Over 100 Toombul retailers are going to receive a support package from Mirvac following its decision to shut down the shopping centre permanently due to flood damage.
Mirvac CEO Susan Lloyd-Hurwitz said that the tenants will be compensated worth three months’ rent, alongside other measures already in place. The company has waived the debts incurred by Toombul retailers during the lockdowns and it has also not charged rent since the February floods.
Tenants have also received assistance with the removal of their fit-outs and stocks as Mirvac plans to demolish the property and rebuild it anew. Mirvac said that they are also in touch with other organizations with free spaces so their former tenants could move in.
The support package is welcome news, after the criticism Mirvac received from the public for their initial announcement of no compensation for tenants. Some retailers have explored legal options in the face of looming financial ruin due to the closure of their businesses at the Toombul Shopping Centre.
Darren Bain, the owner of Function Well, said that their lease has a demolition clause that underscored a “reasonable compensation” but Mirvac said there is another clause stating no compensation for “impracticable or undesirable” repairs.
Prior to the announcement of the support package, Mirvac wasn’t able to attend the scheduled dialogue with the tenants and MPs Anika Wells and Leanne Linard. Ms Wells and Ms Linard have been calling on the property giant to engage with the local community.
Ms Lloyd-Hurwitz said that she has been arranging meetings with the retailers in the coming days and has heard their frustrations.
Ms Lloyd-Hurwitz’s full statement below:
