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Recovery's a matter of pride and prosperity

03 October 2022

A friend of mine is fond of saying that when the lion kills, the jungle feeds. It’s the same with Melbourne’s central business district. When the CBD is strong, all of Victoria benefits.

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I love our city and I’m proud of it, but it needs help from all of us. Yes, the AFL Grand Final was brilliant and a great reminder of what we do best. But it’s not enough. 

Indeed, the recovery of the CBD has reached a critical stage and will need bold leadership and vision if Melbourne is to regain our status as the world’s most liveable city. 

Weary CBD businesses that weathered the worst of the pandemic are desperately looking for the right conditions to trade viably and help recoup some of what they’ve lost over the past two and a half years. 

These include a clean, accessible and safe city that acts as a magnet for people seeking out the culinary, cultural and entertainment experiences we are famous for. Instead, we are seeing more and more decisions, projects and policies that act as a repellent. 

Last week’s decision by the City of Melbourne to reintroduce fees for outdoor dining permits is a good example. It’s the wrong decision at the wrong time for CBD businesses still recovering from the pandemic. 

While foot traffic is gradually increasing in the CBD during some evenings and weekends, the weekday economy remains sluggish and many hospitality businesses are still not operating at full capacity because they can’t find enough staff.  

Add rent, tax and other bills that mounted during the pandemic, coupled with hikes in the cost of produce, power and wages and you’ve got a perfect storm at a time when operators are craving calm seas. Imposing extra costs now only slows their recovery and hits their confidence. 

Business must be at the forefront of the reimagining of the CBD. Before COVID-19, 500,000 people came into Melbourne’s centre each day. The city contributed seven per cent of Australia’s gross national product and 25 per cent of Victoria’s gross state product. 

We were regularly ranked as the world’s most liveable city. It was a title that resonated the world over and provided a fantastic international branding opportunity. 

But since the pandemic we’ve seen people and businesses drift away.  Major employers like Australia Post are moving their headquarters out of the CBD. This is particularly concerning as businesses and workers are vital for a thriving CBD.

As the CBD has stagnated, issues such as graffiti, homelessness, bike lanes and the spectre of injecting rooms have come into focus.  Views will differ on each, but they are real issues that affect  the look and feel of the city. 

So what can we do? We know hybrid working is here to stay but with restrictions now lifted and warmer weather and daylight savings upon us, we need both the private and public sector to encourage more people to return to the office.  It’s time to declare their plans. 

We need to think strategically about the city and its future. What do we want it to look like? Is it a city for its residents or is it a capital city that projects us to the rest of the world? The answer must be the latter but will require a partnership between government, business and other sectors.

  We know that some private and public sector organisations have reduced their office space and we need to look at how we reimagine existing space so we continue to bring people into the CBD to collaborate. This  might mean companies sharing the space over a week.

Let’s develop a long-term strategy to drive demand for business events that will bring overseas visitors and new investment into Victoria.  A signature event that attracts the best business leaders in the world to come to Melbourne. 

We should  double down on our international reputation for hospitality. How about developing a wine centre of excellence in the CBD? There’s certainly opportunity to up our game when it comes to celebrating our renowned food and drink offering including our world-class wine.  

And let’s breathe new life into Docklands by creating an iconic seafood market and restaurant complex. We don’t have one but look what they’ve done for Sydney and Tokyo.  

All this will benefit us long term and put more cranes in Melbourne’s skies, which is always a measure of a city’s prosperity. 

The introduction of a government-led discounted public transport scheme would also incentivise office workers to return to the CBD during the week and increase patronage and confidence in the system. 

Business has made our CBD what it is. And it is business that will help it regain its mantle as Victoria’s jewel in the crown.  

Like the lion in the jungle, it’s time for Melbourne to roar again. 

This article was originally published in the Herald Sun on Monday 3 October 2022. 

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