Shopping centre property giant Westfield is to compete with small business newsagents by opening Ticketek ticketing agencies at customer service desks in its shopping centres, in competition with many small business newsagents offering Ticketek in these sames centres.
Despite being open for longer hours than centre management customer service desks, Westfield prevailed upon Ticketek to permit the opening of these new businesses in competition with incumbent newsagents.
I wonder if Westfield is paying the usual fee for each new sales location which newsagents have to pay?
Landlords hold the permitted use clause in a tenancy lease to control what we can offer in our newsagencies. You either buckle to their interpretation of what you can sell or face a raft of penalties to your business. They say the permitted use clause is there to protect your business as they will fight for you if someone tries to compete with our when their lease does not permit it.
What do you do when the landlord is the competitor, as is to be the case in many of the 37 Westfield shopping centres?
I feel for the newsagents affected. I especially feel for those who are part of a marketing group which is inactive on this issue.
Another example of the ruthless greed permeating the world of big business. Landlord, more like overlord.
A reason to beware of Westfield if you are looking for lease space.
PS. I am surprised at the lack of comment on this issue.
More a reason to stay clear of major shopping complexes.
How many of us have heard horror stories imposed on tenants by SC landlords.
I was as happy as a pig in poop in my local street front shopping strip.
I would never buy any shop in a big shopping centre. They jack the rent up every year and screw you every chance they get.
Typical for a shopping centre landlord though.