Empty shops are a sign of the times in once-thriving shire areas

Clark Rubber at Caringbah, which was packed with stock for the busy Christmas period, closed suddenly late last year.

A notice on the door said the business was being liquidated. Since then for lease signs have gone up.

The owner, who had another Clark Rubber store at Mascot that closed at the same time, declined to be interviewed.

Michel's Patisserie, Gymea, shut its doors without warning last month, with the leasing agent stating in a notice the locks had been changed and any attempt to enter would be seen as breaking and entering.

The agent declined to comment and attempts to contact the franchisee were unsuccessful.

But another store owner said the business could not afford to undertake a major upgrade required by the franchisor.

Many shop owners at Gymea complained of financial hardship during the protracted upgrade of the centre, which led Sutherland Shire Council to announce a review of the way it would carry out such projects in future.

Peter Kittos, who operates a tyre business next door to the former Clark Rubber store, said business conditions were challenging.

"I think the overheads just killed him," he said.

"[The leasing agent] is asking for $200,000 a year in rent, which is a heavy whack.

"It's very hard to make a profit when you are paying that much."

Mr Kittos bought his Good Year Autocare franchise eight years ago.

‘‘It was originally a Good Year company property before it was sold to Trent Tyres and I bought it off them,’’ he said.

‘‘It’s a good business and we are busy all the time but it is very hard to make a profit when the overheads are so high.

‘‘The rents are crazy — we are paying $15,000 a month.

‘‘Over the past eight years, I have seen businesses come and go and the majority of those that have gone have just found the overheads too high.’’

Mr Kittos is looking for new premises following the recent sale of the property. A development application has been lodged for an apartment block, with shops at street level.

Several shops in prime locations at Gymea and Caringbah shopping strips have been unoccupied for extensive periods. Disruption caused by the Gymea centre upgrade has now passed but agents have been unable to find new tenants for two long-vacant shops close to the main pedestrian crossing.

It’s a similar story at Caringbah, where there are several vacant shops, including large premises opposite the railway station, which for decades housed a camera shop. At the end of the strip, Aldi has yet to lodge a development application for the run-down Caringbah Marketplace site it bought last year.

A spokeswoman said Aldi was awaiting gazettal of the Sutherland Shire local environmental plan, expected in March.

SMALL BUSINESS SURVIVOR

Ross Maiorana is a small business survivor.

He opened Knockout Shoes at Engadine in 1978 and he and his wife Giovanna, who works in the store, have no thoughts of quitting.

The latest expansion of Westfield Miranda, including several new shoe outlets, has increased the challenge.

While stores in the complex were offering big discounts on school shoes in January, the Maiorana shop in Station Street was selling them at the recommended retail price.

‘‘The big shops make it hard but we keep our customers because we have been here for 36 years and we give personalised service,’’ Mr Maiorana said.

‘‘We make sure every pair of shoes we sell fit the customer. I am proud to see second and third generation customers.’’

He said while business conditions were ‘‘pretty tough out there,’’ he believed Engadine shopping centre had improved and was retaining customers.

‘‘There are a lot of home units coming in and new shops have opened,’’ he said.

Sutherland Shire’s largest chamber of commerce said trading conditions varied. Miranda & Districts Chamber of Commerce spokeswoman Joanne Ryan said its survey early last year found a majority of respondents felt conditions would improve in 2014.

‘‘Yet, we can see that conditions in the local area remain relatively patchy,’’ she said. ‘‘While high-profile closures [such as] Toyota receive publicity, we are also aware there are many small business owners who quietly close their doors. Their closure impacts the local economy in several ways including loss of local jobs.’’

Ms Ryan said that when Planning Minister Pru Goward released the strategy — A Plan for Growing Sydney — late last year, the chamber was ‘‘surprised and disappointed’’ the document failed to provide targeted economic and jobs-growth strategies for the shire.

‘‘At a local level, while we are pleased that the LEP (local environmental plan) has now been finalised, we also believe a co-ordinated approach to planning and infrastructure is key to future growth opportunities and that involves legitimate co-operation between multiple levels of government,’’ she said.

‘‘The shire is often promoted as a great place to live and a beautiful tourist destination but it also needs to be promoted as a place that supports business innovation and growth. That’s not really happening at the moment. Things need to change because the local economy and local jobs depend on it.’’

Ms Ryan said chambers of commerce in the region supported a political forum to quiz March 28 state election candidates about plans to support local business and jobs.

Bookings: mdcc.com.au

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