COVID-19: Country pubs desperate for easing of restrictions as two go into liquidation
Adrian Prosser’s dream of running the Meadows Hotel has turned into a nightmare after bushfires and a global pandemic. As two other pub operators go into liquidation, he says it’s time to lift COVID-19 restrictions.
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The state’s country pubs are eagerly awaiting the easing of COVID-19 restrictions, with two operators falling into liquidation within a week.
While the South Aussie Hotel in Mount Gambier has reopened under new ownership, the doors to the Pier Hotel in Milang are likely to remain shut after liquidators were called in on June 12.
The Lake Alexandrina town’s only pub had recently undergone a refurbishment, but according to liquidator Tim Clifton, was driven to closure due to the severe restrictions on trade.
John Langford has been selling pubs in regional SA for more than 40 years.
He said many country pubs were struggling with ongoing COVID-19 restrictions, but was confident they would bounce back once restrictions were eased.
“In many cases those country hotels that are partially open are doing it for the benefit of local residents - yes they’re selling take-away food and drinks, but profit is minimal,” he said.
“For small hotels the 4sqm rule is just not financially viable. Everyone’s desperately waiting for the government to declare the full reopening of pubs.
“I believe once that happens they’ll bounce back fairly quickly. We’re creatures of habit - we go to the pub to socialise with our family and friends and there’s no reason for that to change post COVID.”
The closure of the Pier Hotel comes as the Australian Hotels Association steps up its campaign to allow one customer per 2sq m of venue floor area, up from the current restriction of one customer per 4sq m.
“We have hit the winter doldrums, and also this won’t change until the state borders open up on July 20, when it warms up in September and also when international tourism resumes next year,’’ AHA chief executive Ian Horne said.
Speaking after the release of an OTR Global survey of 48 SA accommodation properties, Mr Horne said the state’s accommodation sector was “on life support” and would not be revived until spring.
“In May last year before coronavirus, businesses recorded room occupancy of 77 per cent, and this May it was 21 per cent,’’ he said.
“Last May they were getting revenue of $113.68 per room per day, and this May $22.28.”
Adrian Prosser’s dream of running his own pub turned into a nightmare last December when he took over the Meadows Hotel in the Adelaide Hills.
He said small venues like his had been hit hardest by the COVID-19 restrictions.
“The first week we rolled into the bushfires and then obviously this (COVID-19) happened so it wasn’t the ideal start,” he said.
“We were lucky to have a bottle shop and we started doing takeaway food - we’re back open now under the one per 4sqm rule but we don’t have a big beer garden and we haven’t got a large area so we’re still restricted.
“On Saturday nights we’re turning 15 to 20 people away for dinner because we just don’t have the room.
“It’s getting to the point where 5000-plus are going to a football game, 300-odd for larger venues - I strongly believe it’s time to lift the restrictions.”
While the Federal Government has implemented temporary measures to protect businesses from being “unnecessarily” pushed into insolvency, Mr Clifton believes the retail and hospitality sectors are most at risk when the measures end in September.
“Certainly insolvencies are down at the moment - we’ve seen some businesses saying they’ll wait and see until JobKeeper runs out,” he said.
“I think there will be an uptick later this year but I’m not sure it will be the Armageddon that everyone’s talking about.”
