Retail Market Breakdown - October 2018
Welcome to Tenant Leasing Group’s breakdown of the retail market for October, 2018!
This month we’ve seen two new retail developments progress on the North Shore. Growth continues in Sydney’s west in anticipation of the Badgerys Creek airport, with exciting new zoning that allows a variety of uses to stimulate employment in the area. Mixed use seems to be developers’ flavour of the year, with Shangri-La being introduced to Melbourne as a notable example. Finally retailers get ready for Christmas with Toys on the radar for some, and Australian 1st retail technologies being rolled out by others.
We hope this quick industry news summary is relevant & useful to you.
Retail precinct in bustling lower North Shore suburb to be revived
Sun Property Group has proposed a multimillion-dollar mixed-use development in Sydney’s Lane Cove. Demolition of the existing buildings at 56-60 Burns Bay Road is planned to make way for a retail tenancy, a community space, a restaurant and two residential apartment buildings. Sun Property Group hopes to create a ‘vibrant urban village’, with opportunities for a variety of tenant types. The animated Group general manager Cameron Johnson said, “We very much look forward to what the future holds for Lane Cove and its community.” Read the full article (3 mins).
Land near Western Sydney Airport snapped up for $5.75 million
A sale of land in Badgerys Creek, the future home of Western Sydney Airport, has set a high benchmark of $1m an acre. The new owner is an automotive company based in the Sydney CBD, which plans to occupy the site and capitalise on the main-road exposure in the future. Available land surrounding the airport continues to rise in price with a variety of proposed uses and opportunities for a range of tenants. The Badgerys Creek land is earmarked for rezoning into a new land use category called “flexible employment land” in the future. The zoning will accommodate freight-related purposes, according to the NSW Department of Planning. Read the full article (4 mins).
Retailers hope for a thriving Christmas after Toys R Us liquidates
Many retailers are going in on the toy game this year after the country’s biggest toy store liquidated with Christmas round the corner. Retailers want their slice of pie. At this stage analysts suggest that key players involved in Toys R Us’ decline — namely Walmart, Amazon and Target — will benefit most in the new market. But many are making a go of it, setting up a kind of Darwinian game of “Sorry!” as retailers battle for toy market share. Read the full article (7 mins).
Shangri-La starts construction in Melbourne
Construction has started on a $565 million mixed-use development, which will feature the entry of the luxury Shangri-La Hotels brand into the already competitive Victorian hotel market. Titled ‘Sapphire on the Gardens’, the dual-tower property is located at 308 Exhibition Street in the CBD. Multiplex is managing the construction which is due to be completed in 2022. It will bring opportunities for luxury fashion brands and restaurants. Read the full article (3 mins).
Seafolly introduces Australian 1st for retail technology
Swimwear retailer Seafolly introduced its much anticipated ‘magic mirror’ technology at the Westfield Bondi Junction store in Sydney last Wednesday. Tied directly to Seafolly’s stock management system, the technology allows customers to ‘ping’ sales staff to collect a different size without leaving the fitting room and suggests items based on what they have brought into the fitting room to try on. The technology also assists in stocktake automation giving sales staff a clear idea of the products available at anytime. Read the full article (4 mins).
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