Woolworths spent millions to buy this land. Why is it still empty? | The Business | ABC News [Video]

Australia’s major supermarkets are facing further scrutiny from the ACCC following allegations of land-banking levelled against them. The competition watchdog’s interim report released in September identified 165 blocks of land controlled by major supermarkets. Out of the 165 undeveloped sites, the ACCC says two-thirds — or 110 blocks of land in total — are held by Woolworths, with 42 by Coles and 13 by Aldi. The practice, known as “land banking”, refers to the strategic purchasing of sites by the supermarket giants to prevent their competitors from setting up shop. The ACCC recognises that zoning and planning laws may create “significant delays” for supermarket retailers, which can impact their ability to develop new stores. It’s a situation that the community of Murwillumbah, just north of Byron Bay, are well aware of. The town’s former bowls club was put up for sale in 2014, with Woolworths soon swooping in with plans to build a supermarket on the plot. However, 10 years later, the land is still vacant following the rejection of two planning proposals. In 2008, the ACCC’s final report into grocery prices found that zoning and planning requirements had an ‘unintended consequences of potentially impacting competition between supermarkts.’ Graeme Samuel, who was in charge of the competition watchdog during the inquiry, said the issues raised in the recent interim supermarket report proved not much had changed in 16 years.
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Read more here: https://www.abc.net.au/news/2024-10-14/supermarket-land-banking-woolworths-coles-accc-planning-laws/104467200

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