Chamber: Retail sales grew in 2011

Retail sales across the Charlottesville region rose in 2011, according to sales tax data released Monday by the Charlottesville Regional Chamber of Commerce.

The tax data, obtained from the Virginia Department of Taxation, showed that retail sales in the 2011 calendar year were up in Charlottesville, the counties of Albemarle, Greene, Louisa and Augusta, and the city of Waynesboro.

Retail sales were up 6.33 percent in Charlottesville and a nominal 0.24 percent in Albemarle. Greene County saw the largest increase, with a 21 percent gain in sales from 2010.

According to the Chamber, retail spending in Charlottesville and Albemarle totaled $2.19 billion, an increase of $61 million from 2010, but still down by $168 million or 7.1 percent, from pre-recession levels in 2007.

Also, during this past holiday shopping season, the report shows that retail spending was up by 3.3 percent in Charlottesville and Albemarle.

Tim Hulbert, president of the Charlottesville Regional Chamber of Commerce, said the numbers are good news but he added they also show the regional economy still has a ways to go before returning to pre-recession levels.

“We’ve had three years where we have rebounded — the last two years from the depth of the great recession,” he said. “So while the numbers are up, they’re off significantly [from] where we were as a region in 2007.”

Hulbert added that the report does not take into account the effect that gasoline or auto sales have on the overall retail market, because excise taxes, not sales taxes, are levied on those purchases.

Robbie Morris is president of the Greene County Chamber of Commerce and owner of Performance Signs in Ruckersville.

Morris said the addition of Walmart, Lowe’s and CVS has clearly had a positive effect on the area’s retail growth and stability.

Morris said the fact that sales continue to increase, despite the presence of those powerful retailers is a sign that bodes well for everyone. Predictions that smaller local stores would suffer due to the presence of the retail giants haven’t come to fruition, he said.

And although the county doesn’t have the population base to attract some retail and chain establisments, Morris said he’s confident that day will come soon, especially with the number of residential lots that are approved for construction in Greene County.

Deana Meredith, executive director of the Louisa Chamber of Commerce, said she thinks recent retail growth there also points to recovery on the horizon.

“In talking with people at Zion Crossroads, I know that Walmart there has drawn people from a lot of outside areas,” she said.

Hulbert reiterated that from a big picture perspective, the report is good news.

“We’ve dug our way out of the hole as a community of consumers,” Hulbert said. “The question is how do we go forward?”