The purgatory being felt in pubs in Victoria has claimed its first victims, with two popular Melbourne hotels announcing permanent closure in the wake of the COVID-19 pandemic.
For the past decade and a half the historic Mona Castle Hotel in Footscray has been operated by Gary Clough.
A few days ago he announced on social media the pub was closed and no longer in his hands.
“Thank you all for your support over the last 15 years it was great to know all our wonderful patrons & know friends.”
Clough told 3AW’s Neil Mitchell things weren’t great before the pandemic, but got a lot worse.
After all hotels were closed in March he couldn’t sustain full rent payments to the landlord and the two parties entered into negotiations with the Small Business Commission.
After what is understood to be a confidential settlement, Clough handed back the keys to the pub, which has been in operation over 140 years.
Similarly, on Monday the Dean family announced its Morning Star Hotel in Williamstown will also not reopen.
While the family say their tenure was one they will “look back on fondly” the financial impact is simply too great.
Following an announcement by Premier Andrews on the weekend, the current restrictions on hospitality will remain until at least 26 October – or until Victoria records an average daily case rate over two weeks of five or less, and fewer than five cases requiring investigation.
With a rare perspective on how the pandemic has been managed and affected business in each state, Australia’s second-largest pub group, Australian Venue Co (AVC), is amongst those fearing for the industry in Victoria.
“The diversity of Melbourne’s pubs is what makes the city great. It is a tragedy that we are already seeing pub closures ahead of further Government support,” says AVC CEO Paul Waterson.
