By Adam Pagnucco.
During the pandemic, Montgomery County’s restaurant industry took bigger hits on employment, wages paid and net losses in number of restaurants than most other large jurisdictions in the region. That does not prove that the county’s COVID restrictions caused those losses but it does warrant an examination by the county of the economic health of this industry. In today’s conclusion, we compare MoCo’s restaurant industry to those of its peers in the region.
First, the chart below shows the number of restaurants per thousand residents as of 2021. Montgomery County’s 1.54 restaurants per thousand residents is close to the regional average but it lags D.C. (of course), Arlington, Alexandria, and Fairfax and is virtually tied with Howard.
Second, the chart below shows the number of full-service restaurants per thousand residents as of 2021. The U.S. Census Bureau defines full-service restaurants as “establishments primarily engaged in providing food services to patrons who order and are served while seated (i.e., waiter/waitress service) and pay after eating. These establishments may provide this type of food service to patrons in combination with selling alcoholic beverages, providing carryout services, or presenting live nontheatrical entertainment.”
MoCo lags the regional average substantially on this measure and also lags most of its peers.
Finally, the chart below shows the percentage of each jurisdiction’s restaurants that offer full service. Once again, MoCo lags both the regional average and most of its peers.
So why did we spend all week discussing MoCo’s restaurant industry and how it was affected by the pandemic? Let’s recognize that restaurants are not a “normal” industry since they provide value above and beyond simple economics, like jobs and additions to the tax base. Restaurants are amenities and cultural institutions. They attract residents and employers. They are an essential part of place-making. They are centers for community building, especially those that offer full service. Great communities have great restaurants.
Montgomery County competes with the rest of the region, yes, but we aspire to compete with the best, which we think of as D.C., Fairfax, Arlington and much of Northern Virginia. On the three data points shown above, our restaurant industry does not measure up to our rivals. Part of that is due to our restaurants taking a bigger hit during the pandemic. Part of that is no doubt due to the county’s liquor monopoly, which has attracted complaints from MoCo restaurants for decades. Part of it may be due to our business reputation, which has long been an issue for the county. But whatever the reason, restaurants matter, and Montgomery County needs to do a better job of encouraging them, nurturing them and helping them to help us rise to the top.
New data on county restaurants will be released in the summer of 2023. Once it is available, we will provide an update. Thank you for reading!