Report | Creating Resilience

Australia Retail Flash Survey

February 14, 2023

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CBRE has collated the Australian responses from our recently released APAC Retail Flash Survey. The responses reflect confidence about the year ahead with retailers expecting sales to continue to grow and store networks to expand amid continued cost pressures.

Australian retailers were optimistic about 2023 with 83% planning to open more stores with just 6% planning to decrease the number of stores in their network. Unsurprisingly, no respondents were planning to decrease the quality of their store locations with 61% planning to capitalise on market conditions and improve the locations of stores in their network.

A third of respondents are planning on increasing the size of their store footprints which reflects the continued push towards larger stores that contain experiential elements while capitalising on a softer leasing market experienced in the past three years.

Other areas of focus include lease renegotiation or restructuring amid growing demand for the inclusion and expansion of force majeure clauses after the pandemic, and a shift to a turnover rent model amid what is still a tenant-favoured market.