Downtown recovery still fragile

About 80 percent of more than 1,000 Cedar Rapids downtown area businesses damaged by the 2008 flood reopened within a year. At the time, business and city government officials were encouraged, considering the enormity of the disaster.

But as we approach the end of post-flood year two, downtown's struggle to recover is far from over. An estimated 150 businesses are at risk of folding within six months, according to the Cedar Rapids Area Chamber of Commerce-sponsored Business Long term Recovery group. And we'd just as soon forget that at least 80 flooded small businesses never did reopen.

We can't. The downtown's impact on our economy, employment and local tax revenues is huge. Healthy recovery is in our community's best interest.

Pre-flood, 13,000 people worked downtown. Businesses there provided 5 percent of the total property tax base from a geographic footprint that's just 0.5 percent of the city.

Post-flood, several thousand downtown jobs have been lost. The national economic recession unfolded. Many businesses have taken on huge new debt and some can't get financing. The loss of such signature attractions as the Paramount Theatre and Theatre Cedar Rapids compounds the reality of fewer customers these days.

Federal and state government assistance to business has made some difference but so far has been more limited than aid for flooded homeowners. More help from Congress for small business may be on the way but how much and how soon is still unknown

Meanwhile, local government, the chamber and many other civic organizations made extensive efforts to help our own with resources, expertise and strategies such as buy local. Collaboration increased.

But will there be enough help, soon enough, to keep most downtown area employers afloat until the economy rebounds?

Blend restaurant is one that didn't make it after reopening. The building's owner warned that others are likely to close before things get better. “The downtown is coming back strong, but it will take time to do so,” Steve Emerson told The Gazette.

Trouble is, many businesses don't have much time. Let's find ways to buy some.

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Moving forward in downtown Cedar Rapids

n What/Where: Forum at Cedar Rapids Museum of Art.

n When: 7-9 p.m. Monday.

n Purpose: Identify obstacles to stable downtown recovery and growth, what assistance is available, and ideas/solutions to close the gap.

n Who: Business owners, employees and public invited; discussion panel includes local civic and business leaders, small business owners and Dave Swenson, Iowa State University economics research scientist.

n Sponsors: The Gazette, gazetteonline.com, KCRG-TV9.

n If you can't attend: Visit www.gazetteonline.com for blog and livestream coverage.