We're not really talking about that type of open-air retail arcade in Budapest.
Here's another example of a recessed storefront (this one is from St. Louis):
https://i.imgur.com/6pWbLle.jpg
Source.
They were very popular in the 1930s. Imo they only work well if they're brightly lit, in high traffic areas, and have been well maintained.
They still make sense for theaters where you expect lines to form at the ticket booth that you don't want backed up onto the sidewalk. Almost all old theaters have them.