These Fresno-area businesses and restaurants are closing — but not all because of COVID-19
When COVID-19 first hit, the predictions about its impact on businesses were dire.
More than half of all small businesses would close, one survey said.
That hasn’t happened in Fresno.
But the pain businesses are feeling cuts deep.
It’s been three months since coronavirus took hold in Fresno, with the shelter-in-place order shutting down many businesses for months.
Businesses are reopening, but the economy is far from normal.
Customers aren’t spending like they used to. That may be because they’ve been unemployed. Or because they’re still cautious about venturing out as COVID-19 infections continue to rise in Fresno County.
So what does the situation look like now for small businesses in the Fresno area?
Many have already closed. Below is a list of the stores, restaurants, exercise studios and other businesses that have closed or are in the process of closing this year.
One thing to note: Not all are closing due to COVID-19.
Some had planned to close before the pandemic. Several had leases that were expiring and decided not to renew them. For some, coronavirus combined with other challenges the businesses were already facing was just too much and they decided to call it quits.
And for some, especially small exercise studios, running a business while keeping people six feet apart just made it impossible to reopen.
So what does the future hold?
We haven’t seen the worst of it yet, said Mark Saito, of Mark Saito Co., a commercial real estate broker who helps landlords and tenants sign leases.
He expects Fresno will lose 10% to 15% of its businesses between now and the end of the year.
He’s especially concerned about nail salons, dry cleaners, florists, downtown lunch spots, and dress and suit shops that rely on formal dances and weddings.
“They got hit pretty hard,” he said. “I think they could be in jeopardy if they didn’t get those PPP (paycheck protection program) loans. I think the companies that got the loans are going to survive, but there’s a lot of small businesses that didn’t qualify.”
There’s also a lot of less sophisticated small businesses that didn’t apply for them, he noted.
The real test will come two to four months from now when businesses have been reopen for a while, said Steve Rontell, a retail broker with Colliers International.
There will be some pent-up demand from customers when businesses first reopen, he noted.
Customers may splurge on dinner or do some extra clothes shopping for the first time in months.
But not every business can benefit from that type of spending. Ones that sell services – like karate or dance studios, for example – won’t see a doubling or tripling in spending to make up for those dark months, he said.
Some businesses, especially in retail, were already dealing with competition from big box retailers and online sellers, along with changes in how California regulates independent contractors.
“There have been sectors in retail that have been struggling and keeping their head above water, and all of a sudden this COVID-19 thing hits, and it really just compounded the situation,” he said.
Generally, landlords in Fresno are working with their renters, delaying or forgiving rent, Rontell said. But other expenses, like insurance and the cost of buying new inventory, stay steady.
“It’s hard to catch up,” he said. “A lot of businesses will not be at 100% capacity. Some won’t even be at 50%.”
“The real telltale will be fall,” he added.
Closings
Starbucks closed its Tower District coffee shop permanently. More could follow in the Fresno area. The company plans to close up to 400 locations over the next year and a half, but has not said where. (It also plans to open 300 new shops).
Fresno Piano Gallery at 7194 N. Abby St. near River Park is closing as its lease is expiring in August. The uncertainty from COVID-19 was just too much to sign another 5-year lease, the manager said. The business will consolidate into its other location, Fresno Piano, at Fresno Street and Ashlan Avenue, scheduled to reopen Sept. 1.
Old Town Yoga won’t reopen its Fresno location, saying in a Facebook post it’s not viable to operate with the new restrictions in such a small space. But its other location, the studio on Clovis Avenue in Clovis, has reopened.
COIL Yoga closed the doors of its Shaw Avenue studio for good, but is still alive and leading classes online.
Yoshino restaurant closed its River Park restaurant after deciding not to renew its lease. Owner Phu Yoshino said she’s thankful for her customers, staff and the shopping center, and had hoped to have a formal farewell, but the COVID-19 shutdown prevented that.
Yoshino’s other location at 6226 N. Blackstone Ave., near Bullard Avenue, is staying open. It was recently remodeled and will celebrate its 40th anniversary this year.
Chase bank in Fig Garden Village is empty and up for lease. The bank consolidated the location with one about a half mile away in late May, a move not related to the coronavirus pandemic, according to the company.
Sweet Tomatoes announced last month that it is closing all its restaurants nationwide. The buffet restaurants face particular challenges amid COVID-19. The restaurant had one location left in Fresno, on North Fresno Street.
JCPenney is closing stores in Los Banos and Delano. It’s closing 242 stores as part of its bankruptcy stemming from debt, years of declining sales and the pandemic.
Romano’s Macaroni Grill in River Park closed permanently in late March, along with a handful of other locations nationwide. The company did not respond to questions about whether the closures were COVID-19 related.
SWATCHES Yarn Studio at Bullard and West avenues is closing for several reasons after 12 years. Owner Fran Tanner-Oto’s husband recently died and the shop is increasingly competing with online sellers. Being closed for several months due to COVID-19 and all the difficulties associated with it was the last straw, she said.
Planet Hair in River Park closed recently after deciding not to renew its release. It was not coronavirus related, they said.
Fresno Fit, a boot camp at the southwest corner of Bullard and West avenues, decided to close its doors and switch to an online format. Reopening in its 3,200-square-foot space would mean increased costs. Social distancing would mean they’d need to add more classes or increase prices, owner Nestor Flores said.
Full Circle Olympic closed its craft beer tap room in the former Club Fred space in the Tower District due to COVID-19. The original Full Circle Brewing Co. at 620 F St. where the beer is brewed remains in business.
Uncaged X Fitness in northwest Fresno announced on its Facebook page that it would not be reopening its doors, though it continues to do online fitness challenges.
Fresno Vanguard Krav Maga & Fitness, a martial arts/fitness business near the airport, announced on its Facebook page that reopening rules left them with more questions than answers. Its lease has ended, its equipment is in storage and the business plans on notifying its customers once it can find a more suitable location.
Kirkland’s, the home decor store, is closing its location at the Marketplace at El Paseo near Herndon Avenue and Highway 99. The company said it was one of a small number of underperforming locations it is closing. The other locations in Fresno and Clovis will remain open.
Pier 1 is in bankruptcy and in the process of closing all its 540 stores, including stores in Fresno and Clovis. The troubled retailer has been looking for a buyer, but the pandemic appeared to put the nail in the coffin.
Tuesday Morning, the discount home decor store, is closing its locations in Fresno and Visalia. The retailer filed for bankruptcy last month blaming its financial troubles on the COVID-19 pandemic.
USBean Brew Station, the coffee shop inside Bitwise South Stadium at Van Ness Avenue and Mono Street, is closed for the rest of 2020. Bitwise employees are working from home for the rest of the year. The coffee shop is planning to reopen in 2021.
Kebab Express in Fig Garden Village has also closed. The owners could not be reached for comment, so it’s not clear why it closed.
Tower Sushi on Olive Avenue in the Tower District announced March 29 that it was closing its doors indefinitely. The restaurant said on its Facebook page that its building was sold to a new owner, and its last day would be May 1. However, because of COVID-19, it said they could not reopen during April.
MaRoo, the Korean restaurant at Bullard and West avenues, closed well before the pandemic started. The owners could not be reached for comment.
