A longtime café on Wellington Road in Montreal’s Verdun borough is ready to shut subsequent month, with the proprietor saying rising industrial rents are making it more and more tough for small companies to outlive.
Station W proprietor Simon Defoy introduced the café will shut after greater than a decade in operation, following lease renewal negotiations with the constructing proprietor that in the end failed.
“What I do know is enterprise homeowners are actually fearful of the worth of their lease,” mentioned Defoy.
Wellington Road has turn into considered one of Montreal’s busiest industrial corridors lately, attracting each vacationers and new companies. However some retailers say the rising reputation has additionally led to rising lease prices.
“After we bought the title of the good metropolis on the planet or no matter, that brings a number of consideration to the road,” mentioned Defoy. “That brings a number of those that wish to open companies right here. So after all, the facet impact of it’s, we will see the costs of the impact on the worth of the lease, of the lease.”
In an announcement to CityNews, the constructing homeowners refuted claims they demanded a 60 per cent lease improve.
“The industrial lease for Station W expires June 30, 2026 and doesn’t include any renewal clause,” the assertion reads. “Over the previous a number of months we engaged in negotiations to attempt to attain a brand new settlement.”
The homeowners added: “We want to make clear that, opposite to what has been reported, we by no means demanded a 60 per cent lease improve. Varied market eventualities had been mentioned as a part of regular industrial negotiations, however a 60 per cent improve was by no means requested.”
Verdun borough Mayor Céline-Audrey Beauregard says the difficulty factors to a broader lack of regulation surrounding industrial leases.
“The historical past of Wellington Road is for me a waking up name,” mentioned Beauregard. “I hope it’s going to try this for the neighborhood of Verdun however elsewhere in Montreal and Quebec.”
Beauregard says the borough is taking a look at packages that would assist entrepreneurs throughout lease negotiations and help efforts to buy industrial buildings.
For Defoy, preserving impartial companies is important to sustaining the character of neighbourhood streets.
“When we now have small enterprise homeowners, it’s totally different from chains,” he mentioned. “We put extra love into our neighborhood. We put extra love into our streets. If we wish to hold the true colours of who we’re, we have to begin interested by serving to entrepreneurs.”
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