Historic Amsterdam Tea Shop to Close Amid Rising Rents

 AMSTERDAM — The aroma of tea and coffee fills the air at ‘t Zonnetje (“The Sun”), where Marie-Louise Velder, 76, carefully weighs loose leaf tea behind a mahogany counter lined with vintage tins and old master-style paintings. Yet, after nearly four centuries in business, this beloved institution will soon close its doors, another casualty of soaring rents in the city’s historic core.

Founded in 1642, 't Zonnetje once sold herbs, coal, and water to local residents before shifting to tea and coffee as the Dutch empire expanded. Today, the shop offers carefully curated blends — including Velder’s signature Earl Grey, steeped in bergamot for three days — but will close within two months after a long-standing rental dispute.

“It makes me sick, that’s all I can say,” Velder remarked over a cup of Ceylon tea. “Traditional shops are all dying” due to relentless rent increases, she said.

When Velder took over the business 26 years ago from an English family, she paid 975 guilders (about €440) per month in rent. Today, following a legal arbitration, she faces a bill of up to €4,500 a month, backdated to last September — a significant jump from her current €3,000 monthly payment, though less than the €6,000 initially demanded.

Since news of the closure broke last week in Het Parool, Velder has received an outpouring of support from customers — “love, only love,” she said.

The shop’s imminent closure has intensified fears that Amsterdam’s historic character is being eroded by a growing dominance of chain stores and tourist-oriented businesses. “There are a lot of cheese and Nutella-pancakes and all kinds of tourist shops. Tourists are fine and good. But this should be here as well,” said Johannes Wilhelm, a 63-year-old local businessman, while visiting ‘t Zonnetje for lapsang souchong.

Rising rents are a national trend across the Netherlands’ most sought-after retail streets, analysts note. Typically, when independent shop owners are priced out, larger companies with standardized offerings move in — a development that Karel Loeff, director of the heritage organization Heemschut, warns undermines a city’s unique identity.

“We can preserve the wooden beams and shelves … but we can’t preserve a function. We can’t say this is an original tea shop and you should preserve this for the future,” Loeff explained. “If you push [independent shops] away and you only have standard brands, the attractiveness of the city disappears.”

Amsterdam authorities have grappled with this issue for years. In 2017, the city government restricted new businesses that cater predominantly to tourists — such as bike rental and cheese shops — from opening in parts of the historic center. Yet, the pressure on independent retailers remains intense.

Iris Hagemans, an urban geographer at the Amsterdam University of Applied Sciences, warned against oversimplification. She acknowledged that certain areas, like Damstraat, have succumbed to a “monoculture in the shopping landscape” but stressed that other nearby streets retain a distinct character. She also noted the delicate balance policymakers face: while residents may profess support for traditional shops, their actual spending habits often favor convenience and price over heritage.

“The retail landscape should be able to respond to the market and be dynamic,” Hagemans said. “And it’s democratic in the way that you vote with your wallet.”

She added that while government action to protect essential services — such as healthcare and access to healthy food — is critical, authorities must tread carefully when it comes to supporting specific types of retail for cultural reasons.

A few doors down from ‘t Zonnetje, a banner already heralds Amsterdam’s upcoming 750th anniversary in October. While initiatives to support small businesses have been announced as part of the celebrations, Velder is resigned. “It is too late for me,” she said.

As the sun sets on one of Amsterdam’s oldest shops, the city is left to reflect on what it stands to lose — and what it wishes to preserve — in its historic heart.