Economic Correspondence

Response – Economic Impacts

      Distribution of impacts at Pomona are estimated to be half of the impact on service stations at Cooroy.
       (2.5% c.f. 5%). Matching impacts of 11% on the individual facilities are an anomaly of the estimated fuel
       sale volumes for each service station; not a matching distribution of attributed impacts.

      By their nature, service stations have a very dispersed market. Yes, potentially the proposed development
       could attract a third of the trade area market being that there would be three (3) service stations. But this
       would not be the only source of trade for any single facility, which would each, similarly to the proposed
       service station, have a level of rogue trade. The BP facilities within Cooroy for example would also have
       custom from other areas such as Noosaville and Pomona and visitors to the township.

      Whilst having different operators, both of the existing Cooroy service stations retail BP fuel products and
       neither offer E10, with price and location being the only differentiator. A new operator and brand at the
       subject site could be expected to attract trade from residents of the defined Trade Area, despite being a-
       central to populated areas of the catchment as residents seek choice and convenience. The heightened
       level of market share that the proposed development has been estimated to attract (30%) is an outcome
       of a lack of choice for residents in Cooroy, rather than a need for this trade to support the proposed
       development which will primarily support motorists of the M1/A1.

      Moreover, residents of the Trade Area may currently be directing their fuel expenditure outside the Trade
       Area in search of fuel operators and pricing strategies that better meet their motoring needs and
       expectations. The introduction of a new, modern fuel retailing facility to Cooroy is expected to retain a
       level of expenditure on fuel that is otherwise escaping outside the Trade Area.

      The inclusion of drive-through fast-food facilities within the proposed development which are otherwise
       not available throughout the Shire, would draw a level of custom for the co-located fuel facilities at the
       subject site.


“Issue – Industrial Land Impacts
       The analysis of impact on industrial land is undertaken at a high level. It indicates there is a high level of
       vacancy but does not indicate the average take up rate (i.e. demand).”




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