The adult movie store at the corner of Waverley and Beecroft Streets, Waverleys Road, was engulfed by flames early on Wednesday.
Firefighters arrived at the scene shortly after 11.30am and were working to put out the blaze, which they described as a controlled inferno.
“It’s a really sad day for the Waverlys and for all the people who live in the neighbourhood, we hope it won’t become a tragedy for anyone in the area,” said Waverly Neighbourhood Councillor John Wylie.
“There are a number of young people and families who live down the road and it’s a big loss for everyone.”
Police say the fire was a controlled blaze.
More to come.