TUCSON, Ariz. (KGUN) — Businesses in Puerto Peñasco, Mexico, are feeling the financial impact after a cartel leader was killed and violence broke out, prompting a wave of cancellations ahead of spring break.
Keith Allen, director of sales at Encantame Resorts, said 80 people canceled on Monday — the day after the cartel leader was killed and violence began.
"When things happen in Mexico, things get amplified, and so people go into the panic mode," Allen said.
Spring break is one of the busiest times of the year for the resort. Before the cancellations, Allen said business was on track to be 44% higher than last year.
Now, he said they will be lucky to match last year's numbers. Some guests canceled as far out as a month or two from now.
"Lost income to the owners that own these condos individually here at Encantame Resorts," Allen commented about the financial impact.
Allen said some guests are rebooking, but the financial ripple extends well beyond the resort.
"That's money lost to restaurants, bars, sunset cruises. It extrapolates out for all the activities," Allen said.
Mayda Chavez, owner of Get Mexican Insurance and Fiesta Beach Travel, said the cancellations are hitting the entire community.
"It affects us because obviously this is how we make our livelihood, and not just my business, everyone in Rocky Point," Chavez said.
Chavez sells Mexican car insurance and helps travelers make reservations. She said the majority of people are still planning to visit during spring break, but some have rescheduled, and some have even canceled.
"These are the times where we make most of our income so the timing is definitely not good," Chavez said.
Despite the cancellations, both business owners are encouraging travelers not to cancel their trips. Chavez said fewer crowds could mean a better deal for those who do go.
"This would be a great time because given that, not as many people are going, the prices will probably stay lower," Chavez said. "If like say something happened in New York, it would have nothing to do with what's happening in Arizona.”
Allen echoed that message, comparing the situation to incidents that happen in major U.S. cities.
"It is totally safe here. I personally drove across the border on Sunday," Allen said.
For those driving to Puerto Peñasco, Allen said the Green Angels are available to assist travelers who experience car trouble, such as a breakdown or a dead battery.
This story was reported on-air by a journalist and has been converted to this platform with the assistance of AI. Our editorial team verifies all reporting on all platforms for fairness and accuracy.
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Andrew Christiansen is a reporter for KGUN 9. Before joining the team, Andrew reported in Corpus Christi, Texas for KRIS6 News, Action 10 News and guest reported in Spanish for Telemundo Corpus Christi. Share your story ideas with Andrew by emailing andrew.christiansen@kgun9.com or by connecting on Facebook, or Twitter.
