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The Canberra Times
The Canberra Times
National
Peter Brewer

'Left to founder': why student beds sit empty all around the ACT

Canberra Park's empty bus carpark behind them, Frances Egan-Richards, David Grigg, Sue Anderson, Dallas Shang and John Bell are among the business representatives from the accommodation houses affected as students are locked out of visiting the ACT. Picture: Peter Brewer

In the Covid-affected world of accommodation and hospitality, they are the first to be hit business-wise and the last to recover.

Usually rivals, the nine largest providers of student-focused accommodation in the ACT joined together on Wednesday to express their common concern about how badly they have been affected by the recent, unpredictable and rolling series of border lockdowns.

Collectively, the nine businesses provide more than 1000 beds per night for students coming to the ACT from interstate, their visits subsidised largely by the Federal Parliament and Civics Rebate (PACER) scheme.

The scheme was set up to provide students with a hands-on insight into Canberra's democratic, cultural and historical institutions. The scheme aligns directly with the national curriculum.

There are military-like logistics and planning behind bringing the school groups to Canberra, developing their itineraries, managing their transport, catering and dietary requirements.

But since May, the day-to-day uncertainties of border lockdowns have caused schools to put their trips on hold, meaning these local, specialist accommodation providers geared for large group booking now find their rooms empty and their staff laid off or working shorter hours.

Frances Egan-Richards who runs the Carotel in north Watson, said the knock-on effects of the border lockdowns have been financially devastating.

"The Covid border lockdowns have effectively cut off our life support as businesses," she said.

"It's not like our style of accommodation can pivot like other businesses.

"Our budget style of accommodation is geared to this specific market; we are purpose built for school groups.

"The worst thing is that we're now in term 3 of the school year and with no certainty around when the border lockdowns will end, schools are unable to plan their visits with any degree of certainty so they just put everything on hold.

"Given that uncertainty, the prospect for groups returning in term 4 are low to non-existent and then we run into school holidays through to February, so I can't see any volume returning to the student accommodation market until at least March next year."

Out at the Camp Cottermouth and the nearby Greenhills Centre, the accommodation at this time of year would usually be heaving with young people but again, the beds are all empty.

"Just when we thought we were getting back on our feet again from a business perspective, we have been hit again," John Bell from the 150-bed Greenhills Centre said.

"Normally at this time of year, we're so busy it's like a Tetris game to fit the groups in."

David Grigg, who manages the largest of the specialist student accommodation facilities, Canberra Park, said he felt most keenly for the support staff who work behind the scenes.

"There are chefs, cleaning staff, maintenance workers and reception people, all are affected; good people are being laid off and had their hours cut right back," he said.

"Like all the businesses affected by this issue, we've got a team of quality people working behind the scenes who know the business and love working here, but what do you do?

"The irony is that just a few kilometres up the road from us, there are accommodation places in NSW which are receiving government subsidies and support. Here in the ACT, in businesses which inject about $150 million a year into the local economy, we are just left to founder."

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