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Mark Stedman/Photocall Ireland

Retailers say Dunnes is 'undermining' town-centre trade by sitting on empty shops

The supermarket chain was accused of ‘choking’ development with its practices.

ONE OF IRELAND’S main retail groups says Dunnes Stores is “undermining” trade in town centres by sitting on vacant shops around the country.

Retail Excellence chief David Fitzsimons said that the supermarket and clothing chain has left several main-street retail units vacant after moving operations to buildings in the outskirts of towns.

The issue was recently raised in the Seanad, when Fine Gael senator Martin Conway complained about a large former Dunnes unit in Tralee town centre.

“The existence of this vacant unit in the centre of Tralee is choking development in the area,” he told the Seanad.

“There has been no effort whatsoever made to rent it out, either as small units or to an alternative business. The particular example in Tralee is replicated in towns all over the country.”

David Fitzsimons said that such empty units are “undermining the ability of towns to trade well”. The Retail Excellence head also raised the issue at the group’s recent annual retreat.

“The shops are big boxes and they go on for metres and metres and metres of vacant space,” he told Fora. ”It really does tie the hands of local planners and local authorities.

“If you have a huge box in the middle of a town that’s vacant, it makes it incredibly difficult and challenging for local planners to deliver a compelling civic space.”

RRP 0301 Retail Excellence CEO David Fitzsimons Robbie Reynolds Photography / Retail Excellence Robbie Reynolds Photography / Retail Excellence / Retail Excellence

Fitzsimons said he has been aware of the issue for some years.

“It coincides with the arrival of the discounters (Lidl and Aldi) and also the increased opening of Tesco Express stores, which are town centre-focused,” he said.

Fitzsimons suggested that empty shops could be used to “enhance the offer” in town centres.

“We need to think about town centres from a societal perspective,” he said.

“We need to deliver urban centres where people can come, can congregate, can dwell. A shopping experience for an old person can be their only social experience that day.

“Without sounding like Mother Theresa, from a societal impact it’s incredibly important.”

Dunnes Stores was contacted several times for comment, but we didn’t receive a response at the time of publishing.

However as highlighted yesterday on Fora, the publicity-shy company has a history of taking a bullish approach to business, leading to a string of run-ins with its own landlords and with developers.

In the case of Kilkenny’s deserted Ferrybank centre, a judge declared that Dunnes had objected minor points to An Bord Pleanála specifically to delay its own fitout obligations.

Commercial rates

Meanwhile, Wexford County Council CEO Tom Enright has long voiced concerns over the presence of vacant units owned by Dunnes Stores. He previously raised the issue when was economic director at Limerick City Council.

Two former Dunnes Stores buildings in Limerick – on Sarsfield Street and O’Connell Street – have been vacant since 2008, and are still under the group’s ownership.

Enright added hat the company has left two large premises vacant in County Wexford – one in Wexford Town and another in Enniscorthy.

The latter was recently put up for sale through Sherry Fitzgerald estate agents with an asking price of €450,000, a move the council boss welcomed.

former dunnes Former Dunnes Stores, Enniscorthy Sherry Fitzgerald Sherry Fitzgerald

Enright added that Dunnes Stores has been charged the full commercial rate for its vacant units in Wexford in a bid to push the group to sell or lease the buildings.

He said the site in Enniscorthy is the town’s largest main street property, and he hoped a new tenant would be found.

Without a tenant, “it makes it more difficult to revitalise the retail offering in the town centre,” he said.

“It discourages other retailers from coming as well because they see this vacant store and it creates the impression that there is no demand for it.”

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Written by Conor McMahon and posted on Fora.ie

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    Mute Neal Ireland Hello.
    Favourite Neal Ireland Hello.
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    May 28th 2017, 7:26 AM

    Summary: Officials complaiming that their own practice of allowing out-of-town stores is driving stores out of town.

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    Mute Jamie
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    May 28th 2017, 8:25 AM

    You hit the nail on the head neil

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    Mute Neal Ireland Hello.
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    May 28th 2017, 8:53 AM

    @Jamie: Thanks, Jaimy.

