Maybe it really is the little neighborhood that could. After a lifetime of false starts,  it appears that Oakland's downtown may be picking up steam.

In the past six months, the once desolate area loosely bounded by San Pablo Avenue and Broadway has seen about a dozen businesses take root in long-vacant storefronts. They range from Luka's Taproom and Lounge, set to open this month, and the Bench and Bar, a 7,000-square-foot gay club formerly on 11th Street, to Beata, a high-end boutique that sells European accessories for women.

So why the interest in a neighborhood nicknamed "Oaksterdam" for its medical marijuana clubs? Investors cite generous city support (matching funds for improvements), a pool of office workers nearby to support a brisk lunch and happy hour business, and a stock of grand Art Deco buildings that make for spacious partying.

Indeed, on a recent Saturday night, the saying "Build it and they will come" was very much in evidence. A lively scrum of funky, tattooed twentysomething locals, hippies, and students filled Cafe Van Kleef, a cavernous bar on Telegraph that looks like David Lynch did the decor, to watch acoustic band Willow Willow. And nearby, partygoers were spilling out of area mainstays such as the Oakland Box Theater, a performance venue, and Radio and the Ruby Room, both trendy bars.

Still, the downtown scene remains a spot for those in the know, with some sections evincing a deserted, ominous feel. "Downtown nightlife is fairly spread out, with isolated pockets of action," says 29-year-old Oakland resident and night crawler Dale Beevers. "But it's just a more relaxed nightclub experience—without the pretense you get in San Francisco."