Thursday, October 1, 2026

Cut off by washouts and landslides, US-2 businesses find their way forward

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COLES CORNER — Weeks after severe storms forced the closure of U.S. Highway 2, businesses that rely on pass-through traffic are facing steep losses during what should be one of their busiest seasons.

“We're trying to stay open and we're trying to keep employees with some hours, but I do not believe that there has been a day since the storm where we have been profitable. It's mostly lost right now,” said 59er Diner Manager Kori Rasmussen.

Rasmussen said the diner sustained some damage from the storm, as well as inventory loss during the power outage, but the largest impact has been the closure of US-2. Since the second week of December, the highway has been closed from the roundabout in Leavenworth to Skykomish, due to severe storm damage. A section of the highway finally reopened from Coles Corner to Stevens Pass on Dec. 29, but the highway remains cut off from west side traffic.

Most of these businesses – such as 59er Diner and Squirrel Tree Resort — rely almost entirely on pass-through traffic along the mountain highway. With Leavenworth’s winter tourism drawing peak crowds, December and January are not only busy months for US-2 businesses, they also keep them afloat during the slow fall and spring seasons.

Businesses located in and around Coles Corner have remained accessible during the closure via SR-207, using Chumstick Highway as a detour from Leavenworth. However, with a ‘road closed’ sign roughly a quarter mile in each direction, the 59er Diner is barely reaching a quarter of its projected sales day-to-day, according to Rasmussen. Squirrel Tree Resort, Restaurant and Bar owner Vito Fedor said since the start of the closure, he’s been down 60 to 70 percent in sales.

“Locals started coming in, trickling down, when they heard the highway closed…which helps out a lot,” said Fedor.

So far, businesses at Coles Corner have been able to inch along with support from locals and visitors staying in the Lake Wenatchee area. The reality for The Alps Candy store has been much different. 

Located in the heart of Tumwater Canyon, the store is sandwiched between US-2 and the Wenatchee River. When the river expeditiously rose to near record levels, employees of The Alps Candy prepared for flooding before the Washington Department of Transportation had them evacuate. Shortly after, the Wenatchee River took out significant sections of the highway, isolating the store from the public in both directions.

“We had a little bit of water damage from the water coming up, but we took care of all that…So the store is completely okay. It's just that we're cut off to where we can't have any customers. This time of year is one of The Alps' busiest times of the year…so to be losing all of that revenue, it's really bad,” said The Alps owner Ron Roberts.

Roberts said the prolonged closure and indefinite timeline is “devastating,” but his primary concern was his employees.

“Probably the hardest part of the whole thing is, you know, you really feel for the employees. You want to do everything you can, but it's hard when you have nothing coming in,” said Roberts.

With no clear timeline for full access, businesses are finding ways to stay afloat, such as offering discounts, reducing staff hours, and supporting each other. The 59er Diner is selling merchandise and gift cards online, as well as offering a 25 percent ‘Pass Closed’ discount to those who dine in. The Alps is taking orders over email (info@alpscandy.com) and through Facebook as it sets up an online store. 

The Squirrel Tree Resort also invited The Alps to temporarily set up in its coffee shop space, Leavenworth Cafe Roasters.

“For [Fedor] to reach out and help us is tremendous…It hurts when you can’t open, but with this pop-up, hopefully we can at least keep our employees employed. That’s what we're really looking for,” said Roberts.

The Alps Candy’s temporary location, Squirrel Tree Resort, and 59er Diner can all be accessed via SR-207 using the Chumstick Highway detour from Leavenworth. While not reliant on pass-through traffic, the composting facility, Winton MFG, is also accessible via this route.

The Squirrel Tree Resort is located at 15251 U.S. 2, and is open Sunday through Thursday from 8 a.m. to 9 p.m., and Friday and Saturday from 8 a.m. to 9:30 p.m.

59er Diner is located just down the road at 15361 US-2. It is open from 8 a.m. to 8 p.m. Monday through Thursday, and 8 a.m. to 9 p.m. Friday through Sunday.

Taylor Caldwell: 509-433-7276 or taylor@ward.media

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