This was published 7 years ago
GPT weighs redevelopment of Highpoint, including possible hotel
By Carolyn Cummins
GPT Group is looking to expand its Highpoint shopping centre in Melbourne's west with the potential addition of a hotel, among other options.
While its plans have not been finalised, Highpoint will look to take on the new-look Chadstone shopping centre across town in Melbourne's south-east, where Vicinity Centres is also planning a hotel as part of its major works.
The shopping centre underwent a $300 million redevelopment in 2013 and was the first Australian shopping centre owner to have the international fashion giants Zara and Topshop under the one roof.
At an investor briefing on its retail development program on Wednesday, the group's head of retail and mixed use development, Anthony McNulty, said the forecast development pipeline was $2.1 billion across its portfolio of malls.
GPT Group's Highpoint in Maribyrnong in Melbourne's west, which could include a new hotel.
Included in this overall program will be the creation of a major town square at Highpoint, with the mixed-use potential being a hotel, residential, health – medical centres – and even a university.
The east side of the centre will be expanded with 30,000 square metres to include a second Coles supermarket, fresh food, more international outlets and increased leisure and entertainment spaces. The expected start for the east-side area is 2018 with an indicative completion in 2020.
GPT said it was also looking at a concept plan to add a further three floors to its Melbourne Central mall in the heart of the central business district.
This would be part of a $70 million rooftop expansion that could include retail, leisure and entertainment, possibly a library or other amenities. It remains at the conceptual phase, but indicates that inner-city malls must also cater for the new CBD residents.
Plans are afoot for a $300 million development at the Rouse Hill Town Centre.
In Sydney, at the Rouse Hill Town Centre, plans are afoot for a $300 million development, expected to start in 2017 and take two years. This will see an additional 29,000 sq m added to the area, including a "new generation" department store and "mini major" stores, of the ilk of Priceline and international players such as Sephora.
Mr McNulty said the opening of Sydney Metro Northwest will also allow Rouse Hill Town Centre to support greater capacity for residential, commercial and community uses over time.
The aim of the shopping centre landlord is to make use of all the land, and the tenants, by offering accommodation, residential, hotel and now education, that will see guests, residents and students use the centre's food courts, cinemas and in some cases, short-term office space.
Larger entertainment areas are part of the new-look centres, where locals can watch an array of shows and are now, in some areas, the meeting spot for the local Christmas pageants.
Gone are the days where people merely go to a mall to shop, instead the centres also have banks, Medicare outlets and beauty salons that offer a range of services from old-fashioned facials to all-day spas, complete with botox and fillers from trained medical staff.
In the recent profit results, service tenants, such as banks, generated as much rent revenue for landlords as the traditional department store and fashion outlets.
And with the advent of driverless cars, albeit still in the early stages of manufacturing, mall landlords will have to contemplate how to use the acres of car parking space to generate revenue.