Nelson shop's profit drops 70% as major roadworks close street

Central Nelson retailers are already looking forward to the end of major roadworks on their doorstep as some businesses struggle with fewer customers.

The Nelson Turkish Kebab House has seen a 70% drop in profit, said owner Hayati Unudulmaz.

He blamed reduced foot traffic and street parking caused by the ongoing Bridge Street upgrades.

"Everyone wants the [car]parks. We opened the back door [to Buxton Square carpark], but also people don't know," he said.

"I have four staff. I have contracts. I need to pay the wages."

Unudulmaz understood that the work needed to happen but was concerned about the "crazy" length of the project.

Nelson City Council is conducting extensive upgrades to water infrastructure in the CBD so hundreds of extra homes can be built in the central city.

The $78 million project, almost half-funded by the Government, was largely occurring on Bridge Street, which was also being redeveloped into a more people-friendly space.

Work started in September and, though summer breaks were expected, the entire project is not slated for completion until mid-2027.

Unudulmaz said he would happily close his shop for just a month or two but, facing such a long project, wanted contractors working around the clock instead of just during business hours.

Craig West, owner of Benjamin Barker's Barber Shop, said that the works have had some impact on business despite most of his customers booking ahead of time.

"We just take it day by day - still covering the bills at the moment, and hopefully that continues."

He often heard parking concerns from his clients and wondered if removing parking fees during the off-season could encourage more people to visit.

Dan Hennah co-owned the café and wholesaler Sublime Coffee and would also welcome more free parking in Buxton Square to improve customer accessibility.

"It's difficult to get here [with the road closed]."

The café's daily takings have dropped by a third and so they would likely employ fewer staff during construction.

Co-owner of mountain bike services store Gravity Nelson John Butler attributed their "pretty minimal" losses to fewer impulse shoppers, who were a small percentage of their customers.

Though construction noise could be "so painful" sometimes, Butler acknowledged that it couldn't be helped.

"It's going to be good for Bridge Street and for business. So, [we're] just going to have to put up with a bit of noise and parking inconvenience."

Local Rockshop branch manager Brent Frampton said the store had seen less foot traffic, but that could be reflected across the city.

"We are a destination store, so people that want to come here will."

Frampton added that Bridge Street's beautification will probably be more successful than the last attempt 11 years ago with "those silly blue stripes".

Victus Coffee and Eatery co-owner Beth Schryvers said she was "pleasantly surprised" that the roadworks have had almost no impact on their business so far.

Major roadworks could be "a bit terrifying" for business owners, but she applauded the council and their contractor, Isaac Construction, for their "excellent" communication - something echoed by most retailers that Local Democracy Reporting spoke to.

Nelson Tasman Chamber of Commerce chief executive Ali Boswijk said businesses want the works completed as soon as possible.

"Some are very concerned that it's going to impact very negatively on their businesses, given the winter that they've just come out of and the way that the economy is in general."

The chamber was helping with marketing and e-commerce for affected businesses and was looking at ways to stimulate activity and spending on the street.

"This work has got to happen. There's no doubt about it… But it's how we can ensure that people know that the city is not shut because that road is closed."

She urged struggling businesses to get in contact with the chamber.

"We will work with everybody that we can to make this as painless as possible, but it will not be pain-free."

The council's executive director delivery, Alec Louverdis, said conducting the works at night would likely breach national noise standards.

Previous experience also indicated that free parking would result in lower vehicle turnover and wouldn't help businesses.

But Louverdis said that managing the disruption caused by the Bridge to Better project was a priority.

Bright signs highlighted parking and pedestrian options, as well as open businesses, while advertising campaigns were underway, and several promotional events were planned over the coming months.

With the Chamber of Commerce and retail promoter Uniquely Nelson, business support was being organised in the form of mentoring and financial advice, and training for well-being and resilience, and for social media.

Isaac Construction was also coordinating the works to minimise disruption, such as by ensuring that noisy work did not occur on days of complex dental surgery that took place nearby.

"We've helped form a cohort of businesses that can sense-check our plans and ideas and, of course, make their own suggestions," Louverdis added.

LDR is local body journalism co-funded by RNZ and NZ On Air.