SYDNEY: They learned some tough lessons in their first year of operation - now designers at The Graduate Store are grappling with even tougher ones in the wake of its closure.
The store was forced to shut earlier this month after retail property giant Ipoh claimed a lease for the site had expired. Ipoh launched the retail concept two years ago in collaboration with The Fashion Design Studio TAFE NSW, offering six of its graduates a sponsored lease at its CBD shopping complex The Strand.
Ipoh spokesperson Sally Fairclough declined to comment on the details of the leasing agreement, but confirmed a new retailer was scheduled to occupy the level two space in July.
"The Graduate Store's lease in their current location had expired and they were offered to relocate on the same floor [but] a commercial agreement could not be reached," she said.
It is understood negotiations between the two parties began earlier this year when designers at the store were offered a smaller space on the same level. One designer, who did not wish to be named, claimed the business's lease had not expired at the time.
"There was [commercial] interest in the space where The Graduate Store was located so we were given the option of moving to another area of the building.
"At first, we were overwhelmed by the cost of having to set ourselves up with builders, electricians, painters. It would have cost somewhere between $30,000 to $40,000 and we just didn't have that kind of money."
Designers claimed Ipoh had pulled the lease before they were given an opportunity to review funding options.
"It was a fantastic opportunity but none of us had the capital to fund a new store. Everything had been stripped back at the new space, even the ceilings would have had to be installed. We had meetings back and forth and looked into [several] building options but by then it was too late."
Fairclough said Ipoh was "fully supportive" of fashion design graduates and had in the past and would continue in the future to sponsor initiatives outside of The Graduate Store.
"The Strand have worked with TAFE on several successful projects and will continue to do so throughout 2009 with several events and exhibitions planned."
Designers who worked at The Graduate Store - which featured a rotating roster - included Andrea Cainero, Michael Lo Sordo, Karla Spetic, Sara Phillips and Toby McLean. They were responsible for all aspects of the business including registration, store design, staffing, management and production.