Nearly 3,000 small businesses in NYC closed due to Covid

Closures over the last 4 months include retailers that made it through multiple recessions, natural disasters

New York /
Jul.July 27, 2020 03:15 PM
Coogan’s Irish pub in Washington Heights, John Jovino Gun Shop in Little Italy, and Gem Spa in East Village (Getty)

Coogan’s Irish pub in Washington Heights, John Jovino Gun Shop in Little Italy, and Gem Spa in East Village (Getty)

Mom-and-pop shops selling egg creams, vinyl records — and even firearms — lend New York City some of its irreplaceable history and charm.

But now, small, multi-generational businesses that withstood natural disasters and multiple economic downturns have fallen victim to the novel coronavirus. Nearly 3,000 small businesses have permanently closed in the last four months, according to the New York Times. Covid shutdowns sapped revenue, tourism and cash cushions, making rent an overwhelming burden.

Among some of the more famous small businesses to have shuttered are John Jovino Gun Shop in Little Italy, Coogan’s Irish pub in Washington Heights, Record Mart in the Times Square subway station and Gem Spa in East Village, according to the Times.

While financial support from the federal Paycheck Protection Program helped more than 275,000 businesses across the state, according to the Times, city comptroller Scott Stringer said about half the city’s businesses were left out of the program.

Aid offered directly by the city in the early days of the pandemic seems like a lifetime ago, and Gov. Andrew Cuomo insists closing bars and restaurants again remains an option.

Still, shopkeepers must contend with New York City’s pricey rents. Empire Coffee & Tea, which opened when Theodore Roosevelt was president, paid $9,000 less per month in rent in New Jersey this year than at its Hell’s Kitchen location, which it closed in April. [NYT] — Orion Jones


Related Articles

arrow_forward_ios
Clockwise from top left: 312 West 34th Street, 61 North 9th Street, 639 Classon Avenue, and One Fulton Square (Credit: Google Maps)

These were the top 10 NYC retail leases in July

These were the top 10 NYC retail leases in July
Ricky's at 830 Broadway (Credit: NYC Go)

Ricky’s, iconic NYC beauty shop, faces
more closures

Ricky’s, iconic NYC beauty shop, faces
more closures
From top, clockwise: Cushman & Wakefield's Joanne Podell, Showfields' Amir Zwickel, Appear Here's Josh Yentob, Brookfield Properties's Mark Kostic (Credit: Getty, LinkedIn)

When it comes to retail, “real estate in New York is fundamentally broken”

When it comes to retail, “real estate in New York is fundamentally broken”
(iStock)

No check, please: Restaurants grapple with confusing Covid inspections

No check, please: Restaurants grapple with confusing Covid inspections
Before the pandemic, national tenants paid 94 percent of rent. (Getty)

Retail rent collections rebound to 90%

Retail rent collections rebound to 90%
(iStock)

Manhattan asking retail rents continue downward spiral

Manhattan asking retail rents continue downward spiral
Shake Shack CEO Randy Garutti (Getty)

Shake Shack to add 60 new locations this year

Shake Shack to add 60 new locations this year
Walmart suspends political contributions to GOP lawmakers who opposed President-elect Joe Biden’s election certification (iStock; Getty)

Walmart cuts off cash to pols who opposed election certification

Walmart cuts off cash to pols who opposed election certification
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...