Melbourne’s perennial top-performing shopping strip, Church Street, Brighton, has retained its place at the top of retailers’ wish lists throughout the COVID period, with spaces at either end of the strip leased on long-term deals.
Fitzroys agents Mark Talbot and Tom Fisher negotiated the latest leases on behalf of respective private investors.
The 81sqm shop at 40C Church Street was leased on a seven-year term at $120,000 plus outgoings and GST to national fashion retailer Flannel. Number 107 was leased to a high-end green grocer on a 7+7-year deal at $110,000 per annum.
“Seven-year leases are huge in this environment,” Talbot said.
“We received interest from a range of specialty retailers, including clothing and footwear tenants, service retailers such as allied health, skin care and beauty tenants, and a range of hospitality operators.
“This demonstrates the blue-ribbon fundamentals of the strip that make it appealing across the retail spectrum.”
Talbot said the high-end green grocer recognised the rare opportunity to secure a Church Street, Brighton property of this size on a corner location and with rear access, while the growing Flannel is looking to bring its new retail outlet, Store Chance into the space.
“Store Chance saw a rare opportunity in the market. Their Albert Park location has been trading really well, and is anticipating a big spring and Christmas period as Melbourne opens back up.
“Their new shop is located in the prime of the street, offering the perfect opportunity to capitalise on the year’s biggest trading period.”
Talbot said retailers continue to see high value in bricks and mortar stores that are located among a strong tenancy mix and within renowned established, affluent catchments.
“Church Street, Brighton is positioned within one of Melbourne’s most prized catchments, boasts a strong mix of national retailers and fashion labels, and highly regarded local operators, and also benefits from constrained supply.
“Retail spaces in Church Street rarely become available and there is a long queue of retailers and operators seeking space, even throughout the COVID period,” he said.
Fisher said Melburnians have been reconnecting with their local strips as many are working from home. The enduring sense of community created by strips is likely
“These long-term deals show the confidence retailers have in shopping and lifestyle throughout Melbourne’s famous retail strips.”
Talbot said Brighton’s fundamentals have been further enhanced with the ongoing addition of medium-density residential developments in what is broadly a low-rise suburb, while the suburb is home to a number of highly sought after secondary schools.