QIC announces plans to sell its half share in Perth’s landmark Claremont Quarter

13 June 2024

Perth – 13 June 2024 – Investment company QIC is moving to sell its 50% stake in Perth’s Claremont Quarter, the city’s premium shopping and lifestyle destination.

The campaign follows circa $1.2bn in major shopping centre sales since the start of 2023, with an additional $1bn of transactions currently in play, including Lakeside Joondalup (50%) and Westfield Whitford City, both in Western Australia.

CBRE’s Pacific Head of Retail Capital Markets Simon Rooney and McVay Real Estate’s Sam McVay have been jointly appointed to steer the sale process for Claremont Quarter amid heightened interest in Australian shopping centre investment opportunities.

Claremont Quarter is jointly owned by QIC and Hawaiian. It is positioned approximately 9km south-west of the Perth CBD, in what is considered one of the city’s most prestigious suburbs, on a landmark 2.7ha site.

Offering a gross lettable area of 29,800sqm, the centre is securely anchored by David Jones, Coles and Jack’s Whole Foods & Groceries, supported by five mini-majors and 118 speciality stores and kiosks.

The attractive tenancy profile includes a range of leading retailers such as Zimmermann and Sass & Bide alongside international luxury lifestyle brands including Chanel and Georg Jensen.

CBRE’s Simon Rooney said, “The WA retail market has robust underlying fundamentals, benefiting from population growth, booming commodity prices, strong residential value growth, higher levels of disposable income compared to the national average and a relatively affordable cost of living – all drivers for 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. 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.

“Claremont Quarter will be competitively contested by a wide range of domestic and offshore groups given the centre’s standing within the surrounding retail hierarchy, turnover performance, attractive investment fundamentals, secure tenancy profile and strategic location within one of Perth’s most affluent catchments.”

Mr McVay noted that the centre was set to benefit from the recently commenced Claremont Quarter Laneway project which marked 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 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,” Mr McVay said.

The International Expressions of Interest campaign for Claremont Quarter is expected to close in mid to late August.