Skip to content

Preston Tim Hortons owner seeks over $400K in lost revenue from region

Ontario Land Tribunal claim stems from roadwork between 2019 and 2021 that limited traffic to King Street drive-thru
Progress on the region's King Street Improvement project in October 2020.

The owner of the Tim Hortons at the corner of Bishop and King streets in Preston has filed a claim with the Ontario Land Tribunal seeking $413,000 in "business damages" resulting from the King Street Improvement Project between 2019 and 2021.

C.V. Wakely Investments Ltd. filed the action against the Region of Waterloo in December, claiming roadwork near the store resulted in significantly less traffic to the Tim Hortons franchise.

The owner feels they are "entitled to compensation for disturbance damages and business losses suffered as a result" of an expropriation for the purposes of reconfiguring the road as part of the improvement project between Eagle and Bishop streets starting in 2019.

The region denies the allegations and is asking the OLT to dismiss the action with all costs covered by the claimaint.

The region expropriated about 43 square metres from the Tim Hortons property in 2018 to facilitate the reconfiguration.

From March to September 2020 two lanes of King Street East were closed to accommodate the installation of street lights, sidewalks, a new sanitary and storm sewer, paving stones, asphalt and landscaping along the stretch.

Further work was carried out through November of that year that resulted in more traffic disruptions.

Then beginning in April 2021, construction began at the intersection of King Street East and Bishop Street that lasted three weeks, closing the north side of the intersection to vehicles.

"In May 2021, there were several instances where the claimaint's entrance on King Street East was closed completely to vehicular access or limited to one lane of traffic," the claim reads.

Asphalt paving in late July of that year, led to further closures and reduced access, the claimant says.

The store remained open for the duration, but since its drive thru "relies on convenience and expeditious service," revenues declined, according to the claim.

The degree of business loss from all of the roadwork is estimated to be $413,000.

CambridgeToday sought comment from the Region of Waterloo but did not receive a response.

In its response to the notice of arbitration and statement of claim, the region denies the allegations, says it owes the claimant nothing and cites its records which show the owners of that Tim Hortons location as TDL Group Ltd.

It says it  has no knowledge of the alleged tenancy of the claimant, C.V. Wakely Investmets Ltd.

The region denies their expropriation had any affect on access to the property and "at no time did the region or its contractors cause substantial or unreasonable interference to the subject property during the project."

Bishop Street access to the drive thru was maintained at all times, it says. Signage was also visible showing entrances and detours, and King Street access to the Tim Hortons was "only closed for short periods" during the project.

The region also says a site inspector was available to respond to concerns throughout the project, which impacted a significant number of commercial properties.

"Such alleged losses and damages, if any, do not amount to a disproportiante burden borne by the claimaint as a result of the works."

A hearing has yet to be scheduled by the OLT's case coordinator.