Hurricane Helene dealt a devastating blow to tourism in NC mountain communities

In any normal year, the Blue Ridge Parkway would be clogged with leaf peepers right about now — out-of-towners from Charlotte to the Triangle and beyond, all there to feast on a changing landscape of red, orange and yellow against a backdrop of mountains.

This year, though, most of the parkway is shut down indefinitely . Downed trees litter hundreds of miles of the once-serene, now-destroyed road thanks to Hurricane Helene's flooding and mudslides .

Why it matters: Tourism is woven into the fabric of western North Carolina's economy. It's a major employer everywhere from Asheville to Blowing Rock. But it's unclear when or how the vital industry that accounts for an estimated $1.8 billion in the fall in western N.C. will recover post-Helene.

Zoom in: The October-December stretch is when The Market Place in Asheville makes a bulk of its revenue for the year to overcome slower months like January-March, the James Beard-nominated restaurant's chef and owner William Dissen tells Axios.

• Losing both "leaf season" and the holiday season is a serious blow to restaurants — an industry that already exists on razor-thin margins.
• "You're going to start seeing businesses close, and you'll start to see an exodus from the region," Dissen says. Around 43% of small businesses affected by a disaster never reopen, according to FEMA research .

What they're saying: "This is like COVID, but even worse for restaurants," he adds. Without water and electricity, his restaurant, which employs 35, can't open — not even partially or for takeout like many did during the pandemic.

Between the lines: Dissen estimates that while it depends on the situation, a restaurant could probably survive for one to three months without financial assistance. Water in the city of Asheville isn't supposed to come back for another month, though Dissen doubts it'll be that soon.

• That's why restaurants need small business grants, not loans, Dissen says. He's still working to pay off his pandemic-era loans.
• "Rebuilding will not happen without grant funding. We do not need more loans."
• Countless western N.C. restaurants, bars and small businesses — including Dissen's — have started GoFundMe efforts to support their staffs and help offset lost wages.

Of note: The Always Asheville Fund, established in the wake of Helene, will provide emergency grants to small businesses "to help sustain the vibrant, creative, and deeply rooted community that makes the Asheville area unique."

• Explore Asheville has committed $300,000 to the fund so far. A grant application process will be set up to help the community access the grants, WLOS reported .

The big picture: Currently, many main roads into western North Carolina tourist hotspots are closed, as is Pisgah National Park . Also closed: The Biltmore Estate , Grove Park Inn and countless hiking trails. Asheville's River Arts District was devastated .

• "The major drivers for tourism for our region are gone. How long will it take to rebuild those? Not a month. Multiple years," Dissen says.

Context: Even if those places were open, tourists are still being asked to stay away amid ongoing search, rescue and recovery efforts.

• The state transportation department is still recommending "essential travel only" in western North Carolina.
• In an Oct. 10 memo , the Haywood County Tourism Development Authority implored all visitors to refrain from traveling to the county — a picturesque mountain region east of Asheville that's home to towns like Waynesville and Canton.
• "Visitors may place additional strain on disaster relief efforts."

Zoom out: Towns and attractions farther west of Asheville — which were spared the brunt of Helene — are starting to reopen, if they even closed at all.

• Bryson City is " open for visitors ," for instance. The Nantahala Outdoor Center reopens Friday, Oct. 11, as does The Swag , a mountaintop resort in Waynesville. The Swag says it will match all revenue it receives in October and November in donations to relief funds.

State of play: Pisgah Brewing in Black Mountain — a craft beer haven usually teeming with visitors — has transformed into a makeshift distribution site in the wake of Helene, handing out food, bottled water and emergency supplies like charcoal and propane to neighbors.

The brewery is known for the concerts and events it hosts at its popular, revenue-driving venue just outside downtown.

• Pisgah's had to cancel much of what was scheduled in coming weeks, says Dave Quinn, the brewery's owner.
• Quinn hopes businesses like his can start welcoming tourists back as soon as water and power are restored.

"We will all be itching to get back to life, work, having a purpose again … that is more than simply surviving," Quinn tells Axios.

What's next: This week, state lawmakers approved $273 million in disaster recovery. The measure includes allocating small business loans through the Golden LEAF Foundation.

In a press conference Wednesday, Gov. Cooper said that plenty of small businesses, unsure about their future, don't want to take on loans.

• "We have to be creative with the relief we give to western North Carolina," Cooper said in response to an Axios question about grants. "I believe that's going to mean direct assistance to small businesses to help them recover."

Axios' Emma Way contributed to this story