Hurricane Sandy

Strengthened:

Agricultural conditions prior to Hurricane Sandy remained favorable.  Agricultural conditions were favorable before Hurricane Sandy arrived, although some farmers in the District were affected by the storm.  

Most farmers in Virginia were relieved that Hurricane Sandy brought much needed rain without significant damage to the corn and soybeans still in the field.

Hardware and home and garden stores noted higher demand for storm-related items ahead of Hurricane Sandy. Quipped one executive, "Bad weather is good for business." Other retailers such as grocery stores/big box stores had short term gains in consumers purchasing emergency supplies in lieu of the storms announcement which should flatten over the next 12-18 months but also a slight increase given the proximity of time since the storm has passed as consumers increase purchase in light of fear of when the next storm will hit.

We anticipate an increase in the labor market in the construction segment where workers demand will increase in order to rebuild infrastructure damage due to the storm. In tandem, construction goods, production and development would increase in parallel with the demand.

A few District hoteliers stated that they were able to raise rates slightly since our last report.

Slowed:

There were scattered reports of storm-related hotel cancellations caused by Hurricane Sandy, as tourists from outside the District were affected by the weather at home.

In addition, we received reports of supplier issues and less customer traffic. Airline travel was interrupted for approximately two days due to Sandy which affected tourism/travel. There are no ripple effects to tourism in the short term. Unrest from future travels in the next 12-18 months will be considered as a risk area during storm season in the fall/winter months as we look ahead.

Corporations will also reconsider the Richmond district that was affected due to the short term business interruption as...