Opinion: Take a sip of positivity

Thursday 8th May, 2025 by Mark Knoff-Thomas.

As challenging as it has felt, we are feeling more upbeat about what is happening on the retail and hospo scene. In terms of an economic cycle, Newmarket is on the upward swing once again. We have the highest number of new business openings (confirmed and under negotiation) that we’ve had since pre-COVID.  Our research showed us that Broadway and surrounding streets would take a year or two to recover after the re-opening of Westfield. In late 2019 Westfield delivered us New Zealand’s true international-standard shopping centre experience, like nothing else in the country. However, as we all know, the country shut down in early 2020… we have battled through a pandemic, a crime crisis, inflation, the economic downturn, plus a few confidence wobbles caused by the “Trump factor”…

All of this dampened confidence and demand for new retail sites. But despite all this… the signs are good -  our precinct-wide recovery is running a bit late, but it is well and truly underway. We have major retail and hospo brands scouting the area at the moment for new premises, deals are being done - so watch this space. 2025 is proving to be a solid slog, 2026 will bring growth.

And in general as a country we are well-positioned for a positive and more prosperous future. We are a stable, attractive destination offering huge growth potential. Our outlook is bright, and despite global challenges, the country’s economic recovery appears strong and sustainable.  NZ as a whole is presenting a more hopeful scenario, particularly within the core retail, hospitality and travel sectors.  At a macro level the country’s retail sector while still facing some post-pandemic, and post-peak-inflationary headwinds, is showing positive signs of sustained recovery and increasing optimism.

The hospo sector overall and in Newmarket too, has been holding up pretty well at a macro level - fuelled by the resurgence of international and domestic tourism. Those big events (thank you Cold Play) pay dividends - we just need many more of them. High-value tourists from key markets like Australia, UK, USA, and many parts of Asia are beginning to return, bringing with them significant spending power. And let’s not forget that significance of the regions of NZ! Additionally, our reputation as a safe and attractive travel destination, in an increasingly uncertain world, plays a key role in supporting this growth.