A reader, Rick Hughes, writes to ask, "Why does this city have so many businesses close down. I just learned we are losing the Roadhouse Grill next Sunday. Pop's Pizza and the Shell gas station at 312th and 1st Ave last week!"

Thanks for asking Rick.

I am not a business major or economist, just a writer who is interested.

My editor asked me to look into this and in my research on the topic, the short answer is: It's the economy.

But of course, it's not a complete picture of the how and why of local economies.

I, too, have noticed a number of business closings and worry about how it reflects the future of the city of Federal Way.

So I called Patrick Doherty, the director of Economic Development for the city.

Patrick was very generous with his time and as you might imagine, had a lot to say about the local business climate.

"Things close and change, a few days ago the Sushi Grill next to the Black Bear Diner opened up, and Azteca is doing well at their new mall location."

But overall, Doherty is optimistic, "I haven't seen a rash of closures."

I asked Patrick if the national economy is affecting us negatively.

"This is one of the strongest regions in the country, we're not overbuilt like Florida, Texas or California," he said, "and it's even better when Boeing gets those big tanker contracts."

But doesn't the current national sub-prime mortgage crisis problem make it harder for businesses here?

"Sure, it makes for a liquidity crunch and it created a national policy not to lend money, but it while it can be volatile it hasn't affected Federal Way too profoundly."

I mentioned the Gen X store on 320th that has changed hands a few times and Patrick said, "Yes, the Gap, Old Navy, Toys R Us... it happens."

Before press time, I drove over to check out the Shell station on 312th and Dash Point Road and it is indeed boarded up.

But Pop's Pizza is alive and relocated, in the mini-mall behind Jack in the Box in the same block.

I wondered about the lot where the AMC theaters used to be, because I had heard that there would be four hi-rise towers and a lot of commercial space there and Patrick told me about the Symphony Project.

"The Canadian company that purchased that property has asked for a year long extension on the closing date because of the problem with banks and liquidity, but they will pay for the cities carrying costs."

A reading of a City of Federal Way press release on the topic confirms this, and includes a quote from the president of that company, United Properties' David Setton, "lenders have advised us to postpone the marketing and construction of the project," and Setton adds that he "believes the state of affairs to be temporary" and that, "Washington State is primed for economic growth with strong job creation."

Most of us know that restaurants are known to have a high turnover rate, so I asked about the ones that closed.

"The Roadhouse Grill is a special situation. There are a couple of problems there, an interesting location, where they have a ground level view of Mt. Rainier, but there was no outdoor eating area, and the front of the building faced the parking lot. No patio, no windows." Good point, Patrick.

Patrick continued, "I think the Dinner's Ready has closed, but the Crossings development is doing great and that spot next to Indochine that was empty is now an Italian restaurant."

I pointed out the new additions of McGrath's Fish House and he said, "Jimmy Mac's Roadhouse has a similar menu (as the Roadhouse Grill) and they're doing great."

Patrick told me that, while location is the first cardinal rule for success, a restaurant is much more likely to fail if "they don't present an appealing presence...you have to have a good location, and you have to have something to offer."

But Doherty admits that the success of a restaurant can also hinge on the economy.

"When costs like gasoline go up, it's harder for them, they're working on the margin of disposable income."

It may seem gloomy when a favorite eatery or store boards up the doors, but Patrick Doherty thinks these are isolated events in the big picture for this "two Wal-mart" town.

"Nobody has a crystal ball, but I don't think things are as bad as they might look."

I guess that's why Patrick is the director of Economic Development, and I'm not. Hope this helps, Mr. Hughes, and thanks for asking.