Hikoi potentially costing CBD businesses millions

Media release
Newmarket Business Association
Monday, 25 May 2009

Hikoi potentially costing CBD businesses millions

The head of the central city's rival business district says today's Super City hikoi and resulting traffic gridlock could be potentially costing the CBD's 5,000 businesses millions of dollars in lost revenue and productivity.

"Everyone has been told to keep well clear of the central city all day. This is terrible for CBD retailers and businesses who are struggling enough in an economic recession. Here we are in the sixth quarter of a nasty recession with a very gloomy government budget about to be delivered, and the country's commercial capital has effectively been forced to close for a whole day. The hikoi could not have come for a worst time for CBD businesses," says Cameron Brewer, head of the Newmarket Business Association.

"Some CBD retailers complain about disruption around the likes of Boobs On Bikes and the Santa Parade, but those events are minor in comparison to this. This is effectively an all day closure, with not even any positive press to make up for it. The hikoi's cost on the central city economy would almost have to be akin to a significant downtown power blackout.

"It's probably positive for places outside the CBD like Newmarket, but you have to feel for Heart Of The City. They've only just launched their $1.8 million "Big Little City, Open Daily" marketing campaign, yet just one week later and the central city is in complete lock down. The gates are truly closed," says Mr Brewer.

ENDS

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