Market is starting to improve - area to avoid is anything to do with males 18 - 25 (highest unemployment rate) or people age 28-35 as this is the age group most affected by high house prices in the boom.
35 - 45 may be affected a little less by house prices, but many will have the expense of children.
Over 45 age group are the group with money and once confidence returns, they will be first group to spend.
So, if your target market is age 45+, stick with it and the market should come back. If you are targeting other groups, it may be too long before they start spending for your to make it worth your while.
Talk to the landlord - show the figures you have an dtry at least to get 20-25% off rent (50% is asking too much). Also start a payment plan on rates - they will go after you personally and are your responsibility.