Incentives to get retailers using vacant shops

jennygirl

Incentives to get retailers using vacant shops
Tuesday, October 15, 2013
Retailers are to be given financial incentives to occupy vacant shops in Waterford as part of a €600,000 drive to revitalise the city centre.

http://www.irishexaminer.com/ireland/incentives-to-get-retailers-using-vacant-shops-246291.html

Geuze

Why don't the rents fall due to excess supply?

If there are a lot of empty units, then clearly rents are too high.

Capitalism and free markets should mean that rental rates fall sharply, allowing new retailers to open up.


I wonder who might be against rents falling?

Max Powers

all sounds positive to be fair. i hope they have the 600k they are talking about and hopefully they can stretch it far

Speak Now

City council rates are a killer, a new rates exemption for arts and craft studios selling locally-produced items in small, previously vacant retail outlets would be very positive.

mozattack

If someone gave me a unit free of rent I wouldn't even take it.

- rates are a shocker
- insurance is high
- light & heat is high
- the hiring and firing aspect is too bureacratice
- a self-employed person pays €1,650 more income tax than an employee based on €20k profits (more than double income tax)

=> not worth it

Max Powers

mozattack wrote: »

If someone gave me a unit free of rent I wouldn't even take it.

- rates are a shocker
- insurance is high
- light & heat is high
- the hiring and firing aspect is too bureacratice
- a self-employed person pays €1,650 more income tax than an employee based on €20k profits (more than double income tax)

=> not worth it

too negative, there are plenty of people making a go of it already, making it worthwhile, rewards are there, no one is saying it aint difficult thats why people who start a business are brilliant.

jennygirl

We need to do it for ourselves in this City -
i came here at the tender age of 16, but love Waterford.
its where i grew up, love the people, the City.
please be positive about this venture,
it takes a lot to get these decisions made.
i can see all the vacant shops being filled with incentives like this.
More Shops = more people = more parking = more revenue for council = better looking city = happier population = great place to live, work & socialise!

beazee

jennygirl wrote: »

More Shops = more people = more parking = more revenue for council = better looking city = happier population = great place to live, work & socialise!

Will the fact there's less vacant places in the city get you on spending more?
The reason for empty windows is lack of customer spending.
no spending = no money to run the business = business wrapping up = empty windows

looksee

It must be very sickening for the people who have been forced out of premises by high rent and rates to see the same premises being let, in some cases rate-free, with subsidies to fit them out.

jennygirl

looksee wrote: »

It must be very sickening for the people who have been forced out of premises by high rent and rates to see the same premises being let, in some cases rate-free, with subsidies to fit them out.

agreed - but here is an opportunity to re-enter the market -
ladies ive talked to go to Kilkenny and Wexford for clothes - the incentives are to bring these shops to Waterford

Dicky Pride

I'm sick of seeing that big Waterford Utd V Crystal Palace sign in the old swamp shop (I think it was swamp anyway). A prime location in the heart of the city centre and it's wasting away. Desperate.

Max Powers

Dicky Pride wrote: »

I'm sick of seeing that big Waterford Utd V Crystal Palace sign in the old swamp shop (I think it was swamp anyway). A prime location in the heart of the city centre and it's wasting away. Desperate.

doesnt look great alright, you would think that the owners would get rid.

Odats

For all the good that these incentives are being introduced I would like this money not to be given out willy nilly and for the sake of putting someone in a unit just to have it occupied.

For me personally (putting my accountant hat on) I would like the funds to be spent accordingly:

• Ascertain viable business opportunities in Waterford and local surrounding areas and allocate a grant of say €1,000 - €2,000 to draw up viable business plan or engage local accountancy practices through the Chamber of Commerce to offer advice as part of the scheme. 3 year business plan with cashflow forecasts etc
• A committee would be set up to review these applications and would assess the viability. (A craft shop might be lovely but will it survive after the grants have been taken away).
• An interview would be held also with the potential applicant. I would ask him/her tough but fair questions, his/her knowledge of running their own business, basic VAT,PAYE/PRSI (these are key things in running a business). How would they deal with a situation of having not enough cash in the bank to make payroll on a Thursday.
• Assign a mentor to help them with setting up would be a great idea.

These are some off the cuff ideas on my end and I would love to see my city do well and would love to join a committee to sit down and discuss this further with anyone who is involved. Please PM me and I can discuss further and would be willing to help pro bono.



We all want this €600K invested to grow our lovely city but we could easily squander it if we don't invest in the right people and most important the right businesses.

Smiley Burnett

1---give a rates-rebate to businesses who invest in renovating/painting their premises (particularly the upper stories)...

