According to the Urbis Australian Shopping Centre Industry report (August 2015) there were 1,753 shopping centres in Australia which exceeded 1,000 square metres of gross lettable area (GLA). These comprised:
- 67 Regional shopping centres (i.e. those that include at least one department store);
- 286 Sub Regional centres (i.e. those that include at least one discount department store as the major anchor tenant);
- 1,104 Neighbourhood or supermarket-based shopping centres (i.e. those that include at least one supermarket as the major anchor tenant); and
- 107 CBD centres.
This number also includes 189 factory outlet centres and themed centres which are often categorised as shopping centres because they have adopted the shopping centre format (that is, usually a single, enclosed centre which houses a number of retailers). Note: This data excludes Homemaker/Large Format Retail centres.
These shopping centres contain more than 65,000 speciality shops. The advantage for retailers who lease space in shopping centres is that customer foot traffic can be much higher and more concentrated than in other retail locations. Leasehold also has the advantage that retailers don’t have to utilise capital to buy freehold, thereby reducing their property risk. This means the real estate risk is being carried by the investors in the shopping centre, not by the retailer.
Australian shopping centres contain around 18.7 million square metres of GLA, which accounts for around 37 per cent of the total retail space in Australia. This equates to approximately 94 square metres of GLA per 100 people in Australia, which is relatively high by world standards although not as high as in the USA and Canada. Below is a table of selected comparable markets:
|Country||Market Size||Population||sq m of GLA|
|(million sq m)||(million)||per 100 Persons|
|Source: ICSC Research – latest available Country Fact Sheet for each country.|
Regional shopping centres contain around one quarter (26 per cent) of the total shopping centre space; Sub Regional centres contain 34 per cent; Neighbourhood centres hold 31 per cent; and CBD centres contain 4 per cent.
According to the Urbis report, for the 12 months ending June 2014, total retail sales made through Australian shopping centres was estimated to be $120 billion, which was equivalent to 7.7 per cent of Australia’s gross domestic product.
As at May 2017, 10.2 per cent of the Australian workforce was employed by the ‘Retail Trade’ sector and approximately two thirds of these were employed in shopping centres. ‘Retail Trade’ is the second highest contributor to employment in Australia after the ‘Health Care and Social Assistance’ sector (13.0 per cent).
According to the publication SCN (Shopping Centre News), the five largest shopping centres in the year to December 2016 by moving annual turnover were:
- Chadstone (Melbourne) $1.524 billion (212,300 sq m GLA)
- Westfield Sydney (Sydney) $1.171 billion (166,602 sq m GLA)
- Westfield Bondi Junction (Sydney) $1.053 billion (130,623 sq m GLA)
- Westfield Fountain Gate (Melbourne) $1.001 billion (178,131 sq m GLA)
- Highpoint Shopping Centre (Melbourne) $9691.4 million (154,000 sq m GLA)
The five largest shopping centre owners, by total GLA, are:
- Scentre Group (owner and manager of Westfield centres in Australia): 3.4 million sq m;
- Vicinity Centres: 2.8 million sq m;
- QIC: 1.0 million sq m;
- Stockland: 1.0 million sq m;
- AMP Captial Investors: 845,000 sqm
Updated August 2017.
Data Sources: SCCA Research, Australian Bureau of Statistics, Shopping Centre News, Urbis