Popular hair salon to close as rising taxes, soaring rents change face of West Queen West

The scissors will soon be silenced at a popular Queen Street West hair salonbecause of the changing neighbourhood and the seemingly ever-increasing rents along the street, its owners say.

"We will be happy not have such a big overhead," said Robert Pieter, one of the owners of Coupe Bizzarre, located at 710 Queen St. W. near Niagara Street.

According to the salon's website, its currentteam will be disbanding by the end of July, but will continue their work at other salons or in a home studio.

It's partly a life decision to downsize after 23 years of business, but Pietersays he'salso feeling discouraged by the neighbouring shops that are closing and the big chains that are moving into the neighbourhood.

"I think because we have been around for so long that perhaps we are faring better than some," he said.

Some of the local shops that have closed over the last two years in the West Queen West area includeseveral longstanding clothing stores, fruit stands and cafes.

"It's definitely becoming a lot more corporate," Pieter said, referring to the chainrestaurants and stores that have swooped in when there's a vacancy.

'Nothing to do with greed. It's just to break even'

Rising property tax costs are partly at fault for the area's rising rents.

These costs are determined by thetax rates set by the city and the valuation determinedby the Municipal Property Assessment Corporation (MPAC). It uses recent sales of comparable properties andincome potential to asses a property's value.

• City approved 10% cap on property tax hikes for businesses.
• Tory asks Ontario finance minister to find 'fairer model' for taxing small businesses

In the last four years, the totalMPACassessment for commercial and industrial properties in the West Queen West area has increased from $250.2 million to $382 million.

As a result, landlordsare faced with higher taxes, and many areoffsetting their costs by raising rents.

It's"nothing to do with greed,"says Rob Sysak, executive director of the West Queen West Business Improvement Area.

"It's just to break even," he told CBCToronto.

In early 2018, city council approved a 10 per cent cap on tax increases to provide some relief.

Sysaksays that's largely thanks to the collective voice of struggling merchants, backed by theirBIAsthatargued the city was losing itssoul with every vacancy.

"The sad part is,it's not going to erase what has happened," he said.

BIA's hands are tied

Sysaksays he's been doing what he can to suggest the types of business the BIA wouldlike for the neighbourhood, but that's about all hecan do.

He says his organization has beentrying to helpsmall businesses like Coupe Bizzarre, but that its job is to help everyone, not justmom-and-pop operations.

"The BIA is there to support any member who comes in to West Queen West," Sysak said, "whether it's a Rexall or an A&W or a Coupe Bizzarre."