CaféTO opened up Toronto’s city streets to local restaurants, adding outdoor dining and additional space for spots struggling to operate during the harshest COVID-19 restrictions. Many patrons enjoyed the street dining, commonly seen in other countries like Europe.
Excitingly, the CafeTO program is being made permanent, but not without a slew of fees, administration costs and infrastructure needs that the participating establishments are required
to accommodate.
And to many restaurant operators, this update to the CaféTO program, once a measure to safeguard the vitality of the local restaurant scene, has become a detriment, costing businesses — many of which are already operating at a loss — more than they can reasonably afford.
According to Restaurants Canada COO, Kelly Higginson, “Toronto’s downtown core has still not recovered post-pandemic, as high vacancy rates in neighbouring buildings continue to have a significant impact on traffic to restaurants,”she said. “Hundreds of restaurants have shuttered permanently in the past three years, devastating the industry and changing the character and vibrancy of many of Toronto’s neighbourhoods.”
In this new update, restaurants interested in participating in the CaféTO program can expect to pay thousands of dollars for things like building materials, permit and application fees, labour for build out and tear downs, and more.
The newly recommended fees would see participating restaurants pay a one-time application fee of $865, as well an annual fees of $1,449 for a sidewalk cafe and $3,077 for a curb lane patio.
Restaurants Canada said they were unfortunately not consulted during the early developmental stages of the CaféTO program’s proposed changes, thus failing to consider the food service sector’s current state as it works to rebuild post-pandemic.
In a survey by the city in November 2022, restaurant operators were asked how likely the re-introduction of fess with impact their decision to open a curb lane café. The results found that 6o percent indicated it would likely impact their decision.
As a result, many restaurant operators are questioning the ongoing practicality of their participation in CaféTO.
On Tuesday, the city’s Executive Committee approved the changes to the program but asked that the proposed fees be reconsidered. A full council meeting will take place on Feb. 7.