Manhattan: Downturn Leaves Familiar Imprint On Financial District
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As the number of Wall Street jobs lost in the recession reaches into the thousands, the neighborhood that once supported it all has become no stranger to being dealt a bad financial hand. NY1's Rebecca Spitz filed the following report.The streets of Manhattan's Financial District were once invigorated by Wall Street's success. But when bankers and brokers went bust, and the economy tanked, so did many neighborhood businesses.
According to the local community board, approximately 300 of them have closed in last two years.
"One of the problems is we just don't know how long this recession is going to last and so for many businesses that are really hand to mouth, it's really very difficult for them to hold on," said Community Board 1 Chair Julie Menin.
Count among them Maiden Lane Wine & Liquors. Its owner, Peter Muscat, says he's watched his business slowly decline
"Let's face it, after 9/11 never recovered fully but now with the recession in my 39 years here never remember it like this," said Muscat.
Tower Art Gallery is stuck between two businesses that closed within two weeks of each other. Owner John Koyas says he's cutting corners where he can and still, profits are down about 45 percent.
"It used to be that you'd have 3 good days, one bad day. Now it's like you have one good day followed by four bad days so it's like you're not really winning," said Tower Art Gallery owner John Koyas.
With many stores struggling to stay afloat, some merchants say they're changing the way they do business.
"I shouldn't really say this but the customers pretty much dictate the price. Used to be there's a certain price range you can't really go below or you're not making money, now you'll take anything," said Koyas.
This is, in fact, the third wave of displacement to hit Lower Manhattan. First came September 11th, then the downtown reconstruction effort and now the recession.
Some local residents say while they appreciate construction projects in the long run, for now they're a massive inconvenience.
"I think a lot of people don't realize that this is really the epicenter of the largest urban renewal project in American history. We have 60 major development projects going on simultaneously in less than one square mile," said Community Board 1 member Ro Sheffe.
While people who live and work in the area say the cumulative effect is devastating, local merchants are determined to weather the storms.
"I'm not a quitter, we will recover, hopefully by the end of this year things will start to get better and we'll hope on that," said Muscat.