NEW ALBANY, Ind. (WDRB) -- Business owners in southern Indiana say New Albany's revitalization project is cutting into their bottom line.
Construction on the multimillion dollar project is in its second phase on Main Street, and the orange barrels and detour signs are literally putting up barriers to businesses.
"While this construction project is expected to enhance downtown New Albany, some business owners said they are not sure if they will be in business to see those final enhancements," said Christian Johnson, who owns The Odd Shop. "I think it's going to be a great project when it's done, we just want to be around to see it."
Dan Hardesty, who owns Eureka Menswear, said the construction has created hardships.
"We lost our sidewalk, and we lost our side of the road," he said. "Our sales have dropped about 40% over what they should be."
The revitalization plan requires parts of State Street to East 5th Street to shut down as new curbs and gutters are added, sidewalks are enhanced and the road resurfaced.
New Albany Mayor Jeff Gahan said the rebuilding is necessary.
"The timing is not the best, but some of this is funded through federal and state money, so it's actually 80/20, so I don’t always get the luxury of picking the construction schedule," Gahan said.
City officials said the total cost for the Main Street Improvement Project is nearly $12 million. The Indiana American Water company also recently completed $1 million in infrastructure repairs on old pipes under Main Street.
The biggest concern for business owners is parking. The multi-block project has prevented street parking, which Johnson said has limited foot traffic to her shop.
"I have had to limit my hours, and we have had people who have driven to see us, and we have been closed," she said. "We have seen our sales go down over 50%."
While the decrease in revenue is the common theme, a GoFundMe page was established by the owners of Board & You to equally support businesses in the area. The goal is to raise $10,000 to buy gift cards at each of the impacted businesses. The plan is for those gift cards to never be used, so the businesses can keep the money.
The businesses include: Aladdin's Mediterranean Restaurant, Eureka Menswear, The Odd Shop, Disc Crazy, Coffee Crossing, Chestnuts & Pearls Art Gallery, Fostered Up Art, Michele's Apothecary, Agave & Rye, Sew Fitting, StoneWater, James Bourne Gallery, Boomtown Kitchen, Purple Pearl, Bohemian Barbers, New Albany Sugar Shoppe, Cottonwood Collective and Ravens Roost.
Late Wednesday evening, New Albany Councilman Al Knable told WDRB News he is proposing a $500,000 grant program for businesses affected by the construction. He added an item to the agenda for this month's council meeting.
When completed, restaurants and businesses will have space for outdoor dining without impeding the flow of pedestrians on the sidewalks. Crosswalks for pedestrians will also be decreased from 52-feet to 22-feet.
Mayor Gahan said he hopes to see shoppers continue supporting businesses.
"These are growing pains these are very necessary, and I think if nothing else people can see that we are committed to the long-term health of the city," he said.
City leaders said the project should be done by late 2023.
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