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    Mute Suzie Sunshine
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    May 28th 2017, 9:08 AM

    @Neal Ireland Hello.: they allowed them in towns to generate business into them .. not to sit on the buildings for years after they pull out which means no other retail company can go in .. towns and shopping centres are being left idol over years over this ..

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    Mute Paddy
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    May 28th 2017, 9:23 AM

    @Neal Ireland Hello.:
    Also the extortionate business rates on these properties are beyond anybody’s budget,
    excluding the big corporations. A catch 22 until they change this!!!

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    Mute Neal Ireland Hello.
    Favourite Neal Ireland Hello.
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    May 28th 2017, 11:00 AM

    @Suzie Sunshine: Yea, that’s the point. They wouldn’t be sitting on empty former premises if they hadn’t been allowed to build new ones out of town.

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    Mute Willy Malone
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    May 28th 2017, 7:34 AM

    So the councils want it both ways … Doing something about parking might help bring people in…

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    Mute Peter McGlynn
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    May 28th 2017, 8:21 AM

    Those that shop in Dunnes are the type of people who will vote FF in again. Short term memory – can’t recall the extortionate prices in Dunnes stores charged for items in comparison to their UK equivalent 10 years ago.

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    Mute Ian McNally
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    May 28th 2017, 8:37 AM

    @Peter McGlynn: that or they might just like shopping there for convenience and it has nothing to do with how they would vote like most other people…..

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    Mute Vic's Burd
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    May 28th 2017, 9:36 AM

    @Peter McGlynn: or like my mother, they prefer to “Support Irish” as SuperValu and Dunne’s are the only Irish companies operating in a clearly UK/German-saturated market.

    62
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    Mute Séa Graham
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    May 28th 2017, 8:21 AM

    They will hold out as long as they can with the vacant sites. They don’t want lidl or Aldi getting their hands on them.

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    Mute Dave Byrne
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    May 28th 2017, 1:37 PM

    They have done that for years in order so no competition could move in to the area, Longford town, Enniscorthy etc.

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    Mute Jamie
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    May 28th 2017, 8:08 AM

    They are a ruthless company who care about nothing but profit

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    Mute Vic's Burd
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    May 28th 2017, 9:37 AM

    @Jamie: they all are… it’s the only way to survive

    39
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    Mute Declan Joseph Deasy
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    May 28th 2017, 9:02 AM

    Same in Dundalk – former Dunnes store on Park Street vacant since 2009.

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    Mute David Grey
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    May 28th 2017, 10:22 AM

    This is how it goes .First the great news announcement 200 new jobs for naas in Tesco superstore then the 400 + jobs lost in adjoining towns .Well done planners/ Council

    39
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    Mute Martin Byrne
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    May 28th 2017, 7:25 AM

    But planning permission was granted for all of those retail parks that suck the life out of towns. Dumb.

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    Mute Derek Brian Griffin Cooper
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    May 28th 2017, 10:28 AM

    Look at crumlin/Dunne’s shopping centre in Dublin.

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    Mute Dermot Keogh
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    May 28th 2017, 12:31 PM

    Come to Dunlaoire and have a look at what is empty on ground level and above and at the back of Dunnes been like that since the 80s and nothing is being done.

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    Mute Chris Kirk
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    May 28th 2017, 10:21 AM

    I would have thought that it was HG vehicles that was sucking the life out of many towns and lack of parking space.

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    Mute Mary Walshe
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    May 28th 2017, 4:07 PM

    Can’t stand Dunne’s Stores. Very rarely buy anything there. They are so greedy. They have two big stores in Kilkenny city, bought up the one in McDonagh Junction shopping centre in case any other retailer got in there. And nothing short of appalling, the way they treat their workers, zero hour contracts etc. Horrible way for an Irish company to treat people. I guess they’ve forgotten their roots.

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    Mute Con Murphy
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    May 29th 2017, 4:20 AM

    He’s right about the store in Tralee. Sitting there for years like a big eyesore.Never thought I’d agree with a blueshirt. The Tralee shopping centre at Bridge St has been left empty for years also, scandal! Recovery yeah!

    3
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