Leading business associations are demanding the opening of all stores from 1 June, or additional support for the retail sector

The Latvian Chamber of Commerce and Industry, the Employers' Confederation of Latvia, the Latvian Traders' Association and the Alliance of Real Estate Developers have sent an open letter to the Prime Minister calling for all stores in Latvia, including stores in shopping centres, to be allowed to operate from 1 June. In the letter, the industry representatives explain that the existing restrictions in the industry are not epidemiologically justified and cause huge economic losses. In the event that the government does not decide to lift the restrictions, supermarkets expect additional support.


 
In a letter to the Prime Minister, the Minister of Finance and the Acting Minister for Economic Affairs, the trade industry explained that the current restrictions that prevent shops in shopping centres with an area of more than 7000 m 2 from operating, but allow smaller shops to operate, were not epidemiologically justified. Due to these restrictions, it is forbidden to work in a large number of companies in shopping centres throughout Latvia, and the amount of losses are increasing every month. The rental income of shopping centres for the first five months of 2021 does not exceed 50% of the total due amount. The latest data for April shows that shopping centre losses from rental income reached 55%, but on average from January to May this year, the planned loss of income is about 53%.
 
The letter states that the measurements made by Riga Stradins University in Latvian shopping centres confirm that the epidemiological situation in shopping centres is even safer than in the so-called small shops. On this basis, the industry calls for the resumption of operations of every store in the country from June 1, regardless of the area of retail space. In the absence of such a decision, the authors of the letter emphasize that, in the event of non-resumption, additional aid to compensate for the loss of rent should be considered. To cover the basic costs associated with the maintenance of premises and buildings, shopping centres are proposing additional aid of EUR 10 per square meter.
 
The letter mentions that from April 15 to 20 of this year, researchers from the RSU Laboratory of Hygiene and Occupational Diseases measured carbon dioxide (CO2 ) levels in five shopping centres - Alfa, Domina Shopping, Galleria Rīga, Galerija Centrs and Origo. They confirmed that CO 2 levels in shopping centres range from 395 to 690 ppm[1] - the lower the CO 2 level, the higher the air quality. Meanwhile, researchers from the UK (Environmental and Modelling group) admit that measurements of CO2 levels can be used as indicators for poor air ventilation. UK researchers (Environmental and Modelling group) have concluded that ventilation is one of the most important factors influencing the spread of the Covid-19 virus among people who are in the same room and within a distance of 2 metres[2].
 
About the NĪAA
The Alliance of Real Estate Developers brings together the most significant players of the industry in order to achieve the sustainable development of the real estate industry, represent it in a collective manner on a state and local government level, as well as emphasise the role of real estate developers and investors within the economy of Latvia.
 
For further information:
Mārtiņš Vanags - Alliance of Real Estate Developers (NĪAA)
martins.vanags@niaa.lv
 
 
[1] Parts per million (ppm) - the ratio of the number of particles to the volume where these particles are located.
[2] A study on the role of ventilation in controlling the spread of the Covid-19 virus has been carried out by a group of researchers from the Environmental Modelling and Monitoring Group. The study was published by the UK's Scientific Advisory Group for Emergencies, which provides scientific and technical advice to support government decision-makers in emergencies. More about the study: https://www.gov.uk/government/publications/emg-role-of-ventilation-in-controlling-sars-cov-2-transmission-30-september-2020