Rent, fee increases by city threaten ice skate-sharpening business

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This article was published 11/08/2017 (3144 days ago), so information in it may no longer be current.

Hockey is in Don Swirsky’s blood — he grew up with the game and “pretty much played it all my life.”

Seven days a week in the winter, the 57-year-old can be found at the Dakota Community Centre, sparks flying as he holds blades to the grinding wheel of his skate-sharpening machine.

Swirsky has owned and operated the complex’s skate-care centre for the past eight years.

Swirsky has no employees, so if the shop is open, he is there — sharpening skates for $7 and occasionally selling a roll of tape or a pair of laces.

But that may soon change since rent increases by the community centre and fees imposed by the city are threatening to put Swirsky out of business.

His gross income at the end of an average year is $70,000 and the overnight increase he’s facing in rent and fees is at least $7,800 — roughly 10 per cent of his income before taxes and overhead costs.

The community centre is increasing his rent by $2,860 a year, a 35 per cent increase.

During the eight years he’s run his shop, he said the community centre’s board of directors leased the space to him for the same price.

Given that there were no increases during that time, he was prepared to accept the change in rent.

“I’m not in disagreement with the fact they raised my rent, but if you go by percentage-wise what they’re raising, it is 35 per cent. Which, in all fairness, is pretty steep.”

Another bombshell

Knowing his lease runs out Aug. 31, Swirsky agreed to the rent increase. At that point, the centre’s CEO, Michele Augert, informed him he’d also have to speak to a city property administrator, he said.

“And that’s when I had the bomb go off,” said Swirsky.

The city’s property administrator told him he’d have to pay an annual $500 administration fee and a documentation-preparation fee between $4,000 to $5,000 each time his lease is renewed, as well as property taxes based on the square footage of his shop.

Given that he doesn’t own the space, he doesn’t understand why he would have to pay property tax.

“It’s devastating, a combination of shock and disbelief and I didn’t really feel there was any sympathy shown.”

The city owns the property the centre is on, but in the past eight years Swirsky said he’s never had to deal with the city. His lease agreements were made with the centre’s board of directors.

It’s one of many changes in the past 18 months. He said before the centre was run by hockey parents who volunteered their time to benefit the kids, but now it’s run like an impersonal “corporation.”

He said it’s forced him into an impossible situation, because he’s unsure if he can afford to stay in operation but knows he cannot afford not to.

“I feel like I’m being painted into a corner. At first I thought I could absorb it, adjust my costs and put in a few more hours,” he said.

“But what we’re talking about now is very tough to swallow. It’s devastating, a combination of shock and disbelief and I didn’t really feel there was any sympathy shown. They probably see it as, ‘Well, that’s the cost of doing business.’”

The timing doesn’t help, either. Swirsky said he was originally told by the CEO there would be a rent increase on June 27, wasn’t told how much until Tuesday. It wasn’t until Wednesday morning he was told about the additional fees from the city.

He has three weeks till his lease is up and a decision must be made. He doesn’t know what he’ll do.

“I’ve always had the desire to be involved with hockey in some sort of capacity. But I don’t have many options.”

“I guess I’m just confused and conflicted. I’ve always had the desire to be involved with hockey in some sort of capacity. But I don’t have many options. I can’t just go into another spot and start operating out of there,” he said.

“The only other choice I have is being unemployed. It’s a hit because one thing a lot of people don’t understand is when you’re self-employed, which I have been for the last 27 years or so, you don’t have a pension plan, your vacations aren’t paid, and as far as benefits in dental or eye care go, they’re non-existent.”

While the city was unable to provide a comment by press time, community centre CEO Michele Augert said Swirsky is welcome to stay and run his shop. They’ll have to look for a new tenant if he doesn’t renew his lease.

If Swirsky stays, he’ll need to sharpen 1,114 more pairs of skates to cover the increase in costs.

“It doesn’t leave me many options. I can’t simply pick up and leave.”

The increase comes as the Dakota Community Centre is fundraising to build a 60,000 square-foot fieldhouse as part of the Dakota Futures Capital Campaign. 

The St. Vital community centre was where Chicago Blackhawks captain Jonathan Toews played hockey as a child. The Jonathan Toews Sportsplex was named after him in 2010, and last year the three-time Stanley Cup winner donated $1-million to the fundraising campaign. 

ryan.thorpe@freepress.mb.ca