New malls could 'ruin' Rotorua retail

By CHERIE TAYLOR in Rotorua
Rotorua retailers could lose out when two multimillion-dollar one-stop shopping malls open in the Western Bay of Plenty early next year.

A $50 million Boardwalk shopping centre and a $20 million Outlet Central with 29 discounted brand-name shops with undercover parking are being planned for Papamoa Junction.

Developers say the complex will become the "shopping hub" of the wider Bay of Plenty, luring shoppers from Rotorua, Whakatane and Hamilton.

Customers could be buying discounted clothing from as early as next Easter.

Local business owners and Ready 2 Retail say it could be detrimental for central Rotorua and there needed to be more promotion of Rotorua to encourage shoppers into the region.

Rotorua Millers store manager Sue Harris said shoppers were always looking for a bargain and while business was doing well, a factory outlet complex close to Rotorua would encourage people to "commute" for a bargain.

"If they are going to entice shoppers from Rotorua then we are going have to do something to keep them here. We need to promote Rotorua more," she said.

Rendells manager Carol Owsley said the planned complex appeared to be similar to big factory outlets in Auckland. If this was the case Rotorua shops would definitely lose out.

"Unfortunately business will be affected because it's human nature that people will travel for a bargain, but hopefully we can offer our customers better service," she said.

The undercover parking the complex was offering would also be a bonus, especially during the winter months, said Mrs Owsley.

"If people can go to an area where they can park their car and walk straight inside when it's wet and cold, then they will travel to shop," she said.

Ready 2 Retail Rotorua co-ordinator Scotty Watson said many businesses within the central city were already struggling with the development of the Rotorua Central Mall and larger chains moving into new buildings near the complex.

The development of what has been billed as the country's sixth largest shopping complex only 40 minutes drive from Rotorua would place more pressure on an already struggling industry, said Mr Watson.

"It is very disappointing. This will just make things even worse for businesses here. [Developers] seem hell-bent on ruining Rotorua. No matter what we do to improve Rotorua someone comes along and kicks us in the backside. It is really disheartening."

Shoppers at the new complex would not be offered anything they had not already seen in Rotorua, said Mr Watson.

"They won't be offering anything different. If you have seen one Warehouse or Harvey Norman store you have seen them all. They just vary in size."

Rotorua needed to step back and take a look at what Tirau had done to turn its town around and follow suit to keep customers interested in coming back time and time again.

"We need to have more specialist type and novelty shops to entice people," Mr Watson said.

However, Rotorua Zero 2 Hero clothing store owner Bruce Power said he didn't think the new development would do much damage to Rotorua's economy.

"There is enough of a market here.

"We have a lot of tourists and people won't stop coming here. Yes, there could be a little bit of erosion in sales but population growth and exposure will help to keep things going."