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Bombshell report: Surfers Paradise can no longer attract five-star tourists and must rely on locals

A bombshell report submitted to council has revealed the challenges facing Surfers Paradise - now we can tell you the good, the bad and the ugly when it comes to the city’s tourism hub.

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A NEW report to council found what was wrong and what was working for Surfers Paradise. Here is the list showing the good, the bad and ugly about Australia’s most famous holiday beach. The sources are a council report and RPS Group consultant research.

THE GOOD:

● Surfers was improving before COVID struck and can improve in a commercial sense. From July 2019 to January 2020 the precinct was showing signs of new business investment and addressing long term problems.

● About 41 per cent of tenancies are considered to be in good condition. The dominant sector is the nightclub industry — 10 of them occupy 31 cent of floor space. The number of bars and bottle shops has increased.

Surfers Paradise. Picture: Tertius Pickard
Surfers Paradise. Picture: Tertius Pickard

● Surfers enjoys a “dominant” day-time and night-time economy. In 2016, new liquor and licensing laws were introduced. Four nightclubs and restaurants closed. After restrictions were lifted, two reopened in 2019 and more rooftop bars have been built since.

● Light rail allows people to travel with ease to the precinct.

THE BAD:

● COVID-19 will delay the redevelopment of amalgamated sites and other properties with current planning approvals. Consultants concluded coronavirus “has undoubtedly set the evolution of Surfers Paradise back by several years”.

● A surplus of retail floorspace. The major centres developed in the 1980s and 1990s lack a critical mix of shops and are located where there is poor pedestrian flow.

● Several important parts, like Soul, the Hilton and Circle of Cavill, are uncomfortable due to wind tunnels.

THE UGLY:

● The increase in vacant shopfront and reduction in pedestrian traffic.

● About 32 per cent of shops operating on restricted hours.

Picture: Tertius Pickard
Picture: Tertius Pickard

● The prediction that the peak of this downturn will not be observable “until 12 to 18 months after the end of the major COVID 19 restrictions when international and national travel starts up”.

● Too many projects are isolated and lack appeal, which does not encourage residents to visit.

EARLIER:

SURFERS Paradise cannot attract five-star tourists and must win back locals to survive, a new report to council warns.

In bombshell economic findings, consultants conclude that Australia’s hottest tourist destination has lost out to rivals Broadbeach and Brisbane which boast upgraded casino-hotel projects.

Heart of Surfers Paradise - photograph from a new council planning report.
Heart of Surfers Paradise - photograph from a new council planning report.

“Surfers Paradise has abandoned all pretence of catering for the five-star market with other local, regional and national destinations preferred,” the RPS report says.

Councillors who discussed the research behind closed doors were told that unless Surfers Paradise secured a casino, chasing the top-end tourist market was “fruitless”.

The Coast’s tourism heart for the past 50 years had catered for nightclubbers, international and domestic “mid-market tourists” and event attendees.

Quiet streets at Surfers Paradise.
Quiet streets at Surfers Paradise.

“Lacking a major specific investment — and possibly an up-market casino — Surfers Paradise will not be able to draw that market back from Broadbeach (The Star Casino and Pacific Fair), Brisbane and other major destinations,” the RPS report says.

“Nor should it try. Any planning and marketing for Surfers Paradise should embrace the strengths of the traditional markets and not fruitlessly chase a fickle five-star market.”

New area councillor Darren Taylor, who is working on a plan to revamp and revitalise Surfers Paradise, acknowledges the findings but disagrees about not chasing big-spending tourists.

Council planning study area for Surfers Paradise.
Council planning study area for Surfers Paradise.

“Surfers is diverse enough to cater for all markets – from our backpackers right through to the business and convention sector,” Cr Taylor told the Bulletin.

“There are still active plans from developers to establish five-and six-star businesses in Surfers. I concede we have some work ahead of us to make these projects become a reality.”

Prepared as council embarks on a Surfers Paradise Place Making Plan, the consultant report found the precinct was on the rebound until being “significantly impacted” by COVID-19.

Surfers cannot compete with Broadbeach — The Star Gold Coast artist impression of tower 2 and the Dorsett Hotel.
Surfers cannot compete with Broadbeach — The Star Gold Coast artist impression of tower 2 and the Dorsett Hotel.

At least 32 per cent of tenancies are now working on restricted hours.

The commercial activity in the tourism heart could expand by 30 per cent before any new buildings were required due to the surplus of retail space, the report says.

Several key parts of Surfers Paradise like Soul, Hilton Arcade and Circle of Cavill were “uncomfortable places due to wind”.

Consultants told council the best way to fill up vacant space was to “make the area more attractive to Gold Coast residents” and boost the patronage base.

“Extending the light rail to the Gold Coast Airport is considered to be essential,” the report says.

Surfers will struggle to compete with Brisbane once its river casino development is finished — Queens Wharf development images.
Surfers will struggle to compete with Brisbane once its river casino development is finished — Queens Wharf development images.

Cr Taylor agrees about attracting residents, adding that Surfer Paradise is a family destination.

“Locals historically support their own ‘villages’ and are very parochial in that regard. You only have to look at Nobbys, Burleigh, Palmie and Broadbeach.

“That said, I want to encourage all locals to re-engage with Surfers Paradise as it is ultimately a must-see destination for visitors, so to have locals fall in love with Surfers again is critical.

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“The ultimate goal in my opinion is to have a vibrant day economy based around families that evolves into a night economy. The night economy doesn’t have to focus solely on nightclubs.

“It can be equally focused on families, couples and visitors dining out and then enjoying music, entertainment and street art, without necessarily having to go into a nightclub.”

Empty shops in Surfers Paradise. Picture: Tertius Pickard.
Empty shops in Surfers Paradise. Picture: Tertius Pickard.

The council’s Surfers Paradise Place Making Plan outlines $1 million in upgrades to Cavill Mall, about $2 million to refresh Orchid Avenue, around $10 million for an Oceanway from First Avenue to Eileen Peters Park.

Several million dollars is to be spent on “green spine connections” and improving pedestrian access.

“As a first stage, Cavill Mall and oceanfront upgrades to work in with the Paradise Centre refurbishment (will be a priority),” Cr Taylor said.

“The Cavill Mall refresh will start next month and then progress to Orchid Avenue, including the Orchid Avenue and Cavill Mall intersection refresh. My vision is to relocate the visitor information centre and toilets from the Cavill Mall entrance to greatly improve that area.”

paul.weston@news.com.au

Originally published as Bombshell report: Surfers Paradise can no longer attract five-star tourists and must rely on locals

Original URL: https://www.heraldsun.com.au/news/national/bombshell-report-surfers-paradise-can-no-longer-attract-fivestar-tourists-and-must-rely-on-locals/news-story/11202697661e1f5cbfe843b796796f3c