92 percent of NYC restaurants could not make December rent: survey
Ninety-two percent of New York City restaurants couldn’t afford to pay their rent in December, according to a survey from the NYC Hospitality Alliance released Tuesday.
The number of restaurants in the city that have been unable to pay their rent has been increasing since the pandemic began, according to the trade group. Eighty percent of restaurants were unable to pay their rent in June.
The survey of over 400 businesses also found that only 40 percent of landlords reduced rent during the COVID-19 pandemic. Only 36 percent of landlords deferred rent due to the pandemic, and only 14 percent of businesses were able to successfully negotiate leases.
“We’re nearly a year into the public health and economic crisis that has decimated New York City’s restaurants, bars, and nightlife venues,” Andrew Rigie, executive director of the NYC Hospitality Alliance, said in a statement. “While the reopening of highly regulated indoor dining is welcome news, we need to safely increase occupancy to 50% as soon as possible, and we urgently need robust and comprehensive financial relief from the federal government.
The survey comes as restaurants in the city and nationwide have been hit particularly hard by the coronavirus pandemic.
New York Gov. Andrew Cuomo (D) allowed restaurants in New York City to reopen indoor dining at 25 percent capacity last Friday, and extended closing times from 10 p.m. to 11 p.m.
Restaurants can still provide curbside food-only pick up or delivery after the 11 p.m. closing time.