Photo: RNZ / Kate Green
The owner of Pandoro Wellington has announced its closure after nearly three decades in business.
A note in the store window from director Tony Beazley said it had just become too tough to keep its three bakeries open.
"The economic downturn, customers working from home, the redundancies in the public sector, cycle lanes and the Wellington City Council are all contributors," it said.
"A heartful thank you goes to my entire team over the year. To our customers thank you for your amazing support."
There have been more than 6500 job cuts announced among government agencies in line with government orders to downsize.
The council has also been progressing multiple cycleway projects, however, none of the Pandoro stores are on roads which have had cycleways installed.
Photo: RNZ / Kate Green
Beazley told Stuff the economic downturn and mass redundancies had "absolutely gutted" business in the capital.
"There was a day on The Terrace where 2500 people were made redundant one Friday, we sold a lot of cakes, but we didn't see anybody in the next Monday," he said.
He said consultation had just wrapped up with staff, with plans to pay wages, rent and creditors as long as he could, before closing down the sites, and the decision to shut followed a failed attempt to sell the business last year.
Photo: RNZ / Kate Green
It comes alongside news of other businesses in the capital struggling to stay afloat.
On Wednesday, Egmont Street Eatery announced it would be closing its doors at the end of September, after nine years in business, saying the current economic climate had created huge challenges and changes to its business.
Meanwhile, Wellington florist Yvette Edwards is also closing after seven years on Tory Street.
At the end of August, the owner of Sweet Release told RNZ she had just experienced her worst day of sales in 10 years of business.