ParkScience: Hi Genie how is it going?
Genie: Not bad, have been couped up in this bottle since 1990, so rested up and ready for work.
ParkScience: Ever get worried you may never get released?
Genie: Never an issue. Just a waiting game for human hubris, greed and poor governance to entrench itself and inflation takes hold once again. Has not failed so far.
ParkScience: I thought you may have had a cameo during the GFC in 2008?
Genie: Never got off the day bed. A few tyre kickers, but nothing serious. Have recently re started my yoga and meditation regime. Ready for an extended session outdoors. Do not want to do a hammy and get put back in the bottle.
ParkScience: Talk soon.
Genie: Cheers.
Over the past two years ParkScience has provided a view on where the industry is headed in a post COVID Australia. In particular the scenarios provided in Half Time at The Football and Crisis? What Crisis have proven to be very close to the mark.
The one area we underestimated was the recovery in night and weekend parking, as a hungry (and thirsty) population embraced being allowed out of their houses and enjoyed the myriad pubs, clubs, restaurants, and events on offer.
This sector has actually performed better than pre COVID trading. For example, through the week of 18-24 July foot traffic through Southbank and Lygon St was above pre COVID levels and Sydney’s VIVID attracted record crowds (and resultant street shutdowns) in June.
On the other hand WFH is now an entrenched right. Office occupancies are down - 38% in Melbourne, 52% in Sydney and 53% in Brisbane. And this is an average for the week - with Monday and Friday occupancies well down on these numbers. As a consequence, the reduction in weekday revenues has been far greater than the increase in weekend revenues.
All of this is about to change again, as the inflationary genie has been let out of the bottle and we are starting to see the impact of inflation and interest rate rises on consumers and the economy.
The vast majority of our workforce has only seen almost uninterrupted growth and declining interest rates for 30 years and is not prepared or can comprehend what lies ahead.
