Tourists returning to Tahoe reviving economy
By Kathryn Reed
“No vacancy” signs, traffic on the roads midweek, parking lots full. All of these are indicators of an economy that is on the rebound.
There are days, construction aside, when one cannot drive as fast they would like. Even the increase in bikes and pedestrians is slowing down the normal pace.
Beaches like the one at Lake Shore Lodge are always full for the July 4 fireworks. Photo/Kathryn Reed
It hasn’t been this way in Tahoe since before the recession.
According to the Bureau of Economic analysis, spending on travel and tourism in the United States is up 6.8 percent in the first three months of this year compared to a year ago.
A report by Dean Runyan Associates said more than 200 million people came to California in 2012 as tourists. Collectively, they spent about $106.4 billion. This is an increase of 3 percent from the $101.8 billion that was spent in 2011.
Pat Ronan, who owns Lake Shore Lodge and Spa in South Lake Tahoe, said everyone he’s talked to – from casinos to vacation rentals – is doing better than years past.
“We sell out every year, but this year it was a month in advance,” Ronan, who is also chairman of the Lake Tahoe Visitors Authority, told Lake Tahoe News of this weekend.
The three- and four-night minimums that many hotels have for this weekend were not a deterrent.
“There is a huge amount of family business because now the whole family can afford to do it,” Ronan said.
Sandy Evans Hall, North Lake Tahoe Resort Association executive director, said 2012 was a great summer for her area and this summer is tracking to be on par or better.
“Probably our biggest increase now is showing up in September because of Iron Man, Tough Mudder and the food and wine festival,” Hall told Lake Tahoe News.
The first two are new events to the North Shore.
Events continue to be an economic boon no matter where they are.
Carol Chaplin, LTVA’s executive director, said events do two things. One, they draw people to that specific event, and the other is the event creates a sense of energy, that Tahoe is a happening place even if that particular event is not of interest or the person can’t make it that day.
Fourth of July is traditionally the busiest time of the year throughout the Lake Tahoe Basin. This year is no different. Beaches were full of fireworks enthusiasts last night. The beach at Lake Shore Lodge and Spa was a mass of people with their eyes focused intently on the 25-minute fireworks display that featured 3,500 shells being shot off from three barges.
Tourist officials on the South Shore had predicted upward of 100,000 people could be in town this weekend.
The big difference this year compared to previous years is the advance bookings. The past few years people were all about last-minute travel, now they are planning. This is a sign of confidence in the economy.
Lodging is the first segment of a tourism destination to come back. Then people start eating out more and graduate to more expensive eateries. Then it’s a special event they can afford. Finally, it will be the truly optional items people will open their wallets for – like spa treatments, helicopter rides and shopping.
“For the boats, they are pacing well above where they were last year,” Teri Sweeney with Aramark said of the two paddle-wheelers and 50-passenger Paradise her company operates.
On the Fourth, a third cruise was added for the Paradise. It sold out in 1½ weeks. All of the cruises were sold out yesterday.
Sweeney added that the boat rental business is doing well, too.
People are eating out as well.
“Last year was a record year for Riva, Gar Wood and Bar of America. This year is proving to be as good or better, even in Kings Beach (at Caliente),” Tom Turner told Lake Tahoe News.
Turner owns the four restaurants scattered about the greater Lake Tahoe area.
July 3 is traditionally the busiest day for Gar Wood because people are stopping there on their way to the fireworks in Kings Beach. Riva Grill in South Lake and Caliente in Kings Beach are popular viewing platforms on fireworks night.
“People are definitely loosening up, but it is much more calculated these days,” Chaplin said. She doubts the visitor who has money to throw will be returning any time soon, but is confident the tide has turned.
Kae:
Thank you for this article providing some optimism for the future. Let’s hope the recession is behind us and no economic killer like that happens again. Unfortunately, when people need to focus on just the basics in making ends meet they don’t have the discretionary money to spend on entertainment, an economic killer to tourism driven economies like Tahoe. And spending money on entertainment is always the last economic element that rebounds after a recession. This is good news for our national economy and for our local economy and hopefully some money will be generated to make needed improvements in our community.
The test will be the next 8 weeks of the season. Unfortunately most of the good news in the article is focused at the North Shore. Seems they are doing a good job of attracting new events. Iron Man will be at the North while Iron Girl did not return to the South after several years. Too Bad.
