Why are so many Vancouver restaurants closing their doors?

What’s causing this?
Several factors are making it increasingly difficult for restaurants to stay open. Rising food costs, rent hikes, and increased wages are hitting businesses hard.

For example, Cioppino’s, a well-known Yaletown restaurant, citing soaring rent and operating expenses is shutting its doors. Many restaurant owners are finding that even with packed dining rooms, they’re not making enough profit to stay afloat.

Is this just the way things go or is Vancouver a tough place to run a restaurant?

It’s no secret that running a restaurant has always been challenging, but it seems even tougher in Vancouver. While other cities face similar issues, Vancouver’s high rent and high demand for prime real estate make it a particularly tough market.

Ian Tostenson, president of the BC Restaurant and Foodservices Association, explained that inflation and post-pandemic debt are pushing many restaurants to the brink of closure.

What should the city or government be doing?
Many in the restaurant industry are calling for more government support. Tostenson has been in discussions with provincial leaders about streamlining support and cutting red tape to help ease the burden.

Extending loan repayment deadlines, particularly for pandemic-related loans, and offering tax breaks are some solutions being suggested to give restaurant owners the breathing room they need.

The industry is also pushing for more accessible programs to hire as staff shortages continue to be a major issue.

Have you noticed?
It seems like almost every week, another favorite spot is closing down. Whether it’s the much-loved Tacofino location in Gastown or Boardwalk Brewing in Port Coquitlam, the losses are felt across the city.

Let us know if you have any favorite spots that have closed recently — what do you think should be done to help these local gems survive?