Six Downtown Edmonton Restaurants Shut Their Doors Amid Ongoing Challenges

Marcus Wong, Economy & Markets Analyst (Toronto)
5 Min Read
⏱️ 4 min read

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In a concerning trend for Edmonton’s downtown, at least six restaurants have closed since June, prompting restaurateurs to sound the alarm over the city’s declining business climate. Maheik Bhasin, former operations manager of Khazana—a beloved Indian eatery that served the community for 28 years—attributes the closures to prolonged construction disruptions and a lack of planning that have made it increasingly difficult for businesses to thrive.

The Decline of Dining Options

Khazana, located on 107 Street near 102 Avenue, was among the first to announce its permanent closure in June. Bhasin expressed her frustration, stating, “The cost of running this beautiful restaurant is not easy.” She highlighted the impact of surrounding construction projects, including the development of O-day’min Park to the south and the Valley Line West LRT to the north, which created significant barriers to access. With pedestrian detours proving complex and confusing, customer foot traffic dwindled, leading to substantial financial losses.

“It feels like we used our savings to entertain city projects,” Bhasin lamented, underscoring the difficulty of sustaining a business amid ongoing disruptions.

More Closures Follow

Following Khazana’s closure, other establishments have also shuttered their doors. Notable among them are Greta Bar, kb&co, Kommune, Bündok, and PlayWright. Chris Decock, owner of Greta Bar, announced the arcade bar’s imminent closure on 109 Street, citing a multitude of challenges that have compounded over the years. In a heartfelt letter, he remarked, “No single decision brought us here. It was death by a thousand cuts.” Decock emphasised that various issues—including tax hikes, patio fees, paid parking, hybrid work models, and safety concerns—have collectively made operating in downtown increasingly burdensome.

The Bigger Picture: Safety and Planning Concerns

The Downtown Revitalization Coalition has echoed these sentiments, highlighting that safety issues in the downtown area persist as significant deterrents for potential patrons. Cheryll Watson, an executive committee member of the coalition, asserted that the ongoing construction for the Valley Line LRT and other road projects severely impacts business accessibility. “How do you survive in that situation?” she asked, reflecting the dire circumstances many businesses face as access remains hindered for extended periods.

Watson has long warned city officials about the repercussions of inadequate planning, noting that better management of construction projects is essential. She also pointed to the coalition’s recommendations from April, which include integrating transit and peace officers into the Edmonton Police Service to enhance safety, as well as establishing facilities for crisis response.

City Officials Respond

Tom Girvan, the City of Edmonton’s director of downtown economy, acknowledged the distressing reality of business closures but maintained that each closure stems from unique challenges. He expressed the city’s commitment to revitalising the downtown area, stating that millions have been invested to support local businesses and encourage private investment. “This includes the Downtown Action Plan Fund, which will invest $3 million in community-led projects,” Girvan noted, emphasising the city’s efforts to enhance the vibrancy and appeal of downtown Edmonton.

Despite these assurances, Bhasin remains sceptical. “It feels like nobody cares here. And at this point, why would people want to live in Edmonton?” she questioned, calling for a reevaluation of how city projects are planned to prevent further business losses.

Why it Matters

The closure of multiple restaurants in downtown Edmonton not only reflects a troubling trend for the local economy but also raises broader concerns about urban planning and the overall vitality of the city centre. As businesses grapple with mounting pressures from construction, safety issues, and regulatory burdens, the need for a cohesive and supportive strategy becomes ever more urgent. Without immediate action to address these challenges, the downtown area risks becoming a shadow of its former self, potentially driving away both residents and visitors alike.

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