If short term rentals were not here illegally in our neighborhoods there would be more business in town along HWY 50. Commercial lodging is a direct violation of your neighborhood CC & R’s. I suggest you take that route with the city or county if you are having problems with a neighbor renting their property under 30 days. As always contact the PD or Sheriff after 10pm for noise complaints (beforehand if vulgar language is used) and EDC Animal Services for unleashed pets. Let your elected officials know that owners of short term rentals must have proper fencing if pets are allowed. Short term rentals are a nuisance to residential neighborhoods nationwide.
Wait a minute! I thought the economy couldn’t possibly turn around until TRPA allowed Vail and Edgewood to take over our town and build more over-sized high-end luxury buildings. Does this mean our tourism-based economy is actually affected by what’s happening with the economy OUTSIDE of Lake Tahoe? Wow, who knew?!
Kathryn Reed & JoAnn Conner,
Kae, thanks for the good news about our local economy. Tourisim is up and home prices have stabilized and are slowly inching back up in price. Now if only our wages and all other earned income would rise as well. Things are looking better for old Tahoe. New construction is down but there are more new businesses moving into what were vacant commercial properties. I’m optimistic that this trend continues.
JoAnn, Thanks so much for getting personally involved in starting the process in motion to clean up the burned out grow house over the fence from me. It’s all cleaned up. The burned up grow lights, some sort of power inverters, fans for venting, all kinds of junk is gone.
Your phone calls and the pictures you took, that you showed to the city manager, fire and police dept.’s really got things going.
The trash and burnt debris is gone as well as the furniture and other trash that people had dumped there after the fire. My neighbors and me really appreciate your work on this …now if we could just get that burnt out shell of a house torn down. Wildflowers and native plants in its place? We’ll see what happens. Thanks again JoAnn. Old Long Skiis
It’s great to see a goodnews story. But in response to “Bob Says” I am a regular visitor from overseas with a lot of friends who see my pics on facebook and now rent houses or bedrooms for 1 to 4 weeks in Tahoe as part of their ski trip to Cal/NV. Short term house rentals help the homeowner and the tourist and the economy. Affordable holidays brings money into the country.
Watched the fireworks from Edgewood beach and have to say it is the most spectacular fireworks show I have ever seen. Takes a lot of hard work and money to make this happen and the sponsors should be applauded. We had friends come up from the Bay Area just to see it, who spent over $500 bucks in South Lake and Stateline for one overnight stay.
Tourism in Tahoe is improving – Great!… but it isn’t by chance, there are a lot of folks spending money and doing the hard work to make it happen.
Tuffy:
Thank you for your positive remarks about our town and for acknowledging that our local tourism isn’t improving in a vacuum. There ARE a lot of people working very hard to help make things better for our community and I think it’s really unfortunate that this is so often forgotten, overlooked, or just plain ignored by some people who enjoy being critical of everyone and everything.
I believe it’s the LTVA who arranges and sponsors the fireworks displays. Another one of those local organizations that’s subject to a lot of criticism, so maybe in the future when those constantly whining pessimists are enjoying the July 4th or Labor Day fireworks they’ll remember that the LTVA went to the time, effort and expense to make that enjoyable experience happen for them for free. And for the record, it is the City of SLT that is sponsoring the Lakeview Commons site for free to On Course Events for the Thursday night Live at Lakeview Concerts so that event can remain free to the public for their enjoyment.
Things may not be perfect, but there are a lot of people trying to make things better for our community and our community’s members and they don’t often get many thanks for their hard work or any positive credit for what they do. A little appreciation can go a long way.
Heck, if the City hadn’t broken its word, and maintained its support for the LTVA, instead of taking that money to pay for outrageous pay increases and excessive retirement packages, maybe tourism would be all the way back! Instead of it being just up from its low point.
But the trend line is going in the right direction. Hopefully misguided City policies and high gas prices don’t negate the trend?
I wish the tourists would remember that they are guests & act as such. Unfortunately, the bad ones supersede the good ones. Is the money really worth it? I realize everyone needs money to survive, but do we need to sell our souls for the all mighty dollar? Historically, Tahoe was a small family community tucked in the woods which also served as a secret getaway for respectable families to get away. So many of these tourists come here and don’t abide to our slower speed limit laws & blast their stereos while violating the no wake zones in the Keys. Going to the store is an all day event. This is a slow paced town people(tourists). You want to get away from the hustle & bustle, take a moment to breath in the fresh pine scented air when you are coming up the mountain. Let the tension in your shoulders roll off, relax. Observe the lower speed limits & stop honking at locals who are going slower than you think they should be. We’re all on “Tahoe Time,” remember you are guests in our home and behave as such. Would you go to Grandma’s and behave this way.