Rising rents, operating costs threaten North End Halifax business – Halifax | Globalnews.ca

At the corner of North and Agricola Streets in Halifax, sits middle east food centerA grocery store specializing in Middle-Eastern foods.

The store itself has been around for decades and current owner Abdulsalam Mohamed has been operating it for nearly 15 years, but he says the store is in danger of closure.

“My lease is over and usually after the lease they increase the rent,” he said.

that rent increase He expects to spend an additional one to two thousand dollars a month, which is something he says is too much.

The president of the Atlantic Business Federation says Mohamed’s situation is not unique.

“It’s a bad time [for businesses.] We have seen inflation rise to the highest level since 1981,” said Paul Trainor.

“Landlords, of course, have their costs going through the roof as well as leases come up for renewal.”

The trainer explains that it’s not just the fare that’s an issue. He says that as inflation rises, the cost of everything is rising, and that means many small businesses are forced to pass those costs on to consumers.

“It’s going to have an impact, no question. More so for smaller mom and pop shops,” said Trainor.

“People are turning to larger online stores simply because their overhead is not as high, so small to medium-sized business owners are among the most vulnerable in the economy.”

Mohamed says the cost of supplies is also contributing to the challenges with his stores, especially since nearly all of his products are imported from overseas.

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While he is now looking for a new location, he says he hopes to reduce the size to keep going, but he is also hoping to remain at the north end.

“The shop itself is not just a business,” said Mohamed.

“It’s very connected to the neighborhood and it’s a social space.”