Sudbury·Audio

Landlords in Sault Ste. Marie push to scrap downtown association, similar feelings in Sudbury

Large landlords in Sault Ste. Marie are pushing to scrap the city's downtown association, saying they don't get their money's worth and there are similar sentiments in other northern downtowns.

"We're just looking at what we're getting for value for our dollars."

(Yvon Theriault/CBC)
CBC reporter Erik White tells us about a drive in Sault Ste. Marie to disband the downtown association and how there are similar feelings among businesspeople in downtown Sudbury.

Large landlords in Sault Ste. Marie are pushing to scrap the city's downtown association, saying they don't get their money's worth, and there are similar sentiments in other northern downtowns.

The Sault Ste. Marie Downtown Association runs on about $185,000 it collects every year from downtown property owners in a levy laid out by a city bylaw.

Dominic Ruscio, the manager of the Days Inn and Suites, said most of it comes from large building owners, who don't get much from a downtown association focused on holding parties and festivals.

"Which brings people in for a short time and then they're going. We're just looking at what we're getting for value for our dollars," said Ruscio, who's own building contributes $16,000 to the downtown association every year.

Downtown Sault Ste. Marie (Sault Tourism)

Ruscio is now campaigning to get half the downtown property owners on board, in order to officially scrap the association, under the rules laid out in provincial law.

But the downtown association manager Duane Moleni is mounting his own lobbying effort to keep the group alive.

Moleni, who has only been on the job for a month and a half, argues the parties were the first step to re-connecting the Sault with its downtown.

"That build that pride of place and sense of belonging and sense of community and there's nothing wrong with that. We're at a stage now, where my job is to build on top of that and branch out more," he said.

"I don't believe we get our money's worth for the levy. Not at all."

In Sudbury, there is similar discontent among large downtown landlords.

Commercial property manager John Arnold of Dalron said his company owns about 100,000 square feet of commercial and office space in the core and gives Downtown Sudbury about $40,000 every year, which is roughly 10 per cent of the association's top budget.

"No I don't believe we get our money's worth for the levy. Not at all," said Arnold. "Not saying the people at the board aren't doing a great job. They're doing what they're supposed to do, or they're doing what they're told to do."

Arnold doesn't want the Sudbury association abolished, he'd rather see it shift focus to attracting more parking and residential development. In particular, he'd like to see some of the association's levy shared with either the privately-funded Downtown Village Development Corporation, or put into incentives for businesses.

"What we want to see is growth. We want to see economic development. Events and promotion is great, you need that. But I think the emphasis needs to switch," said Arnold.

Downtown Sudbury chair Jeff MacIntyre said the association is already doing more of that economic development work and has helped turn things around over the last 10 years.

"I think it would be hard to argue that we're not adding value to the downtown. Vacancy rates are much lower than they've been in decades," he said.