Route 66 Rendezvous motoring through tough economy

But San Bernardino Convention and Visitors Bureau President and CEO Wayne Austin is confident, at least as confident as anyone in his business can be during a time like this.

"There is nothing we can do or say that is going to make this look like the time to start spending money," Austin said. "But we can stay true to the essence of the Route 66 Rendezvous, and put on a great event for people."

When the 19th annual Rendezvous motors into town Thursday evening, it will present a contrast

unprecedented in its history: The convivial blend of big, thirsty engines and sweet nostalgia teetering on the edge of an economy that has the federal government as concerned as it has been at any time since the Great Depression.

But Austin and some local business leaders are putting up a confident front, forecasting that the panoply of negative economic and social factors that all but ensure 2008 will go down as a year of recession will dampen the city's signature event but not wash it out.

Austin said he expects attendance and spending to be down 8 percent to 12 percent.

Last year, participants registered 1,500 classic cars in the event by Aug. 1, a number that swelled to about 1,840 by Day 1 of the Rendezvous. This year, 1,300 cars were registered by Aug. 1, Austin said, and he hopes to get to 1,600 by the time the event concludes Sept.21.

Austin said that while total attendance and total spending numbers should be slightly reduced, local businesses, particularly restaurants and hotels, will still get a boost.

"It's going to have something similar to its usual immediate impact," Austin said.

Hotels from downtown to Hospitality Lane count on a bump every year from thousands of out-of-towners who stream into the city for the event.

A 2004 study by Redlands-based regional economist John Husing estimated the Rendezvous pumps about $44million into San Bernardino's economy.

Traffy Desai, front desk manager at the Super 8 Hotel on Hospitality Lane, said recent years have seen his 80 units sell completely out during the four-day weekend.

This year, he's not so sure.

"We've still been getting plenty of reservations and calls," Desai said, adding that the strong demand allows him to raise weekend rates from $69 to $79 during the event. "But this year I don't know, I think we'll be close."

In fact, the tough, fear-laced economy may be a blessing in disguise for cheaper hotels as travelers look to skimp wherever they can. At the Hilton Hotel on Hospitality Lane, one of the city's high-end options, the boost from Rendezvous revelers is less, despite the recent closure of the downtown Clarion Hotel for refurbishing.

"This year, with no hotel downtown, we were expecting some more impact," said Dael Strange, the Hilton's director of sales and marketing. "But we haven't seen many bookings from (the event) yet."

Strange said the hotel has reduced rates this year to adapt to the tighter economy and has seen some positive results. She expects about a 5percent boost in business this weekend from the Rendezvous.

In this economy, Strange said, "people are turning the penny over twice before they spend it."

The frugality also has local eateries braced for leaner pickings of patrons this year.

At Jose's Mexican Food, an E Street restaurant whose opening coincided nearly perfectly with the Rendezvous' early 1990s beginnings, the hunt for thrifty customers has already brought slashed prices to the menu, said manager Javier Martinez.

Burrito and enchilada plates that were $6.99 were reduced to $4.99 just weeks ago, Martinez said, in an aggressive move to keep customers in their booths.

Business usually is up 15 percent to 20 percent daily during the Rendezvous, but this year Martinez is keeping his fingers crossed.

"I wouldn't be surprised if we brought in less this year," Martinez said. "People are really tight on money right now."

Austin, who analyzes vacation data to hone his approaches to draw tourists to San Bernardino, said the trend in the Inland Empire is for people to take trips closer to home and spend less.

"They are coming out, but they're not always bringing their wallets out," Austin said.

At Ray's Downtown Deli, a longtime eatery that moved from downtown to South E Street in 2001, owner Victor Estrada said he always counts on a nighttime spike in business, with this year being no different.