Greed killing the shopping centre?

[davidc4430]

Retail rents squeeze small stores out of shopping centres

https://www.abc.net.au/news/2020-02-20/retail-rents-squeeze-small-shops-out-of-shopping-centres/1198...

when i was young if you wanted to go to the big stores you went to 'town' on the bus

then drove into town in your nice car, and parked for free!

then the city got greedy, started chaging for parking.

people began moving their shopping to the  new satelite shoping places like Westfields

same stores and free parking again.

in recent times these satelite shopping centres have been going down the same greed path as the city did

placing restrictions on parking with some now charging for parking.

also raising rents to the stores to the point they were going broke.

now you walk through these centres and see multiple empty spaces.

i asume as no one rents these spaces those remaining get a rent hike to cover the losses.

my very local all new all singing shopping centre that promised a nice Foodland store plus a group of 'specialty' stores, has in the 5 years its been open never fully occupied.

most of the 'speacialty stores' have never materialized

i bet the rent is a major hold back

[zanadoo_56]

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@davidc4430 wrote:

when you hire children your going to get some who dont have much in the way of how to treat a customer

but then again mcfatburgers is prolly the place you get some of the worst customers.

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The shoddy service at my local Maccas includes slow wervice, bad food, incorrect orders, missing items.....and extreme abuse to customers from a manager who ISN'T a child (but behaves like one).

[*kazumi*]

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@the4masters2013 wrote:
A bakery went out of business Christmas before last.
The rent was $1000 per week...good exposure etc but remembering that this is Bathurst!

Needless to say, the shop was empty right up until last Christmas.

So the owner changed the rent..it is now $1500 per week.

The shop remains empty. Give it time and the rent will go up again.

Surely some rent is better than nothing?

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Yes, you would think so, but a very successful businessman once explained it to me as a smart move.  I still did not get it.  If I owned shopping centre I would rather let somebody to have a shop for free than have it sitting there empty. 

[ambercat16]

Apparently the value of a commercial rental property is based on the rent asked for the property.  

https://insideretail.com.au/featured/why-so-many-shops-sit-vacant-201909 

[*kazumi*]

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@ambercat16 wrote:

Apparently the value of a commercial rental property is based on the rent asked for the property.  

https://insideretail.com.au/featured/why-so-many-shops-sit-vacant-201909 

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Yes, that is right, that was what he was saying.  I still do not unertand what does it have to do with anything;  if somebody wants to buy it and they see it has been empty for the pat 6 months, they woul quetion the "value"?  Wouldn't they?

[lionrose.7]

I cant be bothered shopping at malls any more, I was going to buy a new dress to cheer my self up and all I found was a load of ugly clothes

Dull colours or flowers all over them, half of them look like they had been washed 6 times.

So back to the OP shops where I can find some thing unusual and with colour

[myoclon1cjerk]

More shops to close.

https://thenewdaily.com.au/finance/consumer/2020/02/21/colette-retail-closures/

https://thenewdaily.com.au/finance/finance-news/2020/02/21/david-jones-stores-closing/