Denman Street plagued by vacant retail space

It started years ago. Vacancy signs popping up on Denman Street. The owner of Delany’s, an institution that opened its first coffee shop on Denman Street in 1991, says he’s worried about its future.

“I’m concerned, because we’ve been here 23 years and I want to stay here another 23 years,” said Robin Delany. “But for every year we’ve been here rents have steadily gone up.”

Stephen Regan, the executive director of the West End Business Improvement Association, says the street-level vacancy rate on Denman Street right now is about 12 per cent.

“Three to four per cent is a healthy range,” he said. “It’s enough turnover. There’s enough variety of new business opportunities coming in.”

Of the more than 130 business spaces on Denman, 17 are empty. One commercial real estate agent says the problem began shortly after the global economic meltdown in 2008.

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“In the fallout of 2008, a lot of businesses went downhill,” Century 21’s Rob Danielson said. “Landlords haven’t caught up to the reality that they can’t pay as much rent as they used to.”

Delany also says it’s a seasonal issue unique to this part of Vancouver’s West End.

“November, December and January is tough for every business on Denman. In the summer and spring when the weather is nice we do much better. It’s tough to make it in the four winter months.”

The good news is the soaring vacancy rates may help solve Denman’s problems. Danielson says when so many units are empty, potential tenants can shop around to find the best deal, and that means the rents will finally start coming down.

The Business Improvement Association says, despite the vacancies, Denman Village continues to be one of the most popular retail streets in Vancouver. And it’s working with tenants and landlords to make sure it stays that way.