Virginia City Businesses Adapt After Turbulent Tourism Season and Lease Hikes
Businesses operating in Virginia City’s state-owned historic properties are wrapping up the tourism season after a turbulent year marked by steep lease increases from the Montana Heritage Commission. The Montana Heritage Commission, a state agency under the Montana Department of Commerce, issued new lease agreements earlier this year that several longtime business owners said were too much for their bottom lines.
The Impact of Steep Lease Increases on Main Street Commerce
The financial adjustments introduced by the state agency triggered significant fallout across the historic district. Several people were put out of business before new lease agreements were finally issued. For those who managed to stay, the operational climate shifted dramatically.
Becky DiGiovanni, who operates a business out of a state-owned historic property, noted that communication among Main Street businesses suffered during the ordeal. The short tourism season in Virginia City demands close cooperation among business owners to survive the economic ebbs and flows.
“One thing that’s been tough this year is just the camaraderie on Main Street,” DiGiovanni said. “Everyone is critical to each other, and the success of everyone really is communication on Main Street. We’re a team and we’ve lost that team aspect,” she added, emphasizing the need for consistency, honesty, and support from top-down leadership.
Finding Resilience and Private Space
Not all businesses on state property survived the transition, but displacement forced creative adaptation for some operators. Shauna and Kirk Belding, the former owners of Bob’s Place—Virginia City’s historic pizza restaurant—found a way to keep their business alive by relocating from state property to a small private space with help from private businesses.
“We’ve all made some major adjustments. You know, going from a 1,000 square feet to 80 square feet. We’ve kind of learned to dance together,” Shauna Belding said of the downsizing effort.
Employee Shade Noble recalled the initial worry giving way to relief as the community rallied behind the displaced pizza shop. People showed up to support the new location, confirming that the business model would endure the upheaval.
Preserving Local Traditions and First Jobs
Despite the physical downsizing, the enterprise maintained its core traditions. The signature pizza recipe carried over to the new location, along with the Beldings’ three-decade practice of hiring local teenagers for their first jobs.
Employee Henry Gatewood described the job as a valuable introduction to the workforce, noting that it offered a good start to learn how to talk to people, understand earnings, and work under supportive management. Fellow employee Jack Leonard shared that sentiment, admitting that the uncertainty earlier in the year created widespread anxiety among the youth workers.
“Those two boys were really bummed this winter. They were like what are we gonna do? What are we gonna do for a job? I mean they really, really love this place and, you know, I’ve hired hundreds of high school kids, first time jobs. That’s where all the grey hair comes from,” Kirk Belding said.
As the pizza shack and other surviving local establishments stay open for the weekend—with operating schedules extending depending on weather conditions—community members look toward the future.