Emily Chapman Laing
Local residents fear Pearcedale’s shopping village is turning into a “ghost town”.
A number of spaces in the Pearcedale shopping village remain vacant for 16 months amid claims that tenants were being priced out by steep rental rises.
Pearcedale residents are up in arms over the empty shops.
“That shopping centre is the heart of our community and potential further loss to our hub I’m guessing will follow as other retailers come to the end of their leases,” local resident Simon Murray said.
“There isn’t a week I don’t mourn the loss of our hardware shop.”
Likewise, Sean Carter says he is heartbroken over the loss of local stores that had been staples in the town for decades.
“Our town has thrived on being a small community and self supported,” he said.
Long-time local Janice Welker described the changes she has seen during her tenure in the town.
“My husband’s family has lived in Pearcedale since the 1920s,” she said.
“During that time, Pearcedale grew from a very small country town with a general store to a thriving semi-rural township.
“I have lived here for nearly 40 years and recall the local school’s extension and the shopping centre’s development.“
Mrs Welker said the shops were the heart of the community, as they represented an extension of the neighbourly personality of the town.
“In Percedale, neighbours know each other; we celebrate together and support each other in crisis; in my street, we have coffee or tea at each other’s homes, swap Christmas cards, and help each other out on our properties,” she said.
“That is the atmosphere I have enjoyed in the local shops, friendship and belonging.
“The local shops are not only convenient because they are close by, but they are also run by people who know my name and with whom I can have a friendly chat when shopping.”
But now that sense of community vibrancy has disappeared.
“The loss of these stores has left a hole in Pearcedale, and we now fear that other stores may be lost as their leases come up for renewal,” Mrs Welker said.
“I find it sad that there is now an element of fear around the future of our shops, and I am sure I am not the only one who walks past the empty stores wishing they were still open.”
Adrian and Liz Scialpi’s hardware store held a 21-year tenure in the village, but decided to close the doors in 2021 after their lease agreement with the previous landlord came to an end. Similar fates were held for the milk bar and Pearcedale Family Butcher.
Blame for the vacancies continues to be placed upon the new landlords, Jasman Pty Ltd.
“What I am seeing from this, is these people that created empty shops are just trying to make a ghost town,” said Nathan Weaver.
Local man Peter Eastwood says he can’t understand how a landlord can “uproot a good paying business” and instead leave the shops empty for a prolonged period.
“This was wrong on all levels,” he said.
According to Jasman, upon acquiring the village, it came to their attention that tenants were paying leases that were below market rates.
Jasman obeyed the existing tenants contracts, allowing the low rates to continue until leases were due for renewal.
“Jasman honoured a small number of historical leases with below market rents for some years,” the company said in an official statement.
“Jasman has every right to negotiate market rentals with its tenants as new leases are negotiated.”
Jasman changed to “commercial rates” at the end of these leases, which “naturally increased rental prices substantially”.
Some tenants were unable to withstand the increase as their revenue was based on historical rates.
Jasman also noted that surrounding tenants pay substantially higher leases in the same village, as they were leasing at market rental rates when Jasman acquired the centre.
A Somerville shop owner has crtiticised the new rental rates.
“The rent they’re asking for is absurd,” said Nat House.
“I rent a shop in Somerville for half of what they have advertised, with more passing through customers.”
The old hardware store sits over 180 square metres. It is currently advertised for $81,000 per year – or $450 per square metre, annually.
A 163 square metre shop on Cranbourne’s High Street is currently advertised for $55,650 per annum. That is an annual rate of $341.41 per square metre.
In Lynbrook, a 100 square metre commercial property is $55,000, or $550 yearly per square metre.
Listings for both the vacant Pearcedale shops and the Lynbrook property showed United Petroleum logos on their listings.
This has caused some confusion regarding the role of United Petroleum in acquiring local properties.
However, a spokesperson for Jasman says the presence of the logo was an error which has since been rectified.
“ASEH Property Services acts as letting agent for both United Petroleum Pty Ltd and Jasman Pty Ltd,” they said.
The spokesperson said they had a preferred real estate agency for all properties in the area managed by ASEH Property Services, and the agency’s use of United’s logo on the current paid listings on commercialrealestate.com.au for ASEH Property Services on behalf of Jasman was an error.
The spokesperson added: “Jasman is happy to confirm that the instructions to our letting agent, ASEH Property Services, are that there is significant flexibility to negotiate rent and incentives, particularly for high quality tenants who will contribute to the overall set of retail offerings available to local shoppers at Pearcedale Village Shopping Centre.”
Many locals have raised concerns that Jasman plans to demolish the village in favour of a “monstrous retail outlet” or “redevelop the site for one or two large tenants”.
Residents also fear they will soon have no shops left.
Jasman has said they have no current plans to redevelop the space and are committed to the vision of a “vibrant local shopping centre”.
“Jasman will continue to invest in Pearcedale Village Shopping Centre in its current format,” a spokesperson said.
“Jasman is committed to investing in Pearcedale Village Shopping Centre’s future and invites potential tenants to express interest in filling current vacancies.
The spokesperson said Jasman was continuing to pay for real estate advertising placed by the real estate agency on its behalf “while the tenant search continues”.
Angie Galbraith says she is disappointed in the upkeep of the village since Jasman took over.
“The empty shops are not being maintained,” she said.
“The fencing to the back of the milk bar has completely fallen down and the back of the old hardware store has extremely long grass.
“It’s becoming an eyesore and I’m disappointed it’s been left to look like that.”
Jasman uses a third-party maintenance company for the shopping village and said it would direct them “to rectify these issues in a timely manner”.
