The rising cost of food and rent is placing a strain on Georgians. Now small business owners are being priced out of their buildings. GPB’s Amanda Andrews has more.

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Hodgepodge Coffeehouse in Atlanta says its Moreland Avenue shop will close its doors on Dec. 31 after 12 years in business.  

Like other businesses in East Atlanta Village, the shop has been dealing with inflation. The cost of food, rent and other necessities has placed a strain on Georgians, and small business owners are being priced out of their buildings.

According to Eater, which covers Atlanta restaurants, EAV locations of Taco Mac and The Glenwood announced closures in September.

The East Atlanta Business Association says the average monthly lease for 1000 square feet in the area has risen from $1,600 to $3,000 dollars a month over the last couple years.

Hodgepodge Owner Krystle Rodriguez said she began making tough decisions even before the rent went up.

“I have not paid myself since last July,” she said. “I'm just really, really, really trying to make sure that our team and our community are still being supported, especially during such an unprecedented time.”

Rising costs mean commercial spaces may be filled by larger chain stores which can cover higher overhead costs. EABA President Nate Minor said this is a threat to more than business, it’s about the culture of the neighborhood.

“We're approaching a crossroads,” Minor said. “Either we find a way to manage commercial rents, or we must adapt as a community to higher costs or corporate stores. Without a shift, the essence of what makes East Atlanta special may be lost.”

Hodgepodge is collecting donations to help bridge the gap between closing and its staff finding new jobs.