Roadworks Threaten Lincoln Businesses with Declining Sales

Major roadworks in Lincoln’s town centre are creating significant challenges for local businesses, with many owners reporting dramatic declines in sales and customer traffic. The construction began in January 2024 and has already caused substantial economic strain, prompting concerns about possible closures.

Impact on Local Businesses

According to a report by Phoebe Utteridge of Stuff, Surekha Pudi, who operates Cottage Café on the town’s main street, has seen her sales plummet by half. Pudi, who has owned the café for approximately three years, stated, “We have taken loans and we have taken money from our pockets. Now we have no money to take out of our pockets… we can’t even afford the rent.” Faced with such financial pressure, she had no choice but to let a staff member go. With a newborn baby at home, who was born prematurely in November, Pudi is seeking additional support from the Selwyn District Council, including relief packages and rent subsidies.

“How long can we face this struggle?” she asked, reflecting the anxiety felt by many local business owners.

The Selwyn District Council has indicated that the roadworks are part of a broader redevelopment plan designed to enhance safety and accommodate the rapid population growth in the area. According to census data, the district is the fastest-growing territorial authority in New Zealand.

Sales Declines and Customer Accessibility Issues

The current phase of the project, which affects Gerald Street, is expected to last until July 2024, with the entire programme planned to unfold in stages through 2030. Rick Sun, owner of Lincoln Convenience Store, reported a staggering decline in sales of about 60%. “One day we will run out of our savings, and the business will shut down,” he said. Previously, his store managed around 300 transactions daily, but that number has dropped to approximately 120.

When Stuff visited Lincoln’s town centre on a Wednesday morning, traffic congestion was evident, with about 15 cars waiting at the traffic lights to enter the main stretch. Some drivers opted to turn away to avoid the area altogether. “People just choose to not come here, to not go this way,” Sun added, highlighting the detrimental effect of the construction on customer accessibility.

At Broadfield Flowers, florists Suzanna Naylor and Annie Strong have also been forced to adjust their working hours due to the drop in business. Naylor noted, “I don’t think we’d survive without the online orders.” She explained that the construction had adversely affected their Christmas trade, a crucial period for florists, resulting in significant waste of perishable products.

Accessibility remains a pressing issue for many businesses. Raeann McPherson, owner of Lincoln Family Barber, has been directing customers to park behind nearby buildings and cross a temporary footbridge to reach her shop. She noted, “I’ve never experienced anything like this,” as walk-in customers have decreased by half, forcing her to rely heavily on appointments.

Barber AJ Vine described the situation as a “diabolical mess,” particularly impacting elderly customers and families with young children. He indicated that several businesses were already contemplating liquidation.

Despite the disruptions, Tim Mason, executive director of infrastructure and property for the Selwyn District Council, acknowledged the impact on local businesses and residents. He emphasized that the long-term benefits of the redevelopment would outweigh the current challenges. Mason pointed to the potential for new opportunities, including the proposed Lincoln Village, a hospitality precinct expected to host 14 businesses.

Some food outlets have cited the loss of short-term parking as particularly damaging. Lou Hardie, manager of Lincoln Fish Supply, remarked on a “significant drop” in revenue, emphasizing the importance of on-street parking for quick customer visits. Mason assured that council staff were in regular communication with business owners, exploring ways to minimize disruption, including additional parking solutions and improved signage to promote local shops.

As the roadworks continue, the uncertainty remains for many business owners. “I don’t know how long I can survive,” Sun expressed. “And this is just the beginning,” reflecting the ongoing struggle faced by the local community during this challenging period.