These are the Whatcom restaurants and retail stores that won’t be around in 2021
In what has been one of the most difficult business climates ever, many Whatcom County retailers and restaurants were able to find a way to survive this pandemic year.
The number of announced permanent closures of restaurants, bars and retail stores is fairly similar to recent years. At the end of 2020, the number of counted Whatcom restaurant/bar/catering businesses totaled 22, which is similar to the totals posted in 2019, 2018 and 2017. When you add in retail stores and service businesses, the total counted is 45, which is also similar to closure totals in recent years.
The Bellingham Herald’s confirmed business closures list is based on physically checking address, social media announcements, press releases and “for lease” signs. The Washington Hospitality Association has a much higher estimate of 81 Whatcom restaurant/bar closures, having done a phone survey of the area.
The big concern is for the businesses that are on the edge in terms of surviving. Currently, there are dozens of Whatcom restaurants, bars and stores that are in “hibernation” — temporarily closed while waiting for the current COVID-19 restrictions to be lifted or the overall situation to improve. The restrictions, which include no indoor dining at restaurants, are scheduled to be lifted on Monday, Jan. 11, but it’s a deadline that’s already been extended once as the state continues to try and slow the spread of the virus.
Those businesses in hibernation may be able to survive and reopen because of the passage of the second federal stimulus package, said Hart Hodges, co-director of the Center for Economic and Business Research at Western Washington University. The Paycheck Protection Program in the package is particularly important because it has more options for loans to be forgiven.
“I don’t think many small businesses want to just take a loan to stay alive,” Hodges said in an email. “Their cash flow going forward would not let them pay down the debt and give them the income they were earning before.”
Going forward
Hodges expects the recovery to take time as current restrictions are eased and the vaccine becomes more widely available.
“Businesses that can hang on through the spring will reopen, but I think slowly. And I think new businesses in the restaurant and service sectors will fill the gap left by restaurants that closed, but again, slowly,” Hodges said.
Hodges thinks the recovery will be slow because customers may be reluctant to return at first. Even as people get the vaccine, it is unclear whether they will still spread the virus to those who haven’t been vaccinated.
“I think we’ll see continued uncertainty and only a slow recovery in the spring,” Hodges said. “I suspect things will pick up speed in the summer and maybe start to feel a bit like normal by early fall. There are of course risks to that view — such as new strains of the virus or hiccups in the distribution of the virus.
“Next summer could still be difficult for many small businesses.”
Along with the slow recovery, 2021 could also be different because consumers’ shopping and dining habits may have changed, said James McCafferty, also the co-director at the research center.
He suspects there will be a continued demand for curbside and delivery service, even after the pandemic is under control. The result may mean a change in the total number of stores and restaurants that exist in this area.
“For those that have been impacted from all of this financially it will take longer to find their financial footing,” McCafferty said in an email.
Whatcom County permanent closure list for 2020:
Retail stores: Abercrombie & Fitch (Bellis Fair location), Sky High cannabis shop, Forte Chocolates (Bellis Fair location), Tuesday Morning (Sunset Square location), Appliance Depot, Pier 1 Imports, More than Antiques, West Coast Pets, Wise Buys, Salvation Army, 1 Paperboat, Lane Bryant, Ferndale True Value, Blue Horizon Clothing.
Restaurants, catering and bars: Jofish Seafood, Over Easy, Fairhaven Fish & Chips (in the big red bus), Village Inn Pub & Eatery, Herb’s Cider (downtown taproom location), Kay Cake Design, Firefly Lounge, Mix (Barkley Village location), Rhodes Cafe, Marketplace Catering, Jeckyl & Hyde (closed physical restaurant, has an online presence), Starbucks downtown, Starbucks Bellis Fair, Sabores de Mexico, Little Roadside Tavern, Roadhouse Bar & Grille, StrEAT Food, El Albanil, 122 West Brewing, Ciao Thyme, Lizzie’s Cafe, Pita Pit (Sunnyland location).
Did we miss your business? Please contact us at newsroom@bellinghamherald.com.
This story was originally published January 4, 2021 at 5:00 AM.