I've always thought that the biggest "problem" with Marshall St is the fact that while Syracuse is a college town, it's bigger than that and things are a little bit more spread out. You look at places like Happy Valley or Ann Arbor and the university and it's surroundings are the center of everything, so all of the bars/restaurants are mostly clustered together. They are regularly frequented by locals and students alike.
In Syracuse, you have Marshall St - which is basically exclusively used only by students or gameday crowds - and then Armory Square, Hanover Square and Tipp Hill as the other nightlife hotspots. It's tough for Marshall Street bar/restaurant owners (or prospective owners) to cater to a non-college student crowd when it's an absolute ghost town there when school isn't in session. That's why you end up with almost exclusively dive bars with minimal investment in them.