During the COVID-19 crisis shopping centres have remained open, with many experiencing spikes in foot traffic due to increased supermarket and food spending. On Sunday night, the Federal government announced that the following facilities will be restricted from opening from midday local time today, 23 March 2020 affecting many retailers and venues in shopping centres. The restrictions were bought into place to provide greater enforcement on social distancing.
The following operators will need to close from midday today:
• Pubs, registered and licenced clubs (excluding bottle shops attached to these venues), hotels (excluding accommodation)
• Gyms and indoor sporting venues
• Cinemas, entertainment venues, casinos, and night clubs
• Restaurants and cafés will be restricted to takeaway and/or home delivery
It is envisaged the closure of other categories will be considered under stage 2 restrictions, if necessary, as the health crisis worsens. In the meantime, shops remain open, but people are being told not to congregate there, i.e. in foodcourts, and continue to observe the social distancing rules.
The Shopping Centre Council of Australia (SCCA), issued a media release on the weekend welcoming the Federal Government’s $66 billion stimulus package and support for small to medium-sized businesses confronting the impact of COVID-19 disruptions on their businesses and said the Council was committed to providing further support to retailers.
SCCA Chairman Peter Allen said: “We are working closely with the Federal Government and financial institutions to develop a suite of further measures that will support our retail partners as they navigate through this unprecedented period.”
Allen said, “We are pleased the Federal Government’s initiatives and financial support are aimed at stabilising Australian business through this volatile period especially our nation’s ‘mum and dad’ small retailers.
“Our industry understands the economic shock that COVID-19 is having on the economy and especially retail. We are committed to playing our role in helping our retailers to get to the other side. This includes both financial and non-financial measures. At this time it is vital that the business community and government work together to support cashflow and jobs across the economy.” he said.
“We know small to medium sized retailers are more vulnerable and our members are already working to help their retail partners at this exceptionally difficult time,” Allen said.
With acknowledgement of a ‘difficult time’ for retailers, shopping centre owners and landlords will need to band together to help the struggling retail sector across the board. Like a lot of industries, retail will be greatly affected.
Charter Hall, Mirvac, GPT, HomeCo,Vicinity Centres and Scentre, have all announced withdrawals of their FY20 earnings and distribution guidance.
