Rent relief approved

Owners of a popular New Plymouth restaurant say they face receivership if their tenancy agreement with the district council cannot be amended.

Marnie and Simon JohnstonSaywell from Arborio, in the Puke Ariki building, told councillors at Tuesday’s extraordinary meeting that as Womad weekend approached in mid-March, they were on track for a great year.

But a few days after the music festival ended, their lives took ‘‘a terrifying turn for the worst’’.

‘‘We saw our daily sales turnover plummeting day by day.’’

Without returning to their original lease conditions, of rent based on turnover, they would face the ‘‘sad reality of receivership’’, Marnie Johnston-Saywell said.

They had applied for the government wage subsidy and approached their property manager requesting financial relief.

With all the new requirements such as social distancing, hygiene and a reduction in seating, ‘‘I do believe the hospitality is industry is going to take longer to recover than most’’, she said.

The couple were speaking to councillors before their debate on a proposed rent relief package for the New Plymouth District Council’s 18 commercial and 67 community group tenants of councilowned property.

Craig MacFarlane, the director of Monica’s Eatery and a director of Airspresso cafe at New Plymouth Airport, also addressed the meeting and said it was a very real and very serious situation.

It was a tragedy that they were coming to the council ‘‘respectfully cap in hand’’ for help and guidance, he said.

Following the deputations, councillors changed the rent relief package slightly to include giving tenants such as the Johnston-Saywells the opportunity to negotiate commercial leases and rent relief.

After the decision, JohnstonSaywell said it was positive outcome.

‘‘Both Simon and I are really pleased to have been able to have the opportunity to put our situation to councillors and we look forward to negotiating a positive outcome.’’ MacFarlane was also pleased. ‘‘Councillors have acknowledged the commerciality and the impacts Covid-19 is having on the economy locally and nationally.’’