Local Business Mostly Flat in 2012

No sign of major changes ahead
By Kurt Steele

A review of area businesses found them mostly cautious about the future following a year in which the economy mainly held steady with a few notable bright spots. With continuing depressed house values and a large inventory of houses for sale in Norfolk, it is not surprising that businesses connected with residential real estate are struggling.

Business continued flat at architect Kate Johnson’s Responsive Designs.  “This recession just hangs on with periodic signs of lifting,” she says, unlike the relatively quick recovery from the 1990 recession when she started her practice.

Local contractor Scott Reeve reports that work last year was steady but only because he was able to refocus on smaller projects such as remodels and additions.

Kingsland Architectural Millwork grew modestly and added one employee, according to Vice President Tom Burke.

Patricia Coffey of New England Miniature Ball, manufacturers of specialty balls for the defense, auto and aerospace industries, reports that the company’s business and staff count held steady.

Another large employer, MI Integrated Media, is “holding its own,” according to owner Marie Lowe. Its magazine representative business last year was even with 2011, but only “because of a lot of work to replace business lost during the year.”

Sales were up 10 percent at Infinity Hall, according to impresario Dan Hincks. Their full and part-time employee count increased to a total of 45.

The ripple effect from Infinity’s success coupled with improved Internet marketing by Manor House Inn’s new innkeepers, Kurt and Kathy Doerflinger, were apparent with their 20 percent sales increase. The owner of the Mountain View Inn, Dean Johnson, says their business has been constant the past several years, and he is looking to sell.

Ticket sales at the bellwether Norfolk Chamber Music Festival were flat last year, ending a several-year run of increased sales, according to General Manager Jim Nelson. But their annual fundraising increased and the $2 million Music Shed Restoration campaign continues on track.

The Artisans Guild has been well-received but had decreased sales last year as customers looked for merchandise with lower price points. The Guild was revived by Vee Kausel and Kathy Williams in April 2011 after closing in 2007 following a 17-year run as a co-op.

Luke Burke, the relatively new owner of Mountain Spirits Liquor, says that “competitive pricing, expanded stock and good service” is responsible for continued growth in 2012. And although the Corner Store had slow growth last year, its owner, Fadl Sahlh, is hopeful about 2013. “The store will now be open longer hours, carry more grocery items and serve breakfast,” he says.

Finally, business at the Norfolk branch of the National Iron Bank was steady, according to branch manager Mickie-Ann Budny.

Although not much comfort, both the year-end state and national unemployment rates were higher than Norfolk’s, which stood at 7.5 percent.

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