Gentner says vacancy rate along Scott Rd. will increase

Wednesday, January 27, 2010

Delta North MLA Guy Gentner is worried the HST will have devastating impacts for many small businesses in his riding.

"With the pending implementation of the HST, retailing along Scott Road could be in the ditch," said the NDP MLA. "There is no doubt that for many businesses, especially for restaurants, many will be forced to close."

Gentner was updating his North Delta "Matrix" Service Directory and discovered along the seven-kilometre Scott Road commercial corridor, one the largest commercial strips in the Lower Mainland, that in less than a year there has been a 10 per cent decrease in businesses with an overall vacancy rate of over 25 per cent.

"In some older strip malls, the vacancy rates are as high as 42 per cent," said Gentner "This is alarming.

"What North Delta is witnessing is not comforting. As North Delta's commercial district erodes, so does the community's tax base. Although many economic forecasters may be upbeat for 2010, the commercial vacancy rates tell a different story. Given all the commercial vacancy rates along Scott Road, one has to question the timing of the B.C. Liberals' implementation of the HST. The HST will effectively kill many of the 80 various restaurants in North Delta."

The 12 per cent HST, a harmonizing of the provincial sales tax and the federal government's goods and services tax, will come into effect on July 1.
© The Delta Optimist 2010