The Salsa on St. Clair festival has lost one of its key sponsors weeks after a shooting that left two people dead. In a July 23 letter, reviewed by CP24, the Hillcrest Village Business Improvement Area (BIA) advised festival organizers Canadian Salsa Festival and TLN Media Group that its board voted to discontinue its sponsorship of the two-day event. Chair Heather Hannah said in the letter that while they have been “proud” to sponsor and host the event for many years, it believes Salsa on St. Clair has “outgrown both the neighbourhood and the capacity” of the BIA. She said surveys done over the past several years with their members have shown a “significant decline in support for the festival,” noting some of the larger restaurants and businesses in the neighbourhood have opted to close during Salsa on St. Clair. Hannah also indicated in the one-page letter that support for Salsa on St. Clair among local residents has “declined markedly.” Decision ‘comes as no surprise’: organizer In a written statement provided to CP24, TLN Media Group, also known as Telelatino, said the response from the BIA “comes as no surprise” after the “invasion of the festival by reckless criminals on July 11, 2026.” Police previously said that there was an exchange of gunfire by two groups in the middle of the crowded street festival. Two men were killed in the violence, while six others were injured but survived. So far, no arrests have been made. “Our primary concern is the absolute safety and security of all participants,” TLN wrote. “To that end, since this tragedy, the City of Toronto’s Mayor’s Office has committed to working with the organizers and TLN Telelatino to address that concern and ensure the continuation of the festival.” TLN and Canada Salsa Festivals Project previously issued a scathing statement threatening to “discontinue (their) involvement” in the festival, if city officials did not “provide concrete commitments to enhance policing and security on and around St. Clair Avenue.” In a statement provided to CP24 on Tuesday, Ward 12 Coun. Josh Matlow said the Hillcrest Village BIA has “chosen to discontinue their relationship with Salsa’s organizers.” “As a community, we will focus on other ways to continue supporting the businesses on St. Clair Avenue West and celebrate Latin American cultures,” he wrote, calling the outcome “very unfortunate.” It is not immediately clear what effect the Hillcrest Village BIA’s discontinuation of its relationship with Salsa on St. Clair will have on the future of the festival. On July 20, a number of organizations came together for a roundtable with community experts at the Columbus Centre to explore ways to address the issue of gangs and gun violence. Salsa on St. Clair has run annually on St. Clair Avenue West since 2005 and typically draws more than one million visitors annually. It is part of a wider “Salsa in Toronto” banner, which runs a number of related events in the city.