Glitter strip venue wars wage as new bar’s $3 drinks spark price war panic

Operators on the Surfers Paradise nightclub strip are at war after a venue started heavily discounting booze. Official complaints are prompting intervention. See where it’s heading next

Operators on the Gold Coast’s main party strip want action from authorities to avoid economic ruin and intoxication dramas as a new player promotes heavily-discounted drinks.

Furious competitors say drink deals at $3 for a basic spirit - normally $12 a round - at Orchid Avenue nightclub Fabric will send everyone broke and have complained it potentially breaches responsible drinking rules.

The venue has been offering the deals for months, with a sign seen by the Bulletin promoting $3 basics “until 10pm every night!”.

Under the Liquor Act, a licensee or permit-holder is not permitted to advertise any promotion likely to indicate that liquor costs less than is usually charged. Further, a licensee or permit holder is prohibited from advertising free liquor, discounted liquor or the sale price of liquor for consumption on premises.

Fabric Nightclub advertises $3 drinks, a massive 75 per cent discount from normally priced drinks. Picture: Supplied

Surfers Paradise Licensed Venues Association and Safe Night Precinct (SNP) president Tim Martin said complaints against Fabric have been made and SPLVA was committed to ensuring a safe environment for patrons.

Outside of Fabric, the new nightclub in Surfers Paradise. Picture Glenn Hampson

Mr Martin, a longstanding manager with Artestian Hospitality venues in Surfers Paradise, said: “Complaints have been made by multiple venues with the SNP surrounding some of the promotions being conducted by Fabric nightclub.

“We are investigating those complaints and will liase with the appropriate authorities, as necessary, where we believe action should be taken,” he said.

Tim Martin President of the Surfers Paradise Licensed Venue Association and Safe Night Precinct. Picture: Jerad Williams

Artesian Hospitality managing partner Matt Keegan, with multiple Surfers Paradise bar-restaurant and nightclubs in its stable, said unsafe promotions and practices were always a concern for Surfers venues.

“As a group of different venues we all compete, but there’s a line and we expect a fair playing field.

“When people are doing the wrong thing, it’s something we expect the authorities such as [Office of Liquor and Gaming Regulation] or council to deal with and we expect they will,” Mr Keegan said.

It’s understood OLGR has arranged to meet Surfers operators in the coming week to discuss drink deals and other issues.

One Surfers Paradise bar operator claimed: “It is getting silly and out of hand with some of discounts happening.”

Cocktails nightclub owner and 35-year Glitter Strip veteran Lino Girardi said May and June were the hardest months, with Fabric potentially resorting to the $3 deals in “desperation”.

“Business is tough, there’s just not enough people around. Maybe some venues resort to doing those things (cheap promotions) in desperation.”

Mr Girardi said the promotion did bother him but was not sustainable.

“You have to get quite a few hours at full-priced trading to pay all our costs and everyone is in the same boat,” he said.

“Our costs have gone up between insurance, music licences, and all that our costs are high.”

Cocktails and Dreams owner Lino Girardi.

Hallmark Hospitality, another giant with five night-life venues and one restaurant in Surfers Paradise declined to comment on the bar wars.

Division 10 councillor Darren Taylor said examining drink deals was the state Office of Liquor and Gaming Regulation’s responsibility but council hoped regulators “crack down” to ensure any rule breaches ceased.

“That just encourages volumes of drinking which obviously leads to other concerns that could happen from being intoxicated,” Cr Taylor said.

Owner of Fabric Nightclub Dave O’Connell at the Dog and Duck in Adelaide. Picture: MATT LOXTO

“It’s important liquor licensing manages that.”

Fabric operator David O’Connell has been contacted for comment.

Mr O’Connell is better known in Adelaide’s hospitality scene as operator of the Dog and Duck plus steak pub Little Hunter. He was also director of a company that took over three venues operated by a long-term friend in Adelaide - Mr O’Connell’s company took over after the former operator was evicted over unpaid rent.

Fabric Nightclub launched in May last year in the Orchid Ave hotspot previously occupied by Artesian’s infamous SinCity.

Originally published as Glitter strip venue wars wage as new bar’s $3 drinks spark price war panic