Downtown Victoria Transitions from Concern to Optimism in 2025

As 2025 begins, small business leaders in downtown Victoria are shifting from worry to optimism. Initially grappling with the lingering effects of COVID-19, including reduced foot traffic and heightened street disorder, these businesses are now experiencing a more positive outlook. According to Jeff Bray, CEO of the Downtown Victoria Business Association (DVBA), the sentiment among members has improved significantly since last year.

In the fall of 2024, anxiety was palpable among local entrepreneurs. They faced not only the aftermath of the pandemic but also potential threats from U.S. tariffs and rising street disorder, which included open drug use and camping in public spaces. Bray reported to the Victoria News, “We were heading into this year with a lot of concern among our members about these things.”

By the end of summer 2025, the outlook had brightened. “We had a good summer season. That was across the board in main floor tenants,” Bray noted. Businesses are now less worried about foot traffic and more about operational costs. “It’s not necessarily a bums-in-seats worry anymore… It’s that a head of lettuce just costs a lot of money now.”

Addressing Street Disorder and Community Safety

Despite this newfound optimism, challenges remain. A survey conducted by the DVBA revealed alarming data: nearly 50 percent of businesses indicated they would consider leaving Victoria if conditions did not improve within a year. The survey, which included responses from over 1,800 members and achieved a record 30 percent response rate, highlighted a pressing need for action to reduce street disorder.

To address these concerns, the DVBA has called for an increase in policing and bylaw enforcement in downtown Victoria. In response, the city council endorsed a comprehensive 79-page community safety and well-being plan in July 2025. This plan, developed over 18 months, aims to enhance public safety by funding increased policing and collaborating with non-profits to provide essential services. The first phase of this initiative is backed by a budget of $10 million.

Bray expressed satisfaction with the city’s swift response to the DVBA’s requests. “Our voice asked for a couple of things, and the city responded quickly,” he indicated. As the implementation of the safety plan progresses, local businesses are beginning to see the benefits.

Shifting Consumer Behavior and Future Concerns

Another positive trend has emerged: the “buy local” mentality is gaining traction among residents. This shift is partly a reaction to U.S. policies and reflects a broader commitment among Canadians to support local businesses. Bray emphasized the importance of each new customer for smaller, independent establishments, stating, “When you’re running a smaller, independent business, any new buyer is hugely powerful.”

Looking ahead, Bray is cautious about the future. He warns that if downtown remains difficult to navigate, customers may choose to shop elsewhere. He pointed out that “second-floor” businesses, like dentists and accountants, are particularly vulnerable as they depend on foot traffic from the streets below.

With record-high vacancy rates in downtown Victoria, Bray suggested that city planners reconsider the focus on expanding bus and bike lanes. “As a regional downtown, our businesses need people coming in from Central Saanich and Colwood,” he stated. “Right now, they’re not.”

As 2025 progresses, the transition from worry to optimism encapsulates the resilience of downtown Victoria’s business community. While challenges persist, the proactive measures taken by local leaders and city officials signal a commitment to fostering a vibrant and safe environment for both businesses and residents alike.