Business signs positive; strong spring heading for summer

The Kiplinger Letter for business forecasting touched base recently with AAA to gauge members’ travel plans this summer. Top destination on the list for 2019, based on bookings, is Orlando, Fla. But that’s not the only place travelers will be going.

Rehoboth Beach-Dewey Beach Chamber Executive Director Carol Everhart and Lewes Chamber Executive Director Betsy Reamer both say that inquiries - primarily through websites - are strong as we approach Memorial Day weekend. “Really solid,” said Reamer. “People are planning summer trips and need information. And the businesspeople in downtown Lewes are really happy that streets construction has ended. That construction made for a rough winter.”

Everhart said Rehoboth and Dewey are heading into the summer season on the strength of a very positive spring. “We could always use some better weather, but overall, everyone is positive and hoping for dry.”

April 2018 was a seriously soggy month, starting one of the wettest years on record. “All of our chamber-sponsored events in 2018 - Beach Goes Blue, Sidewalk Sale, Sand Castle Contest and Sea Witch Festival - were rained out last year. That really hurt us. But this year so far, visitations are up and occupancy rates in our accommodations members’ facilities are running above 80 percent, and that’s strong. That rate will start going up into the 90s after school lets out in late June.”

Everhart said most of the chamber’s restaurant members are reporting strong, or slightly off due to increasing competition both in town and on the highway. “Specials helped many get through the winter, and events like restaurant week are also helping. As for retail, it’s always a mixed bag. I think it’s more product than it is location, though there is heavier visitation at the outlets on bad weather days. They are set up with covered walkways. Downtown is really not conducive to bad weather shopping.” (The day we spoke, Monday this week, heavy rain and wind were blowing off the ocean.)

Empty storefronts concern

Empty storefronts are a concern in downtown Rehoboth Beach, and finding enough good employees continues to be a concern everywhere. “At one point I counted 17 empty storefronts. But I know that some of those are now under lease and new businesses will be opening in them. We’re all looking forward to seeing those empty storefronts filled,” said Everhart.

There are about 330 business fronts in downtown Rehoboth according to chamber calculations. Everhart said one trend she is seeing is more professional offices moving into Rehoboth storefronts. “I’m talking Realtors, lawyers, mortgage and financial people. There’s growth in that area. You can see it coming.”

While rising healthcare costs and regulation always seem to be at the top of business concerns, Everhart said finding good employees who will stay on the job is also a consistent concern. “I counted eight help wanted signs along the highway when I was coming to work. People need employees. Look at the Cape Gazette classifieds - all the pages of help wanted ads.”

Still, when it comes to business at the beach, weather remains king. Reamer said Lewes feels lucky that its three spring events - Tulip Festival, Kite Festival and British Motorcar Show - all found good breaks in the weather this year to draw strong participation.

And the bottom line for Rehoboth Beach?  “Overall,” said Everhart, “we’re seeing no slowdown signs in requests for information about accommodations and new businesses.”