Walking down the streets of New York City in early March produces a hopeful feeling. The snow banks are melting, and people are more leisurely with their time. This feeling carries over into the local businesses as they keep their doors open, allowing for a crisp breeze. One such business is local restaurant, Ruben’s Empanadas. Ruben’s has just opened its seventh location, choosing the cozy 8th avenue strip in Chelsea to set up shop. 8th avenue boasts many local restaurants and the new addition is not unwelcome.
Among the business closings, and the numerous rent signs that pop up In New York City in a time of recession, it is a rarity to see a business thriving. The recession started in December of 2007, says a report published by the National Bureau of Economic Research, and many businesses have not been able to ride out the recession. "The Bureau of Labor Statistics on Friday released the employment report for September, the 21st month of consecutive job loss, making this the longest streak in 70 years." says Economic Policy Institute member Heidi Shierholz. Though the recession has spanned several years, things are beginning to look up. “One major player in the economy, the Federal Reserve Bank’s policy-making committee, announced some good news in August 2009, saying it believes the recession is ending.” says New York Times writer David Leonhardt. Though the recession may have ended, it will take time to heal.
Within this time, to see a businesses opening among several vacant signs on a street is a subtle hint at an upturn. George Entio, manager of the new 8th avenue Ruben’s Empanadas says that within the last few years, business has slowed for them, but not stopped. “The economy was last in recession in 2001. Contrary to widespread belief, the terrorist attacks of 2001 did not cause the downturn that year,” says Leonhardt. Though it has been adamantly declared that the 2001 recession was not caused by the terrorist attacks, it has affected some on an individual basis.
“After September 11th, our downtown locations slowed down, the buildings were empty, companies moved, so we made the decision to expand uptown,” says Entio. As far as the restaurant business goes, Entio says, “restaurants are crazy, rent is insane, our plan was to open a new store every year, but the last three years we have slowed down.”
However difficult business is, it seems that New York business owners are sticking it out. Ruben’s Empanadas business has slowed, but it has not stopped. Numerous curious customers peaked their heads in for a look at the new delicacies the neighborhood has to offer. It seems as if New York City business owners are going to be alright, observes Barbara Byrne Denham, chief economist with Eastern Consolidated “Despite the fact that this was one of the worst financial crises in more than half a century, its effect on the New York City economy was one of the mildest.” There seem to be increasing reasons to be a little more hopeful come spring. In a speech on March 8th at the National Association for Business Economics Policy Conference, Brian P. Sack, Executive Vice President of The Federal Reserve Bank of New York said, they are "preparing for a smooth exit from the extraordinary policy actions that were taken in response to the financial crisis."
Etnio, whose branch of Ruben’s Empanadas opened in early February, says the Bistro has been, “busy from the beginning, we have a lot of customer’s who work in the downtown area, but live here”. He speaks to the need of a more cohesive blend of local businesses saying, “Lately, people are looking for something different, they don’t want another Starbucks or Bank, they want individual attention.” Etnio is not bothered by the boom of other local restaurants on the strip, stating that, "People know to come here to eat, there is no competition." This display of synergy on a local level only adds to the hope that New York City's economic status will soon pick itself up. George Etnio, manager of Ruben's 8th avenue branch remarked, "The change to these New York City neighborhoods is not good, they are much more commercial than they were eight years ago. People are looking for small businesses again, and that is what we will give them."
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