Banks, rents and rates still problems for Oakleigh traders

More than a month after Victoria’s coronavirus-induced lockdown, some Oakleigh businesses, including Greek traders, are still negotiating with banks, landlords and government over loan repayments, rents and rates. But the Oakleigh Village and Traders Association (OVTA) president and owner of Kentro restaurant in Eaton Mall, Anna Sfrantzis, said although business was bad, things were being done to ease the financial burden.

“They should get at least 50 per cent off rents,” Ms Sfrantzis said. “All of the traders are struggling.”

Ms Sfrantzis encouraged landlords and tenants, each facing their own financial pressures to negotiate and come up with solutions eg. tenants paying 50 per cent now and the other 50 per cent in 24 months time, etc. As president of the OVTA, she has already invited traders to see her with their concerns or the council regarding council issues.

The association represents 360 businesses in Oakleigh of which about half are Greek, and it stands as a  conduit between traders and Monash Council. The businesses represented by the organisation are situated in a wide geographical area around Oakleigh and range from professionals, IT, retail and restaurants.

When Neos Kosmos visited Oakleigh’s large strip shopping area on Thursday, 30 April, from 1pm to 5pm, traders who did not want to be named said some banks were not being lenient on repayments and Monash Council was not being lenient with rate fees. They said they were still in discussion with both the bank and the council to work out a solution. Other traders said nothing had changed since the start of the lockdown regarding securing rent relief, and they were still locked in discussion with real estate agents. Some traders said the Federal Government’s Jobkeeper payment of $750 per week for every employee was not what it seemed and the payment had to come first from the employer’s own money.

Ms Sfrantzis said most landlords would have paid the last instalment for 2019-2020 council rates by now with the 2020-2021 not yet issued.

For the balance for 2019-2020 rates and next year’s rates, Monash Council is deferring payment without penalty interest.

In written responses to questions by Neos Kosmos, Monash Council Mayor Stuart James said it was a difficult time for ratepayers and the council was there to support them. He encouraged commercial ratepayers to also access federal and state government support.

“Council has not yet made a decision on waivers of rate payments,” Mr James said.

READ MORE: Oakleigh Greek traders optimistic as more shops reopen

“The deferment scheme has been heavily subscribed to already with many ratepayers (residential and commercial) taking advantage of the deferment for the fourth instalment for 2019/2020”.

He said this in effect meant a 14-15 month deferral for commercial ratepayers.

Mr James would not say if commercial rates would decrease for the 2020/2021 year.

“Council will consider all financial impacts of COVID-19 when it drafts the 2020/2021 annual budget,” he said.

Mr James said he encouraged all traders to contact the council directly to discuss their circumstances and to subscribe to the council’s newsletter, while adding that the council also had campaigns to improve business.

Ms Sfantzis said Monash Council was helping out with fees through initiatives such as the suspension of footpath trading fees (outdoor seating) from 1 March or issuing refunds.

When Neos Kosmos spoke to Ms Sfantzis she was waiting to get the Federal Government’s Jobkeeper payment on 4 May, and had four days until 8 May, to repay workers. She said the pay period was 25 March to 8 May.

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She said Oakleigh shops were multicultural and included Greek, Korean and Japanese-style shops with businesses feeding of each other to bring in business. As such, she added that it would be beneficial for trading rules to open up a little while she also expressed gratitude for customers coming in. “They don’t have to stay at home,” she said.

“They can came here. They just can’t sit outside.”

Ms Sfrantzis said Kentro had lost 99 per cent of its trade.

“Of course,” she said. “I’m selling just coffee and biscuits. What about the rest of the business? There is no trade with wine, meals.”

Neos Kosmos reported on 30 March that traders were asking for rent and land tax relief in the wake of the federal government’s crippling trading restrictions designed to stop the spread of coronavirus. The paper also reported that landlords didn’t want to see their shops vacant, with most willing to negotiate rent relief measures.

• Anna Sfrantzis has proposed a meeting of all Oakleigh traders to discuss their concerns and is calling for registration of interests by visiting her restaurant (Kentro, 27-29 Easton Mall, Oakleigh)