Investment firm QIC is moving to divest its 50 per cent stake in Claremont Quarter, Perth’s premier shopping and lifestyle precinct, amid heightened investor appetite for Australian retail assets.
The sale campaign comes on the heels of around $1.2 billion in major shopping centre transactions across the country since early 2023, with an additional $1 billion worth of deals currently in play.
These include stakes in Lakeside Joondalup and Westfield Whitford City, both located in Western Australia.
CBRE’s Pacific Head of Retail Capital Markets Simon Rooney and Sam McVay of McVay Real Estate have been jointly appointed to steer the divestment process for Claremont Quarter.
Jointly owned by QIC and Hawaiian, Claremont Quarter is situated approximately nine kilometres southwest of the Perth CBD in the affluent suburb of Claremont, on a landmark 2.7-hectare site.
The 29,800-square-metre centre is anchored by David Jones, Coles, and Jack’s Whole Foods & Groceries, complemented by five mini-majors and 118 specialty stores and kiosks.
Its attractive tenancy mix includes leading Australian retailers like Zimmermann and Sass & Bide, as well as international luxury brands such as Chanel and Georg Jensen.
According to Rooney, the Western Australian retail market benefits from strong underlying fundamentals, including population growth, booming commodity prices, robust residential value growth, higher disposable incomes compared to the national average, and an affordable cost of living — all drivers of retail demand.
“There are limited opportunities to add supply, particularly as the construction labour market remains tight. Pricing for real estate in Perth is also attractive in an Australian context,” he said.
“We expect investment activity will remain elevated with multiple large retail assets currently in play, in what traditionally has been one of the more tightly held markets in Australia.”
Rooney added that Claremont Quarter’s standing within the local retail hierarchy, turnover performance, attractive investment fundamentals, secure tenancy profile, and strategic location within an affluent catchment area would make it a highly sought-after asset among domestic and offshore investor groups.
McVay noted that the centre is set to benefit from the recently commenced Claremont Quarter Laneway project, a significant milestone for the asset.
“Once complete, the reimagined Laneway will deliver an engaging dining precinct with elevated food and beverage offerings.
“This is in line with the Town of Claremont’s broader vision for the area and will strengthen the suburb’s position as a destination for shopping, restaurants, bars, nightlife attractions, and community events,” McVay stated.
The international expressions of interest campaign for the Claremont Quarter is expected to close in mid to late August.
