Dan's Papers - May 8, 2009 - Givin' You The Business

The beat goes on toward the first weekend of the summer season when all the stores, boutiques, restaurants and other businesses are poised and stocked to accommodate the increase in customer traffic. With a new season comes change, new energy and optimism.

In the historic village of East Hampton, most activity is clustered within the store fronts on Main Street and Newtown Lane. With strict restrictions on store sign sizes, a ban on neon lights and other strict regulations (that in some cases go back to the ordinances of trustee's wishes in the mid 1600s) entrepreneurs have always taken their chances and usually done well. In the face of curious times, this season is no different.

Marina Van, the Director of the Village of East Hampton Chamber of Commerce, has some interesting views on the direction and trend of new businesses coming to the village. The Chamber has around 300 members in its directory, and Van has her finger on the pulse. This year some of the notable new businesses coming to the Village consist of national corporate companies who are investing in the "brand" of the Village of East Hampton, in hopes of increasing their futures earnings. Despite a common outcry against losing the mom and pop feel in the villages, Van welcomes this trend saying, "We [the Chamber members] are really grateful about our corporate stores in East Hampton." Why? Because, she said, "Corporate stores employ local people all years round, they give visitors all year round places to shop." Van explained how the chamber gets calls in the off season from tourists asking which shops will be open, and believes that the well financed corporate stores insure that visitors will drive out for a "Hamptons experience" all year round, based on the ability to shop.

Hal Zwick, a commercial real estate specialist at Devlin McNiff reports, "Eight years ago there were five of the top 500 national brands on Main Street; now there are over 20." Van listed some of the new businesses coming to the famed East Hampton, whose appearance many believe makes it the most beautiful village in the country. Opening this season will be a Hermes shop featuring the world renowned women scarves as well as all their other lines of high end accessories demanded worldwide. J Crew is opening a second store, paying almost $1 million in rent for their new location at 14 Main Street, just east of the movie theater. Also coming to Main Street is designer Tommy Hilfiger, whose shop will be where Coach once was. Coach has moved to a larger presence on Newtown Lane. Van also mentioned a still unnamed gallery was moving to the storefront that was once home to Caldwell Banker Real Estate on Newtown Lane, restoring the several times removed Morgan Rank space to a gallery.

"We are lucky that corporate stores believe East Hampton is a great investment," said Van, who has been with the Chamber since 1993. To her earlier point, she noted that Tiffany's is open seven days a week throughout the year. "They (corporate stores) get people to work all year round. Tommy Hilfiger is really excited about opening and has hired a local person to manage the store."

Also opening, now with a corporate edge, will be the legendary dive bar The Blue Parrot. When the iconic bar/restaurant closed three years ago, owner, surfer, and actor Lee Bieler said, "It was some ride from Main Street America to Corporate America." Little did he realize how prophetic that statement was. Some of the former Parrot employees say things are going to be different at the bar, which has been spruced up for its re-opening around May 18. Finally, Bridgehampton National Bank is building a new branch of the local bank near John Marshall Elementary School.

When asked to make a forecast on business in the immediate future in the village, Van was guarded. She said there was no doubt that the winter was a "tough one," for local businesses. She said that summers are "always busy and good, but the big question mark will be the fall."

That is just one of many questions that face the businesses in the Hamptons, but I like the view of Kevin O'Connor, CEO of Bridgehampton National Bank, "We have that ocean." Therein lies the longterm strength of business out here. The ocean can't be taxed away, legislated away, or removed and relocated. And when it gets hot, people will flock to the beaches and to the villages accessible to those beaches. Thus is the secret of business success of the Hamptons, because without the wonderful Atlantic Ocean, beautiful East Hampton is just another Toledo, Ohio or Gary, Indiana.