NightQuarter warned council it was being killed off by its free music program
NightQuarter warned the council before closing that its ramped-up rival live music program funded by ratepayers was “catastrophic” for commercial operators.
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NIGHTQUARTER warned the council before closing at Helensvale that its ramped-up rival live music program funded by ratepayers was “catastrophic” for commercial operators.
The Bulletin has obtained a letter of complaint from NightQuarter managing director Ian Van Der Woude sent to CEO Dale Dickson in December, two months before the music and food hub closure due to doubling rents.
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He said NightQuarter was facing increasing competition from council-funded and sponsored music events after City Hall ticked off on an annual budget of $20 million to the alliances and $90 million for HOTA for the next few years.
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Mr Van De Woude said NightQuarter had more than 80 stallholders, employed more than 400 staff and paid $60,000 in rates.
The council had “morphed the (live music) strategy into a large commercial business that competes unfairly with other operators like ourselves”, he wrote.
“I am concerned that should the activity go unchecked, or based on current plans, continue to ramp up, then the disruption to the music and event industry will have a catastrophic longer term effects for the Gold Coast,” Mr Van Der Woude wrote.
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The council was warned that “the customer’s perception of the economic value of live music becomes distorted” due to free events like Blues on Broadbeach.
Numbers at NightQuarter would be down by 500 to 750 people per night during Blues and it could not host similar acts for a two-to-three-month period.
NightQuarter had booked Kate Cerebrano for a concert in November 2016 and “found it very difficult to sell tickets for around $40” only to discover council had booked the Aussie singer for the Lord Mayor’s Christmas Carols a few weeks later.
The Summertime Sessions in the Village featuring local buskers, while on a smaller scale, had an impact leading to a complaint about Mudgeeraba councillor Glenn Tozer, who hosts the event.
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“It is held on Friday’s between 5.30pm and 7.30pm and directly takes away patrons from the southern end of our trade catchment area. We notice our door numbers decline when he hosts this event,” Mr Van Der Woude said.
Cr Tozer strongly rejected the claims, saying Summertime Sessions attracted about 80 people who were later encouraged to visit NightQuarter, which he attended on occasions.
“One of the reasons we host the sessions is to activate the Friday night economy in Mudgeeraba village,” Cr Tozer said. “The feedback from local businesses has been generally positive.
“It’s remained a small, effective event for the Mudgeeraba community, and any suggestion it could ever deliver a commercial impact to a venue 25 minutes north of Mudgeeraba is pretty questionable.”
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Mr Van De Woude in the letter wrote: “Our venue has never received any council or government financial support and has been totally funded by just me and my wife, Michelle.
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“We have put our life savings on the line to create this business venture. I believe that what GCCC is now doing in the entertainment and event space amounts to unfair competition and potentially could be in breach various competition legislation …”
A city spokesman told the Gold Coast Bulletin: “The City is very proud to support live music on the Gold Coast and is committed to providing family-friendly, low-cost events for our community. We strongly deny suggestions the City is acting inappropriately in this matter.”
Mr Van De Woude said the lack of a direct response from Mr Dickson had been “frustrating” as the complaint was handed to junior officers.
Complaints officers this month said a review regarding the complaint on “competitive neutrality” had begun but no time line could be given.
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