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🇧🇪 Belgium /Economy & Trade

A third of restaurants on Mechelen's Grand Place are vacant: 'More surviving than getting ahead'

From VRT NWS · () Dutch

Translated from Dutch and summarized by DistantNews. Read the original for the full story.

At a glance

News Sources not specified Context piece
  • Seven out of 20 restaurants on Mechelen's Grand Place are currently vacant due to bankruptcies, renovations, or owner retirements.
  • Remaining business owners face challenges including high rents, increased staff and product costs, and unchanged VAT rates.
  • Despite the vacancies, Horeca Flanders and the city administration are optimistic about future occupancy, with new establishments planned.

Mechelen's historic Grand Place is facing a significant downturn in its hospitality sector, with one-third of its restaurants now vacant. Seven out of the 20 establishments on the prime square are empty, a situation attributed to a combination of bankruptcies, licensing problems, ongoing renovations, and owners retiring.

It's a lot of hours working with a small margin.

— Christian MichielsChairman of Horeca Flanders Province Antwerp, describing the financial pressures on remaining businesses.

Those businesses still operating on the Grand Place are struggling with a confluence of economic pressures. Owners point to escalating rental prices, rising personnel expenses, and increased costs for goods. They also lament the lack of a VAT reduction, which they believe would significantly ease their financial burden. "It's a lot of hours working with a small margin," stated Christian Michiels, chairman of Horeca Flanders for the Antwerp province.

Adding to the challenges are external factors such as indoor smoking bans, with potential restrictions on outdoor terraces looming. Michiels noted that while the situation is not "dramatically" dire from an economic standpoint, the visual impact of the empty storefronts on the prominent square is considerable. The city of Mechelen and Horeca Flanders, however, express optimism, anticipating that the vacant properties will soon be filled. Plans are already underway for an Italian restaurant and a brewery to occupy some of the empty spaces, with one property set to reopen after a two-year renovation.

It falls on the eye, of course, because the Grand Place is a real catering square.

— Christian MichielsChairman of Horeca Flanders Province Antwerp, commenting on the visual impact of the vacancies.

Michiels also touched upon the shift in business practices over the past decade, referencing the implementation of the "white cash register" system, which has increased transparency compared to the past prevalence of undeclared cash transactions. He suggested that while rents on the Grand Place are not considered excessive given the larger terraces and higher customer traffic, the overall operating environment has become increasingly difficult for many businesses.

The properties will be filled, but that may take some time.

— Christian MichielsChairman of Horeca Flanders Province Antwerp, expressing optimism about future occupancy.
About this summary

Originally published by VRT NWS in Dutch. Translated, summarized, and contextualized automatically by DistantNews, with a note on how the source frames the story. Not individually reviewed before publishing. How this works.

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