RIVERLINK traders have raised concerns about job losses and further financial pressure as Ipswich City Council offers a suite of incentives to attract tenants to its $250 million CBD redevelopment.
The shopping centre called a meeting with tenants last week to discuss flood damage and concerns on Ipswich City Council’s plans for the Nicholas Street Precinct.
Riverlink is facing a $3 million damage bill from last month’s floods after waters inundated the car park damaging the escalators into the centre.
At the meeting on Tuesday last week retailers still recovering from the effects of Covid-19 restrictions raised concerns about favourable lease agreements offered by Ipswich City Council, including offers to attract a cinema operator as the anchor tenant for the council-owned shopping centres in the Nicholas Street Precinct.
Riverlink centre manager Jamie Sneyd said retailers were concerned that the council was proposing to duplicate the Riverlink retail offering in the Ipswich CBD redevelopment.
“The proposed Ipswich CBD uses will directly compete with Riverlink’s offering directly across the river, and will continue Council’s pattern of competition with Riverlink and other existing Ipswich CBD retailers,” Mr Sneyd said.
“This duplication will have a significant impact on Riverlink’s businesses and their staff, and will lead to job losses and exacerbate financial and personal stress.”
Mr Sneyd said Covid-19 and its impact on the economy had been significant and as restrictions were in place there had been a substantial shift in the way people shop with online and click and collect continuing to erode foot traffic in shopping centres.
“The arrival of Omicron was unexpected and the outbreak has had a considerable impact with major disruption to retail,” he said.
Mr Sneyd said in the current climate retailers were struggling to survive and current consumer confidence revealed a 7.6 percent decline, the lowest level for January since 1992.
“With Stage 1 and 2 of the Ipswich CBD redevelopment complete, we understand the focus is now on creating 20,000sqm of food, leisure and retail space that has been released to market with offerings including traditional inline restaurants and a historic hotel,” he said.
“With a Chinese owned entity as the cinema anchor and food tenancies for the mixed-use high street, this offer is in direct competition with local retailers who are trying to recover from the worst trading period in recent times.
“High level discussions with Riverlink Shopping Centre’s Entertainment and dining retailers including Café 63, Rashays, iPlay and Limelight Cinemas reveal grave concerns over increased competition in an everchanging retail environment and how the next wave of Covid mutation may impact on trade.
“Ipswich residents, Riverlink retailers and the landlord all want to see the CBD succeed and be a destination to our wider community; however, the offering needs to be varied and designed to complement local competition, not cripple current offerings in the local market.”
