Hartford Business Journal

16 Hartford Business Journal • May 18, 2020 • www.HartfordBusiness.com By Joe Cooper jcooper@hartfordbusiness.com M emorial Day typi- cally signals the start of Mystic's busy tourism season, but the coronavirus pandemic has quieted the tiny village of less than 5,000 residents as many local businesses wonder if there's still time to re- coup summer travel spending. The rapid spread of COVID-19 has forced the temporary closure of more than half of Mystic's 80 or so restau- rants, in addition to numerous hotels, craft brewery taprooms and retail shops. Two of Connecticut's most popular tourist attractions — Mystic Seaport Museum and Mystic Aquar- ium — have also closed their doors and furloughed hundreds of workers. Meantime, a plan to build a 26- room boutique Delamar Mystic Hotel and restaurant has been put off for at least a year. Some venues are expected to reopen May 20 when Connecticut begins to gradually loosen economic restrictions, however, many believe it could take several months before consumer spending is restored in any significant way. Mystic, a small enclave part of both Stonington and Groton, may have the most at stake in terms of COVID-19's impact on tourism, since the indus- try drives the village's local economy. "I think demand in the marketplace for social activity is unknown right now," said Rozelyn Gilhuly, senior vice president of external relations at Mystic Aquarium, which is estimat- ing a $4.5-million sales hit during its ongoing shutdown. "But I do believe confidence will return over time." As statewide coronavirus hospital- izations continue to decline, Mystic's tightly connected tourism industry is hoping its seaside destinations will become an attractive option for travelers looking to avoid crowded city centers. There's also optimism that Mystic will experience a surge in day trips and that tourists are ready to spend untapped travel funds in the summer and fall seasons. "Depending on how they were affected by the pandemic, people haven't spent anything traveling," said Tim Brown, a co-owner of the Inn at Mystic. "I think a seaside destination with the ability to social distance will be very popular this year." Brown is one of many operators in Mystic developing social-distancing guidelines in conjunction with the state's specific rules that eligible businesses must follow in order to reopen starting May 20. For restaurants, that means transitioning to outdoor-only dining services, disposable paper menus and guests being asked to bring and wear face masks. At brick-and-mortar stores, capacity will be capped at 50% as visitors are required to wear masks, make appointments and avoid gatherings of more than five people. The initial response to these new mandates in Mystic — which accounts for half of annual tourism activity in Connecticut — could foreshadow how the state's larger $15.5-billion tourism industry fares this summer and beyond. Tourism's health is especially important because the industry — prior to the pandemic — is Con- necticut's eighth largest employment sector with nearly 85,000 direct jobs, and generates more than $2 billion a year in annual tax revenue. Randy Fiveash, director of state tourism, says the industry may not fully recover this year from corona- virus, but he still sees an appetite for travel in the coming months. "One of the great things about the tourism industry is that it's resil- ient," Fiveash said. "The industry will be different, but it can handle it." Feet on the street The Olde Mistick Village is no stranger to overcoming uncertain economic conditions. After all, the shopping center debuted in a reces- sion almost a half-century ago and is now home to more than 50 shops and restaurants. Chris Regan, a property manager for the retail corridor his family has held since 1973, sees another path for store operators to overcome this recession and salvage a considerable chunk of summer tourism spend- ing with the use of online shopping, curbside takeout sales and expanded outdoor seating options. Regan says more than 70% of busi- nesses in the shopping/dining center, employing a combined 500-plus work- ers, have been helped by federal stimu- lus funds as they prepare to ramp up seasonal hiring and implement new social-distancing and sanitation rules. The remaining 30% of businesses are also seeking federal aid. Regan, a member of the Mystic Chamber Foundation and the Greater Mys- tic Chamber of Commerce, says there's evidence of pent up demand for spending as eat- eries like Vault Coffee/Deviant Donuts, Go Fish Restaurant, Mango's Wood Fired Pizza Co. and Pink Basil, among others, have been yielding significant takeout sales in recent weeks. Mistick Village alone attracts more than 1.5 million visitors a year. Restaurants in the center, home to Merrill Lynch Wealth Management, Lib- erty Bank and a luxury movie theater, are also being patronized by couples and families that are now more apt to hold picnics along the Mystic River. Those types of outdoor activities, fit for the center's predominant demographic of those between the ages of 30 to 54, will grow in popularity this year as people avoid city vacations, Regan says. BY THE NUMBERS Connecticut's tourism industry $15.5B The amount of money Connecticut's tourism industry posted in total sales in 2017. $4.2M The amount Connecticut's current-year state budget allocates for tourism. 5.3% The percentage of all jobs in Connecti- cut supported by tourism. 84,254 The number of direct jobs supported by state tourism. Source: Office of Tourism Brighter Days CT's top tourism destination readies for city travelers, shorter stays and social distancing during pandemic Randy Fiveash, Director of State Tourism Businesses serving Mystic's tourism industry are looking to salvage the summer travel season despite the COVID-19 outbreak. PHOTO | CONTRIBUTED

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