SEPTEMBER 2023 NEWSLETTER

The first half of 2023 has provided an interesting insight as to how both retailers, landlords and consumers all respond to inflation and increasing interest rates.

Inflation skyrocketed earlier in the year at 7% in Q1 and 6% in Q2. This placed significant pressure on retailers and their businesses, particularly those inter-state with CPI + 2.5% reviews. This has seen an uptick in leases being ‘reshaped’ to ensure occupancies remain sustainable. Property disputes with Landlord’s is also on the increase as they push to maintain their current valuations and rents.

Leasewise Projects

JAN 2023 TO JUN 2023

Conversely, retailers with a strong foundation, who understand their customer and who continue to evolve internally, have seen the retail landscape as opportunistic and have continued with new store roll outs. They have been able to obtain a greater market share as their competitors look to consolidate their own business.

In combination with a strong staple group of clients and of our knowledge of market conditions and trends, LeaseWise was able to deliver 52 new stores across Australia. Averaging out to be over 1 new store delivery per week this is an exceptional result for a small boutique firm and highlights our dedication to obtaining the best possible sites and outcomes for our clients.

52 New Sites by Category

Looking at the overall market in the coming months and as more mortgages switch over to current interest rates there will no doubt be some tightening on consumer spend. As to the full impact this will have on the retail landscape this is still likely play out. Whilst in the past the Government was able to provide economic relief/ support through decreasing the cash rate, their hands are tied as they also grapple with controlling inflation.

New Sites by Region

LeaseWise is equipped to commence lease rectification discussions for any business that maybe seeing their occupancy costs trending in the wrong direction. We are also equipped to support retailers with all other lease related matters, particularly as conversations become more difficult and disputes arise with the changing economy.

Store Openings in 2023

FURTHER STORES COMING SOON

3 Boys Pizza -Blackburn Square   VIC

13 De Mazo – Emporium VIC

Foodao – Parkmore VIC

General Public – Corio VIC / Ballarat VIC

Kitten D’Amour – Doncaster VIC

KFC -Spencer St   VIC

Lee  Massage & Acupuncture – Warringah Mall NSW

Lee Massage & Acupuncture – Glendale NSW

Pappadelle – Karingal VIC

Pharmacy @ Knox- Relocation Knox

Sandwich Chefs -Rundle Place  SA

Twisted Sista- Casey VIC

Find out more about our services

Our commitment to our retail partners is to continue achieving exceptional outcomes for their businesses. Retailers looking for tailored leasing assistance, feel free to reach out to one of our expert & passionate team member who can provide specialised retail leasing services across a broad range of retail categories.

We thank you for your ongoing support and we look forward to
connecting with you again in our end of year Market Update.

The Leasewise Team