From the April issue: Spring — the time when New York City usually begins to welcome millions of tourists — has finally arrived. Unfortunately, when I look at my crystal apple, it shows a lackluster short-term future for the restaurant industry. That’s largely the result of events well beyond the pale of the New York real estate recovery. For one, the cost of travel has risen by as much as 30 percent since the beginning of the year due to the rise in gas prices. With turmoil in Libya and Egypt, many fear that the price of oil might exceed the record $140 a barrel, which could mean a major slowdown in travel. Combine this with the significant reduction in travelers from Japan, which is reeling in the aftermath of last month’s earthquake and tsunami, and things do not look good for the industry. [more]
