Halifax business owners are expressing frustration that a new residential commercial development is expected to force several businesses in the city's Spring Garden Road area to relocate and possibly close.
Halifax-based residential development company Dexel will lead the development of a mixed-use project that its website says is designed to be a “driving force in the revitalization of the Spring Garden area.” The new buildings will be built in the area of Spring Garden Road and Carlton Street.
The project is called Spring Garden West Development Projectwhich will house medical offices, commercial space and more than 300 luxury condominiums. Halifax city councillors approved Dexel's 30-storey proposal in January.
Over the past 20 years, Kong On Jean, owner of Jean's Chinese Restaurant, has seen his business become a pillar of the area's restaurant industry. Now, he's at risk of losing everything he's built due to new development in the area.
“I've dedicated my whole life to this family, I've worked so hard to build this family, and if they tear this building down, I'm going to be left with nothing,” he said.
“I can’t retire or I’ll have no money.”
Kong On Jean, owner of Jean's Chinese Restaurant in Halifax, says he's at risk of losing everything he's built over the past 20 years because of the approval of a commercial-residential development on Spring Garden Road.
Ella MacDonald
In addition to concerns about the sustainability of the business, Jean was also concerned about the impact it might have on his 20 employees.
“What will they do if I shut this company down?” he asked.
“I currently have 20 employees, what are they going to do?”
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Gene said he can't sell his restaurant because the possibility of the entire building being demolished would scare off potential buyers.
“I work hard. I do the best I can. This country is crazy, if you have money, you can do anything you want,” he said. “They can do anything for you. They'll buy you out.”
Jean said he hopes the city can step in and not let the building be destroyed. Otherwise, relocating his restaurant could be a very difficult task.
“I don't think I can save $200,000 to relocate the company. It's really hard. To relocate a company, you need money,” he said.
“This is the reality of this city.”
Danielle Jakubiak, owner of Tin Drum Therapy, which has been operating out of its Carlton Street office for nearly two years, said she was unsure of the development timeline when she first moved in.
“I do understand that (her office) is only temporary, as is the case for many people who rent in Halifax. For a lot of people, all of this is unpredictable,” she said.
“That’s the reality of the city right now.”
Danielle Jakubiak, owner of Tin Drum Therapy, said she expects her business expenses to increase after moving to the new office.
Ella MacDonald
Jakubiak said her lease is set to expire in December. She said she has applied for an extension but has not heard back from the property manager. The building is operated by Paramount Management and owned by Rowan GroupThe company also owns Dexel.
Global News reached out to Dexel Developments on Friday but has not yet received a response.
To her surprise, Jakubiak said she came across an ad for available units in her current building while looking for alternative commercial space options elsewhere.
“I saw a lot of vacancies being advertised in this building. I don't know what their plans are,” she said.
Jakubiak said that while she expects her operating expenses to increase significantly, she remains confident that she can find available office space in a nearby professional center.
“Affordability will be difficult going forward and it will definitely have a big impact on business as I can barely make ends meet paying the high monthly rental costs,” she said, adding that she expects her costs to nearly double once she relocates.
“I think that’s why a lot of people have turned to online work. But I really like having a venue that feels like our own, and I think it’s important to keep that feeling.”
Jakubiak said that as a consultant, it’s crucial to work in an intimate, personal space — and shrinking office space could pose challenges to her work.
“For people who are going through a really hard time… it’s really important to have a safe space for them,” she explained, adding that she hopes not to move to a louder, busier building.
“It's different to be in person with someone. You can feel their energy and emotions better than you can online.”
Halifax city councillor responds
Waye Mason, a Halifax city councillor who represents the downtown area, said he would “love to” assist any business with the relocation process.
“This is a huge disruption to these businesses, and I don’t want to downplay the impact of that,” he said shortly after the announcement on Monday. He will run for mayor this fall.
“But those two sites combined will create nearly 900 homes on the peninsula, which we desperately need. And when they're built, there will be retail there too.”
Mason said he has spoken to some of the affected business owners in the area about the matter.
“This kind of change is always very difficult,” he said.
— Attached by Ella MacDonald
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