Zara, Top Shop lure CBD tenants
The retail market in Perth's CBD is gearing-up for more demand from tenants later this year when Zara and Top Shop open their flagship stores.
Colliers International manager for retail leasing and sales Ben Tana said the arrival of the two international brands was fuelling more interest in the CBD, especially from luxury brands already in Melbourne and Sydney.
"These brands have very specific needs and if they can't get the right site, they'll wait and in some cases, that could be three or four years before they get the right location," Mr Tana said.
"Luxury fashion is a tough one because of Perth's small population but we can expect to see more luxury luggage, bags, accessories and jewellery." While retail sentiment had been subdued in the city for the past few years, Mr Tana said the arrival of international brands would focus leasing and retail attention on the city's market.
"The opening of Zara and Top Shop later this year will be a huge boost to the CBD and will drive a lot more traffic into the city and off the back of that I think a lot of other brands will show more interest," he said.
"If you put an international brand with 2000sqm of space in the heart of CBD, you will get people coming from all over Perth, on trains buses and driving in on the weekend to see and shop at these new places."
Mr Tana said CBD mall rents had started to rise, especially on Murray Street where work was underway on the new Zara and Top Shop stores.
"Other brands will want to feed off the back of the huge turnover that these new brands are hoping to achieve," he said.
Mr Tana said the new arrivals were helping to differentiate the CBD from sub-regional shopping centres. "Ultimately a lot of international brands will go to sub-regional centres but if we can get them in the city for a year or two that's a bonus for bringing in traffic to the city."