2--Waterford chamber of commerce should introduce a similar-type Christmas voucher/bonus scheme in Waterford city as they do in dungarvan i.e. as a Christmas bonus, employers give vouchers (of any value) to their employees that can be spent in any participating shop/business in the area....I reckon this would see up to a MILLION EURO go directly into the retail sector in Waterford. (In dungarvan alone in 2012 the figure was 200,000 euro).....

Max Powers

Odats wrote: »

For all the good that these incentives are being introduced I would like this money not to be given out willy nilly and for the sake of putting someone in a unit just to have it occupied.

For me personally (putting my accountant hat on) I would like the funds to be spent accordingly:

• Ascertain viable business opportunities in Waterford and local surrounding areas and allocate a grant of say €1,000 - €2,000 to draw up viable business plan or engage local accountancy practices through the Chamber of Commerce to offer advice as part of the scheme. 3 year business plan with cashflow forecasts etc
• A committee would be set up to review these applications and would assess the viability. (A craft shop might be lovely but will it survive after the grants have been taken away).
• An interview would be held also with the potential applicant. I would ask him/her tough but fair questions, his/her knowledge of running their own business, basic VAT,PAYE/PRSI (these are key things in running a business). How would they deal with a situation of having not enough cash in the bank to make payroll on a Thursday.
• Assign a mentor to help them with setting up would be a great idea.

These are some off the cuff ideas on my end and I would love to see my city do well and would love to join a committee to sit down and discuss this further with anyone who is involved. Please PM me and I can discuss further and would be willing to help pro bono.



We all want this €600K invested to grow our lovely city but we could easily squander it if we don't invest in the right people and most important the right businesses.

id say the enterprise board and other various groups already do all of those things

tankbarry

I think the rent's and rates have to be looked at first. The idea of giving a rebate or something like that to shop owner's who do up the front of there property would be a good idea.


I went into town the other day to search for a pair of jean's and a couple of tops to be honest there ain't much in there and the prices are too high I am not surprised people are going to other places.

Finnbar01

Geuze wrote: »

Why don't the rents fall due to excess supply?

If there are a lot of empty units, then clearly rents are too high.

Capitalism and free markets should mean that rental rates fall sharply, allowing new retailers to open up.


I wonder who might be against rents falling?

I think it's something to do with upward only rent reviews written into contracts.

These contracts are of course legal binding and a lot of business owners find themselves struggling trying to pay these Celtic Tiger rental rates.

sandin

Its not rents stopping people as rents have fallen to the floor - but rent is only one aspect.

Even the other costs involved such as rates, utilities and staff are not most important, what is important is turning your stock so that you can buy new stock which in turn makes your shop a shop people want to visit.

Unfortunately too many out of town shops were built in Ireland and allowed by councils who wanted more and more rates. Problem is they did not look at what would happen to the town centres - exceptions are Kilkenny, Killarney & Sligo (probably more) . Interesting to see that Kilkenny, Killarney & Sligo are bustling towns, even in recession!

Smiley Burnett

Waterford and Tralee are the 2 best examples in Ireland of giving people what they want, whilst at the same time partially destroying the town centre....out of town centres at ardkeen/butlerstown/lisduggan is where the action is in Waterford....BE CAREFUL WHAT YOU WISH FOR--YOU MIGHT JUST GET IT!!!!.....
Traditional pubs in Waterford were left to die away and replaced by nightclubs that catered for students and late night revellers...locals now keep away from city centre at weekends...

Max Powers

sandin wrote: »

Its not rents stopping people as rents have fallen to the floor - but rent is only one aspect.

Even the other costs involved such as rates, utilities and staff are not most important, what is important is turning your stock so that you can buy new stock which in turn makes your shop a shop people want to visit.

Unfortunately too many out of town shops were built in Ireland and allowed by councils who wanted more and more rates. Problem is they did not look at what would happen to the town centres - exceptions are Kilkenny, Killarney & Sligo (probably more) . Interesting to see that Kilkenny, Killarney & Sligo are bustling towns, even in recession!

these are all a lot smaller than Waterford and never had suburb neighbourhoods like Waterford has and does.

Junior

Smiley Burnett wrote: »

Waterford and Tralee are the 2 best examples in Ireland of giving people what they want, whilst at the same time partially destroying the town centre....out of town centres at ardkeen/butlerstown/lisduggan is where the action is in Waterford....BE CAREFUL WHAT YOU WISH FOR--YOU MIGHT JUST GET IT!!!!.....
Traditional pubs in Waterford were left to die away and replaced by nightclubs that catered for students and late night revellers...locals now keep away from city centre at weekends...

Action in Lisduggan ? I'll have whatever you're smoking lad.

Finnbar01

Re-reading this, I actually don't think it is a good idea. It will give an unfair advantage to newcomers. Why not reduce the rates across the board for both existing and new businesses?