D.C. business owners left downtown, major corridors for survival, flexibility
“I was at a standstill,” Morton said. “We went from making $10,000 a month to $100.”
The situation forced Morton to give up her downtown K Street office in favor of Ward 8 in Southeast D.C., where she now rents space at The Hive, a co-working nonprofit.
“It forced my hand,” she said. “It was either that or go out of business. And that was one thing I did not want to do.”
Two-plus years later, her company is still struggling to make ends meet, she said — but she credits the move to a cheaper space with helping keep her business running.
Morton’s business was one of thousands that left downtown and other major retail corridors since the pandemic hit, according to a Washington Post analysis of U.S. Postal Service address-change data.
From February 2020 to March 2022, more than 2,300 businesses moved away from downtown D.C., The Post’s analysis shows. Another few hundred more left major commercial corridors that include Shaw, Logan Circle and Georgetown.
Many businesses left D.C.
during the pandemic
Number of businesses that departed by Zip code from March 2020 to March 2022
More than 1,800
businesses left
downtown Zip code
20036 from March
2020 to Jan. 2022
Source: U.S. Postal Service
HANNAH DORMIDO/THE WASHINGTON POST
Many businesses left D.C.
during the pandemic
Number of businesses that departed by Zip code from March 2020 to March 2022
More than 1,800 businesses
left downtown Zip code 20036
from March 2020 to March 2022
Source: U.S. Postal Service
HANNAH DORMIDO/THE WASHINGTON POST
Many businesses left D.C.
during the pandemic
Number of businesses that departed by Zip code from March 2020 to March 2022
More than 1,800 businesses
left downtown Zip code 20036
from March 2020 to March 2022
Source: U.S. Postal Service
HANNAH DORMIDO/THE WASHINGTON POST
The data includes a combination of businesses that may have closed their doors permanently or simply relocated. Bureau of Labor Statistics data show more than 1,000 establishments in the region closed in the first part of 2020. Many of those fell into such sectors as food services, construction, entertainment and wholesale trade. And while the city is trying to revive its downtown, the malaise has serious implications for its budget — revenue from general sales and use taxes, which fund services like health care and road construction, was down almost $400 million over fiscal 2019 to 2021, according to data from the Office of the Chief Financial Officer.
But the pain hasn’t been felt across all parts of the region. Data shows many businesses relocated to less densely populated areas of the region — many to Maryland and Virginia.
BLS data show that the region saw a noticeable increase in the number of new establishments in the next few quarters after the pandemic began — with increases in educational services, health care, construction and finance.
Postal Service data analyzed by The Post suggests the suburbs became more appealing for business owners when lockdowns went into effect and as many workers were forced to work remotely from home.
That includes Zip codes in…
