Sydney Fish Markets Set To Re-Open After Tense Conflict

The Sydney Fish Market’s bitter feud with its tenants coming to an end, with the market set to re-open at the $836 million taxpayer-funded location at Blackwattle Bay.

As reported by the Sydney Morning Herald, tenants of the Sydney Fish Market were notified through an email on Thursday that “the significant majority” of tenants, including all seafood retailers, had signed the leases for the new location, allowing them to access the premises and start their fit-out works. 

The markets’ suspected opening date is set “prior to Christmas”, with management privately telling tenants that trading could start in mid-December.

 A fishy feud comes to an end

 The standoff between the Sydney Fish Market and its tenants started after tenants stated that the building was not suitable, whilst also being faced with fees ranging from several hundred thousand to a few million dollars for their fit outs.

In addition to retailers refusing to sign the lease due to costs and fit for purpose, there were concerns surrounding a lack of power supply, insufficient contributions from the government for services like plumbing, electrical, and mechanical work and inadequate allowance for mechanical exhaust given to restaurants forcing them to pay for more room or decrease their equipment. 

The tenants will be offered the same below-market rate that they had at the previous location on Bank Street, easing tenants’ anxiety of a rental increase. However, there will be a rental review after five years. 

Some tenants will incur a fee after failing to submit their rental fit-out designs in time before construction began, causing additional costs for the changes.

Infrastructure NSW told the Sydney Morning Herald that it “had not changed is contributions towards their fit outs”, however, it was also explained that the amount was “commercial-in-confidence”. 

“Allowance was made for fit out costs in the agreement for lease,” a spokesman said. 

 “Costs incurred by the tenants in addition to these are at the cost of the tenants.” 

NSW government rejects fit out costs

Tom Gellibrand, Infrastructure NSW chief executive, told The Australian Financial Review Magazine, was less than supportive when asked whether the government’s contribution to the high fit out costs should be indexed.

 “They complained about the fact that it hadn’t been indexed, and I said, ‘well, you’re stupid, you should have asked for it to be indexed’. Why would I index it now? We’re two years into the deal,” he said.

Once the project went past the budget twice, the NSW government took over the project.

While in charge, the NSW Government declined Multiplex’s hustles for an increased budget, following a dramatic increase in construction costs, whilst also dismissing the complaints of tenants regarding the building layout and fitout designs.