Byron Bay recreation businesses could save thousands between them if rent relief approved

A group of businesses have asked the council for significant rental relief, to the tune of $30,000..

Go Sea Kayak Byron Bay is among a group of businesses that have requested rental relief from Byron Shire Council.

In the face of the “quietest winter trade in 14 years”, a group of recreation businesses have asked Byron Shire Council for significant rental relief.

This could see almost $30,000 in rental relief between them, if they are successful.

The council has also been asked to consider extending six-year agreements with those businesses by a further 12 months.

The issues will be considered by the council at its ordinary meeting on Thursday, August 26.

While the council has kept applications from individual businesses confidential, it has been revealed Style Surfing School Byron Bay, Rusty Miller and Cape Byron Seahorses Riding Centre have asked for a 100 per cent rent waiver “during border closures and lockdowns”, with their rent to be reinstated “when business becomes viable”.

Byron Bay Surf School Pty Ltd trading as Lets Go Surfing has meanwhile asked for the council to wave 100 per cent of its rent for the period from July 1, 2020 to March 28, 2021.

Byron Bay’s visitor economy has been severely impacted by the pandemic and it has taken a particularly brutal toll on businesses usually reliant on international tourism.

Go Sea Kayak Byron Bay Pty Ltd and Cape Byron Kayaks have jointly asked for a 100 per cent rent waiver from March 15 2020 onwards and their request has the backing of Destination NSW and Destination North Coast.

Surf shop Golden Breed has also asked for rent relief because of “business downturn due to current and ongoing domestic border closures.

Council staff have recommended in their report that the council delegate the matter to the general manager to negotiate appropriate rent relief with each party “for any period between 29 March and 31 December 2021”.

Alternatively, councillors may resolve to make their own determination for potential rent relief during the same nine month period.

According to rental data included in the council’s report, the relief could total up to $26,581.50 for that time period for the recreational businesses, excluding Golden Breed.

A representative of Crown Lands has written to the council to consent to the proposed 12 month lease extensions.

According to the report, businesses were expected to pay full rent as well as a contribution toward owed deferred rent from March 29 this year.

This was in line with previous resolutions by the council, involving a combination of waived and deferred rent relief to commercial surf schools, stand up paddleboard schools, sea kayak

sub-licensees and the Cape Byron Seahorses Riding Centre.

“While some Commercial Sub-Licensees obtained financial assistance from the NSW Government to compensate for loss of business during the Covid-19 lockdown, that

assistance in most instances, did not cover the total value of deferred rent owed,” the council report said.

The “continuing loss of business due to ongoing international borders closures”, impacts on domestic travel and “media coverage of Byron Shire beach erosion” which is “turning people away from booking surf schools and sea kayak tours” have been cited among the reasons for the rent relief applications.

Erosion on Clarkes Beach (pictured) and Main Beach in Byron Bay has been subjected to ongoing media coverage; some businesses say this has deterred potential customers and hurt their bottom line.

“A combination of the above issues has resulted in the quietest winter trade in 14

years,” the report said.

“With no advanced bookings and the total loss of core bookings from conferences,

weddings and schools due to Covid-19, Commercial Sub-Licensees are requesting (relief).”

In a letter of support of Cape Byron Kayaks’ application, Stephen Mahoney from Destination NSW said it was not his organisation’s role to influence local government decisions on business license policy, he would provide tourism statistics to support their application.

Destination North Coast general manager Michael Thurston backed the application, saying the state government’s Dine & Discover wasn’t benefiting many of the targeted businesses.

“Based on the important role that the sea kayak operators play in defining Byron Bay as a nature based destination and their ability to appeal to the international youth market that is crucial for the destination, DNC is supportive of their application for reduced or deferred licencing fees,” he said.

“Ensuring product offerings such as sea kayaking remain viable throughout this period until

international tourist return is vital for the rebuild process.”