New York City Restaurants Brace for Financial Burden

NEW YORK—Already, restaurants in New York City have closed due to the coronavirus pandemic.

And for the most part, those we paid a visit to that were open didn’t have many customers. But on Monday, New York Governor Andrew Cuomo ordered that restaurants no longer provide in-dining service.

Only takeout and delivery will be allowed.

“Whatever you can order from the bar, or restaurant, or distillery, winery, you can purchase through takeout,” said Cuomo on Monday. “Stay home and order from your favorite restaurant, order from your favorite bar, order from your favorite winery.”

To give an idea of how many places will be affected, in 2018, the state had over 50,000 food and drink businesses, according to the National Restaurant Association (pdf). They made an estimated $51.6 billion that year.

But business is already slow for some. The general manager of Famous Original Ray’s Pizza near Times Square says delivery and takeout won’t make much of a difference.

“They’re saying that, but the people are scared,” said Elsayed Elgaier. “People are scared even to order.”

He said his pizzeria is only getting a tenth of the business that they usually do.

And, for China River, a Chinese restaurant, business has also been slow. The manager said he expects to see another drop.

“It’s a big damage,” said manager Huang Teng. “It’s a lot, it’s like 60 percent of business going down.”

But he said this is good for the sake of people’s health, and that food delivery apps will help them bear some of the cost.

So far, there’s no telling how long the order will be in place. In the meantime, however, small businesses hurt by the coronavirus can apply for an up to $2 million recovery loan from the federal government.

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