Flagship retail outlets seeking prestige property: Herron Todd White
Overseas brands and luxury labels are driving demand for high-end retail space in Melbourne's CBD, using the influence of a prestige address to bolster the appeal of flagship outlets to potential shoppers, according to Herron Todd White.
Heron Todd White's September Month in Review mentioned companies such as Apple and Asics apply this approach to choosing real estate, forcing other retailers to compete through real estate.
"With the recent and continuing insurgence of new foreign retailers such as Sephora and Brooks Brothers, many of the existing high profile retailers are looking to differentiate themselves and update their images by developing flagship stores which serve as a showcase for the brand," the review noted.
"A recent trend in Melbourne retailing is the investment in unconventional retail locations such as airports, universities and hospitals. The second half of 2015 will see an additional 34 new retailers opening at Melbourne Tullamarine Airport as part of the $400 million redevelopment of Terminal 4.
"Notable retailers include Country Road, which will introduce its first full line airport store as well as a second Australian store for Desigual, the Spanish clothing retailer."
