The price of 'cool:' Wellington St. real estate is heating up fast

Montreal’s Wellington St. has seen a serious spike in popularity in recent years. Long-time vendors and renters say the real estate market is heating up, and some say that’s bad news for the spirit of the street.

“This is nothing new. I saw this in the 1990’s on Saint-Laurent Blvd.,” said Sterling Downey, Verdun’s city councillor.

And just like in the 90’s, it’s possible the smaller businesses will need to move to find more affordable digs elsewhere, he says.

“The big players can pay for the real estate, but it's the small entrepreneurs that have built the character and the back-bone of this community and this street. … They're the ones who have to go somewhere else and find another place to run their business.”

Last year, Wellington St. was voted “coolest street in the world” by 20,000 Time Out readers. That August, the outlet praised the street for its “slew of bars, cult coffee shops and family-friendly spots.”

“Throw in a tuk-tuk service and a sandy beach smack in the middle, and you’ve arrived on Rue Wellington in Montreal,” read the article, published on Aug. 25, 2022.

But what is the price of “cool?” Restaurant Well, a narrow brunch spot steps from the Metro, was one of the casualties.

Opened in 2017, it closed a few weeks ago when the landlord demanded an almost 100 per cent increase in the rent, according to the restaurant's owner.

“(It was) practically double the rent compared to last year,” said owner Peter Simard. He says he moved to Verdun to capitalize on the location, and understands rates are rising.

“Mortgages go up for them too, and interest rates go up for everyone,” he said. Still, he feels some property owners are taking advantage of the buzz to ask their tenants for more money.

Verdun's Quebec Solidaire MNA says her party wants changes in the law.

“First, to have a registry for all the leases,” Alejandra Zaga Mendez told CTV, outlining her party's plan to protect small businesses in the area. “The second thing that we are proposing is to standardize the leases, because at this point, each type of business has their own type of lease.”

The borough is working with local business groups on solutions, and Downey says the Plante administration is working on a solution of its own – and time is of the essence.

“We're not at the disaster point yet, but, and the ‘but’ is what scares the hell out of me, it has started,” he said. “When something starts, it's very hard to reverse it.”

“It needs to be addressed immediately before our cities turn into ghost towns,” he added. 

LISTEN on CJAD 800 Radio: Commercial real estate prices are soaring on Montreal's Wellington Street