The Virginian-Pilot
                            THE VIRGINIAN-PILOT  
              Copyright (c) 1994, Landmark Communications, Inc.

DATE: Monday, August 29, 1994                TAG: 9408290056
SECTION: FRONT                    PAGE: A1   EDITION: FINAL  
SOURCE: BY LANE DEGREGORY, STAFF WRITER
DATELINE: NAGS HEAD                          LENGTH: Long  :  139 lines

CORRECTION/CLARIFICATION: ***************************************************************** Warren Judge is part-owner of the Sands Restaurant and general manager, but not owner, of the Days Inn Mariner Motel. A story Monday about Outer Banks tourism contained an error. Correction published Tuesday, August 30, 1994. ***************************************************************** OUTER BANKS ATTRACTS RECORD NUMBER OF VISITORS OUTER BANKS: MANY BELIEVE MONEY FOR TOURISM PROMOTION WAS WELL SPENT\

Lured by beaches, historic attractions, a family atmosphere and world-class fishing, more people visited North Carolina's Outer Banks this season than ever before.

And statistics show the summer of 1994 not only attracted the most visitors, the increase in tourism revenue over the previous year was the highest in a decade.

Merchants said it was the best season in at least four years, despite the growing number of enterprises aimed at tourists.

``It's been a very, very good year so far. Everything is up. We're on track to have the second-best year in terms of growth since 1980,'' said John Bone, the Outer Banks Chamber of Commerce executive vice president. ``We had the greatest percentage increase in gross retail sales since 1984.''

Some say storm-free weather helped lure more people to the barrier islands over the past three months. Although June and early July were rainy, temperatures remained warm. And unlike last year when Hurricane Emily wiped out Hatteras Island's four southernmost villages the weekend before Labor Day, there haven't been any bad blows this season.

Others believe promotions helped - and word-of-mouth is beginning to spread. In the past two years, Dare County tourism officials have spent more than $1 million from occupancy and meals tax revenue purchasing advertisements for the Outer Banks and enticing travel writers to tour the area. Currituck County marketers used about $42,000 in occupancy taxes this year to lure travelers to their northern beaches.

The investment is paying off: July occupancy tax revenue increased 13 percent for Dare County over the same month last year. In Currituck, it jumped 19 percent. And as schools reopen and the summer season swings to an end this week, local officials and business owners remain extremely optimistic.

``There are 100 more homes in Corolla to rent this summer. Even the additional restaurants can't keep up with the growing demand,'' Currituck County Economic Development Director Charlie Hartig said Friday. ``Despite impediments with traffic getting into this place, people are still coming in droves every day.

``The Outer Banks have been discovered.''

Doug Brindley, whose Corolla real estate company booked all its 270 homes for most weeks this summer, said pre-registration already is up 10 percent for the 1995 season. Most merchants agree that the fall and spring shoulder seasons also are improving, and some say North Carolina's barrier islands may well be on their way to becoming a year-round resort.

During fall, winter and most of spring, 23,000 people call Dare County home; another 250 live on Currituck's Outer Banks. In the summer, populations swell to 160,000 in Dare County; 25,000 on the northern beaches. And more people are arriving each season.

Daily traffic counts at Kill Devil Hills, Nags Head and Roanoke Island grew by 32 to 76 percent over last year's summer average. Cottage rental agents said families packed more people per home than usual this year. And hotels, restaurants and retail shops saw increases in walk-in customers, reservations and sales.

``The last couple years have been tentative. But this year's been great for everyone,'' said Sun Realty spokesperson Janice Farr, whose company operates cottage rental offices in Corolla, Duck, Kitty Hawk, Kill Devil Hills and Hatteras Island. ``The economy seems to have leveled out. People are spending more freely. And after such a long, cold winter, they just want to have a good vacation.''

At Tortuga's Lie restaurant in Nags Head and the Run Down Cafe in Kitty Hawk, owners reported 25 percent jumps in the number of meals served since last summer.

Restaurateur R.V. Owens III and others also reported large increases. And the drive-through beer stores ``had only two days during the whole month of July where sales weren't up over last year,'' said Brew-Thru night manager Ray George said. ``Plus, people are buying more souvenirs.''

Outer Banks Hotel-Motel Association President Warren Judge said the extra revenue was widespread this season.

``We've seen substantial growth since last summer both in the hotel and restaurant industry. Each year has increased my business on the Outer Banks. This summer was the best ever,'' said Judge, who owns the Days Inn Mariner Motel and Sands Restaurant. ``People are spending more money on vacations and luxury-type items this summer.

``On Saturday nights, it's a squeeze to get everyone who wants to be here accommodated.''

Recreational outfitters also saw big jumps in business this summer. At least four new kayak rental shops have opened since last Labor Day. Parasailing, catamaran sailing, windsurfing and other water sports also are making waves.

``Eco-tours are big this year. Individualized sports and family trips. The Outer Banks have always been an outdoor destination for fishing, hunting and wildlife,'' Dare County Tourist Bureau Director Gene O'Bleness said. ``Now the rest of the world is catching onto all the good options we offer.

``The summer of 1994 has surpassed our predictions for growth - as well as our expectations.'' ILLUSTRATION: Color staff by DREW WILSON/

A group of vacationers prepares to head home after a stay on the

North Carolina Outer Banks.

Staff graphic< Tourism Growth

Dare County's annual growth in gross retail sales.

Year Average growth

Source: Outer Banks Chamber of Commerce

For copy of graphic, see microfilm.

TRAFFIC ON DARE COUNTY'S OUTER BANKS

Location Aug. 11, 1994 Summer average 1993 Increase

Kill Devil Hills 56,388 40,000 41%

Nags Head 34,537 19,600 76%

Roanoke Island 19,772 15,000 32%

Source: North Carolina Department of Transportation

The 1993 data reflects daily summer average. The summer average for

1994 is not available, so the figure is from Thursday, Aug. 11.

Traffic counted at Kill Devil Hills Post Office, Nags Head Soundings

Factory Outlet Mall and the Roanoke Island ABC store at the southern

entrance to Manteo.

OUTER BANKS OCCUPANCY TAX RECEIPTS

County June 1994 June 1993 Increase

Dare $19,431,164 $17,108,225 7%

Currituck $129,326 $98,150 32%

Source: Outer Banks Chamber of Commerce.

Figures reflect 4 percent occupancy tax collected on hotel rooms and

weekly rental cottages.

KEYWORDS: TOURISM NORTH CAROLINA OUTER BANKS by CNB