neighborhood is that there are a couple of sizable retirement apartments, and also a row of apartments that have a lot of people attached to the university such as grad students and visiting scholars. These are people who might be less inclined to drive, benefit from shops that cater to them, and don't have space for huge bulk purchases. There's also a growing affluent population moving back into the middle of town.
A significant student population definitely helps lead to a happy medium between the hollowed out downtown and the boutique/art gallery/wine bar extremes.
Indeed, and the academic workforce helps too. For instance there's a premium on housing that's within easy bike commuting distance of the university, hospital, etc.
