Toronto landlord accused of rent hike blasts back at popular burger joint
After being accused of abruptly and unfairly putting an end to burgeoning Toronto burger spot Aunty Lucy's, Duggan's Brewery owner Mike Duggan is speaking out about the recent drama between him and the popular pop-up restaurant that was utilizing his kitchen space.
Fans were surprised and disappointed to hear that Aunty Lucy's would be closing down after Canada Day. The restaurant shared the news in an Instagram post on Tuesday that detailed the very sudden situation.
"The establishment we rented the kitchen of and are operating out of at 1346 Queen St W. has hit us with an extremely unmanageable rent increase of 10x from our previous agreement. His reasoning being he didn’t expect us to do as well and now wants more money," the post read, adding that the team is looking for a new home to operate out of.
But Duggan says the claims are "complete lies," and that the eatery was operating free of charge, save for covering some of the utility expenses. When these expenses ended up far exceeding the amount paid due to how busy Aunty Lucy's became, Duggan says he asked for more money to cover them.
He insists that Lucy's proprietor Chieff Bosompra did not pay any actual rent, and that the two had agreed to a one-month pop-up only.
"They increased my bills $2,600 during the month of June. They were more busy than I thought when I first did the calculations... so not only has he gotten a free space and the market value that comes with it, I also paid over $2,000 out of my pocket," Duggan says.
Duggan likewise made a post about the situation on social media, stating that he was trying to change the terms of the agreement moving forward if Aunty Lucy's wanted to continue contracting the space, given the extra costs.
"We are tenants and as such pay rent, substantial rent and business taxes for the privilege of operating a business in the city. We don't own the building, we are not independently wealthy," Duggan's said in an Instagram caption.
"We were told by Aunt Lucy's that that they wanted to stay but are not willing to pay ANY RENT (and it turns out any of the extra costs we incurred for them being here)."
But Bosompra says that he did offer to pay thousands more to cover the bills — although not quite the amount of $5,000 — and offered additional alternative solutions, such as giving customers special deals that included Duggan's beer and helping the brewery with its social media free of charge.
He feels that the new "greedy" amount Duggan's was seeking was based solely on how successful Aunty Lucy's has been and that being asked to vacate the premises on such short notice was unrealistic.
He likewise says that Duggan's most recent account of the circumstances is false and that Duggan declined to sign a proper contract that Bosompra had written up.
The posts by both Aunty Lucy's and Duggan's have incited a flurry of feedback, dividing people who are defending either one business or the other.
"Quit acting like y'all did someone a favour, you're bullies not heroes. A black business succeeded past your expectations of struggle, so you strong arm them by setting a rent expectation you knew couldn't be met instead of being reasonable," one user wrote to Duggan's.
"Did you say Free rent with a cap of $600 in utilities? Above that and rent will kick in at 1,000. Or Did you say Free rent with $600 in utilities and 2% of total sales so your kick back would be scalable to the success of the business? Sounds like your lack of business sense and assumption that this business would struggle like yours, is what bit you in the behind..... this is an expensive lesson, but it was yours to learn," another added.
Still others vowed to support Duggan's in this "era of cancel culture," saying that no one should speculate on what the "right" amount of a rent increase in this situation should be.
"Once [Aunty Lucy's] starts paying the brewery's bills, maybe then they can comment on what they can or can't afford."
While the tension between the two parties continues to burn and Bosompra actively looks for another ghost kitchen to operate out of, one thing's for certain: Aunty Lucy's certainly won't be back in its original Parkdale spot ever again.
Hector Vasquez
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