Businesses across Melbourne are struggling to keep up with high rents and debts accrued during the pandemic, with advocates calling for a national ombudsman to help negotiations between commercial tenants and landlords.
In Williamstown, about 10 kilometres south-west of Melbourne's city centre, Lisa Malkin Hill helps run a family clothing shop that traded on Douglas Parade for 27 years.
Nearly a year later, their old shop remains vacant. It's not the only one in Williamstown, and it's a story that is being replicated across Melbourne, in high streets and in the city centre.Joe Carbone says he lowered the rental price he was asking for his storefront in Royal Arcade.His shop in Royal Arcade has been empty since just before the pandemic, when his tenant moved on.
In June, City of Melbourne data showed weekend foot traffic in the CBD was up 106 per cent on 2019 levels.During the pandemic, state and federal governments brought in special rules to protect tenants — they couldn't be evicted, and landlords had to negotiate on things like deferring rent.For lease signs are a common sight in Williamstown, in Melbourne's inner south-west.
"We encourage commercial tenants and landlords to work together and negotiate issues in good faith where possible," she said.
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