Traders at Melbourne's fresh fruit and vegetable market have expressed concerns over a revised rent proposal issued by the Melbourne Market Authority (MMA), a Victorian government body. The proposal, introduced on Tuesday, suggests a rent increase of between 2.4% and 3.6% for vendors at the Epping facility.
Previously, the MMA had proposed a 7.6% annual increase over a decade, which led to protests and rent strikes last year. The new offer aims to resolve the ongoing dispute, but it includes eviction notices for 12 tenants, requiring them to sign a lease and pay the new rent within 30 days or face legal action.
Jason Cooper, Fresh State's chief executive, highlighted the financial strain on vendors, stating, "I have a whole bunch of tenants that are distressed about it … and they haven't signed the [new lease] as they can't afford it." He criticized the MMA's approach, describing it as an ultimatum rather than a negotiation.
Last year's protests prompted Fresh State to commission an independent rent valuation, which was submitted to the Victorian Valuer-General. This valuation indicated that the MMA's proposed increases exceeded current market rates, leading to the revised offer.
However, Cooper noted the inclusion of a consumer price index (CPI) clause that could elevate rent increases to 7-9%, mirroring the initial proposal. "With this clause in place, the new rent deal takes us back to where we started and is essentially a backdoor tax on fruit and veg for consumers," he remarked, urging the MMA to remove the clause.
MMA chairman Peter Tuohey stated that the rent reduction was based on the new valuation, expressing a preference to avoid court proceedings. He emphasized that the offer was final, leaving the decision to the tenants.
Source: ABC News