For a year and eight months, Harry’s Downtown aimed to cultivate a live music and entertainment scene not seen before in Fort Smith. The bar featured a non-smoking environment, mural art, leather booths, a full cocktail bar and a light-up sign — features that resembled bars in music-friendly towns throughout the country.

But then the coronavirus (COVID-19) pandemic hit, prompting statewide shutdowns of bars throughout Arkansas and the rest of the United States. Owner Jeff Gosey understood why the restrictions were in place — he had closed Harry’s five days before the statewide mandate for bars to close out of concern that his bar might help the virus spread if it stayed open for the St. Patrick’s Day Pub Crawl.

But the restrictions also caused a financial strain he couldn’t overcome. And on Thursday, he decided to close the bar for good.

"Nobody wants to lose money or break even, but that was the case, and it still is the case," he said, adding that several others in downtown Fort Smith are struggling like he was before he closed his bar.

Amenities like Harry’s have been added to downtown Fort Smith in recent years in hopes that Garrison Avenue and its side streets will eventually resemble entertainment districts in other cities. In a sense, the added amenities are more than simply entertainment and quality of life measures — Propak CEO Steve Clark has on more than one occasion called amenities "the minimum price of admission" for a city like Fort Smith to compete in a global economy. From his and other developers’ standpoints, the addition of places like Harry’s, the Riverfront Skate & Bike Park and 906 Cigar Lounge are part of the long game to improve life in a city with a median household income of $36,532 and almost one-in-four poverty rate.

But the restrictions placed to curb the spread of COVID-19 have strained avenues that directly contribute to the success of downtown. Some of the effects are seen in citywide numbers, like the anticipated sales tax revenue plunge of up to 80% in April and May. Others are more visible, like the lack of cars and pedestrians along Garrison Avenue.

Arkansas Gov. Asa Hutchinson has announced that in the coming week he and other officials will begin to make decisions on restrictions that have been put in place. Opinions on the restrictions, which have been ordered as opposed to a shelter-in-place order, have received mixed opinions.

But through all of it, developers and business owners alike hope the momentum will eventually pick back up once the pandemic is over.

"I see everyone is learning from this and seeing maybe not to take little things for granted, like shopping downtown, getting a drink at the coffee shop," said Crane Clothing manager Savannah Parker.

‘In uncharted waters’

Downtown developers’ livelihoods may not be compromised during the pandemic, but the owners of the small businesses that line Garrison Avenue and its side streets have felt the strain.

About half of downtown Fort Smith business owners in a Main Street USA survey said they had lost at least 50% of their income during the outbreak. Some of these businesses, like bars and salons, have been forced to shut their doors entirely to prevent the spread of the virus.

Cynthia Moore, who owns Fifth Street Café and Old Town Grain & Feed, said her revenue is down 67% at her restaurant and 100% at her bar. She also said she hasn’t received the money from the Small Business Association that she applied for.

"It’s affected everybody in a bad way," she said.

The businesses that haven’t been ordered to close their doors have felt the impact as well. Tip Top Western Wear manager Sam Wald said he’s "running a thin crew" but making it.

Wald’s attitude reflects the assessment of 64.6 Downtown Director Talicia Richardson, who said business owners seem to be "maintaining a positive outlook" while trying to hang together.

"We’ve never been here before. This is uncharted waters," Wald said.

Richardson said 64.6 Downtown, which has a goal of expanding, retaining and relocating small businesses to the downtown area, has largely focused on retention during the outbreak. These efforts range from consultation to providing information to businesses in order for them to survive.

She said the business owners have welcomed her help.

"The mood of everyone is up and down depending on the day and the number of sales," she said.

On the development side, Clark said the dip in sales taxes could negatively impact public-private partnerships in the future. A handful of projects in downtown Fort Smith including the Riverfront Skate & Bike Park were paid for by both public and private dollars.

Clark said he doesn’t expect the city, Central Business Improvement District or private investors to cancel any projects, but he wouldn’t be surprised if some of them are delayed.

"We have to get through this, and then we have to see where everyone is. It’s unrealistic to expect the city to spend money that it doesn’t have. That probably exists for people in the private sector," he said. "This is a dramatic financial impact for everyone."

Impacted but resilient

Even though the downtown economy has taken a hit, some business owners and developers have used the time to gain ground in their endeavors. They’ve also found creative ways to stay afloat during the pandemic.

Wald said the slower pace in his store has allowed him to do tasks he wouldn’t be able to do otherwise. He said he’s taken inventory for the store — something Richardson said many downtown business owners have been able to do during the downtime.

Wald also said he’s noticed an uptick in his online sales, even though his business isn’t functioning as well as it was before the outbreak.

"Some people are figuring out that some things, you have to shop for," he said.

Richardson said businesses like AJ’s Oyster House, which Gosey also owns, has raised $5,000 to support its employees. Others like Fort Smith Coffee Co. have started a makeshift drive-thru and are now selling lattes in half gallons.

The coronavirus outbreak in many ways has pushed downtown businesses to be more innovative in their marketing and outreach, Richardson said.

Large projects aren’t stalling, either. Construction workers are still at 913 Garrison Ave. working on the upscale lofts, which are expected to open this year. They’re also working on The Bakery, which is slated to be an open-air space filled with a seating area, bocce ball court, patio and event space.

Hanna Oil & Gas President and CEO Bill Hanna, who has partially overseen the renovation of The Bakery, said he is "hopelessly optimistic" that it will open in June.

"I know social distancing for the construction guys is probably a challenge," Hanna said.

"There is going to be an impact, but we are a community that truly is resilient," Richardson said.

‘A new normal’

Downtown players are hopeful for the future, but their hopes are also tempered.

Hanna said it "may take some time" for all of downtown to fully heal from the economic impact of COVID-19. He said employers will have to shift back to functioning as a business from prioritizing their employees’ health, safety and finances.

Gosey believes the impact of COVID-19 will be even more permanent.

"There is no ‘normal’ like we knew it. I think there’s going to be a new ‘normal,’ post-COVID-19," he said. "It really has changed the world and the way we interact with people."

"What we’ve learned with the advent of COVID-19 is that no location is immune from the physical and economic damage it can cause," Clark said.

But Gosey also hopes the public will appreciate what downtown has to offer even more than they did before the pandemic. Moore said she hopes downtown players can continue to work together like they were before to put on events like the Steel Horse Rally and Peacemaker Festival.

But Moore still believes the outbreak has affected the public psyche.

"The United States got shut down in two weeks," she said. "It wasn’t a flood or anything like that — it was a virus. It’s dangerous to everyone."

Nonetheless, Clark said he hopes to see progress pick up where they left off before the virus. Hanna said there was "good momentum" before the virus that he believes won’t be gone after restrictions are lifted.

And small business people like Parks believe downtown Fort Smith, with its murals and historic buildings, has a lot to offer when things get back to normal — whatever "normal" looks like in the immediate future.

"I think everyone just wants that experience as a whole," she said.