BIA chairman Sam Elsaadi, owner of La Mode Hair Studio, says he fears businesses will go belly up.
Business owners on Sparks Street are concerned they won’t survive the next four years due to major construction on buildings along the north side of the street, says Sparks Street BIA chairman Sam Elsaadi.
According to Elsaadi, who also owns La Mode Hair Studio, construction has been going on for the past two years, leading to fewer and fewer visitors, who are turned off by the scaffolding and cranes along the mall.
Public Works and Government Services Canada owns the buildings along the north side of Sparks Street. In an email, spokeswoman Annie Duguay wrote that Public Works is “investing in the vitality of Sparks Street by completing extensive rehabilitations to the buildings along the north side of Sparks Street.”
She added that the Wellington Building at 180 Wellington St. is currently under construction with renovation plans still being studied for certain buildings on the north side of Sparks. Leases for these buildings have not been extended past 2014, until long-term plans are finalized.
However, Elsaadi points out that these longer-term leases will not be of any use if businesses close.
“This construction is going to continue until 2014 or even 2016. Whether you have a lease for 10 years or you have a lease for 20 years, it’s not going to do anything until all this construction is done,” he says. “It’s not going to give me the security that I can survive if there’s no people on the street.”
Elsaadi says business for La Mode dropped 25 to 30 per cent since construction began two years ago.
The historic Canada’s Four Corners building is a souvenir shop founded 50 years ago at the corner of Sparks and Metcalfe streets.
Part-owner Lila Ghaffari says the store has felt the construction’s impact, but that’s not the only reason for declining business.
“It’s a combination of economic crisis and of course, (the construction) is horrendous for us,” she says. “Our building has been, as you can see, like a carcass is around it. Thank God we are where we are and we have a reputation…(we are) like a landmark in Ottawa otherwise it would be catastrophic.”
She says Canada’s Four Corners already had to relocate in 1997 when its building was renovated.
The Sparks Street BIA meets monthly with representatives from Public Works and the National Capital Commission, which owns the south side of Sparks Street, to address tenant concerns.
Taking a walk down Sparks Street, it is not unusual to see boarded up front windows and relocation signs. The area is empty of visitors and the street is quiet, except for the sounds of hammers and banging metal.
Ghaffari describes the Sparks Street she remembers when she immigrated to Canada from Iran.
“When I came to Canada 34 years ago, the market was dead. There was nothing,” she says. “Now go to the market . . . it’s the ‘it’ place to be in the city. And this street was the classy pedestrian mall with very exquisite shops in it. Everybody would recommend you to go to Sparks Street Mall and now look at the desolate way this street looks like.”
Elsaadi says the best way to ensure more businesses do not go under during construction is for Public Works to give all the tenants equal financial compensation to make up for the money they lose over the next four years and to announce it publicly.
“Give them a promise of hope,” he says.
In response to this, Lucie Brosseau of Public Works wrote that the department is willing to discuss lease issues individually with tenants, but she could not disclose any more information about lease agreements since they are supposed to remain confidential.
“Public Works is committed to maintaining the commercial character of Sparks Street,” she wrote. “(Public Works) works with its tenants, starting at the planning phase and continuing throughout the duration of its projects, to minimize disruption during construction.”
Elsaadi says Public Works has never forced any business to leave and tries to accommodate those located in buildings undergoing renovations, by finding temporary location spaces. He adds that businesses usually can’t survive the business lost from relocating.
Both Elsaadi and Ghaffari agree the street needs more visitors for businesses to stay alive.
Ghaffari also says Public Works has to add a variety of shops to the street, including entertainment, dining and retail stores, which will attract more consumers. She says planners should allocate a certain number of each type of business (restaurant, souvenir, clothing, etc.) to ensure a balanced but wide array of attractions.
Elsaadi says the Sparks Street BIA is working on beautifying the street with new lights, benches and flowers. He says the BIA also hosts annual events such as the Busker Festival, Ribfest, Beer Fest, and the last New Year’s Eve party that drew in 20,000 people.
Recent proposals for a zip line and valet parking on Sparks Street are also meant to add to the street’s revitalization.
“We’re doing all these events to keep the street busy, but if the street isn’t completely full it’s not going to attract people to come back,” he says. “But we can’t stop these events. We’re not going to slow down.”