Melbourne Retail Strips Report 2024
Research On 10 Key Retail Strips
Latest Precinct Profile Analysis
Expert Outlook & Insights
We know Retail. We know Melbourne.
Local Lifestyles Propel Melbourne’s Retail Strips to Maintain Low Vacancies
Executive Summary
The retail landscape in Melbourne has demonstrated resilience, with the city’s renowned shopping strips maintaining low vacancy rates despite economic headwinds. The Fitzroys Walk the Strip 2024 report reveals an average vacancy rate of 6.3%, marginally higher than the previous year’s record low but still below the long-term average of 7.4%. This stability is attributed to the adaptation of Melburnians’ lifestyles, particularly the shift towards working from home, which has bolstered local businesses.
Key Findings
Vacancy Rates: Out of 37 surveyed strips, over 70% recorded vacancy rates below the long-term average.
Food and Beverage: Continued growth post-pandemic, now constituting 30.9% of strip occupancy.
Service Retail: Increased to 28.1%, nearing a long-term high as pandemic-related concerns wane.
Specialty Retail: Rose to 34.0%, with notable performance in areas like Church Street, Brighton, and High Street, Armadale.
Development Sites: A decrease in development sites by 1.5% to 0.7%, indicating project completions.
Market Dynamics
“Average vacancy rate of 6.3%
Melbourne’s shopping strips are experiencing a period of equilibrium, with a balanced mix of specialty, service, food and beverage offerings reminiscent of pre-pandemic times. However, the current economic climate presents new challenges, including high inflation and cost-of-living pressures. The primary driver for sustained business is the increase in remote work, leading to more localised patronage for daily needs and leisure activities.
Sector-Specific Trends
Barbers and Hair Salons: A surge in leasing deals, reflecting reduced concerns about close contact and an increased demand for personal services.
Population Growth: Melbourne’s population grew by 3.3%, enhancing foot traffic and spending in shopping strips.
Hospitality Tenants: Remain highly active, capitalising on the ongoing demand for takeaway and delivery services.
Collaboration: Post-pandemic, landlords and tenants have shown greater flexibility in lease negotiations, adapting to market conditions and tenant requirements. This includes more flexible lease terms, as well as retaining fit-outs across various retail sectors to facilitate quicker and more cost-effective business establishment.
Notable Strips
Church Street, Brighton: Maintains the lowest vacancy rate at 0.7% and continues to attract high-end boutiques and national traders.
High Street, Armadale: Challenges for the title of premier shopping strip with a vacancy rate of 2.3% and commanding the highest rents across Melbourne’s Strips.
Acland Street, St Kilda: Showed significant improvement, with a 3.4% reduction in vacancies to 9.4%.
Development Impact
Several strips are benefiting from nearby developments, swelling the local population which contribute to improved trade prospects and rent growth potential. For instance, Puckle Street, Moonee Ponds, and High Street, Armadale have seen a boost from residential projects that enhance the local catchment.
Conclusion
Despite economic uncertainties, Melbourne’s shopping strips have adapted and thrived, supported by lifestyle changes and strategic landlord responses. The Walk the Strip 2024 report underscores the importance of understanding consumer behaviour and the impact of local developments on retail success.
“Low vacancy rates driven by localised spending attributed to continued working-from -home shift.
BRIDGE ROAD
CHURCH ST - BURNLEY ST, RICHMOND
There’s nuance to Bridge Road’s high-profile struggles of recent years. One of Melbourne’s longest shopping strips; development and demographic trends have seen the former factory outlet fashion hub effectively transition into three contiguous strips as it finds its way through the 21st century.
The evolution of the Epworth Hospital at the city end, between Punt Road and Lennox Street, has been a draw card for gyms, allied health and skin clinics. However, this section, and the adjoining section running from Lennox Street to Church Street, are home to the highest vacancies in all of Melbourne’s strips in 2024 however they have reduced from the highs of 2021.
It is the east end, running from Church Street to Burnley Street, that has become the prime trading section of Bridge Road, which maintained singledigit vacancies for another year. The section has found its groove as a thriving food hub on its south
side particularly, which carried into 2024 with Thai restaurant D’Elephant, Silvio’s Pizza House, new wine bar Fraek Vin, and popular artisan baker Penny for Pound all opening up. Big box and large format retailers typically take up space on the north side, while services increased their presence in this section over the past year, with pet groomer Furever Friends by Pla, RH Barber, and mobile repair shop Richmond Phone all moving in.
“In Richmond, with the evolution of residential, retail, hospitality, developments and refurbishments of this inner-fringe area, demand is set to rise for its iconic Bridge Road retail strip.”
– Shane Mills, Fitzroys
INSIGHT: From 10.7% in 2023, Bridge Road, from Church St to Burnley St, Richmond’s vacancy rate decreased to 7.2% in 2024, marking a significant improvement.
VACANCIES 2023-2024
3.5%
CAMBERWELL JUNCTION CAMBERWELL
One of Melbourne’s more established shopping precincts, Burke Road and Camberwell Junction have moved to “one to watch” status, as ongoing medium and high-density residential development and a growing inner-east office market add more spending capacity to the affluent and loyal catchment.
The precinct has again recorded single-digit vacancies. Japanese salad purveyor Fishbowl, Japanese eatery Shuu, national frozen yoghurt chain Yo-Bar, Bonbons Bakery, Golden Leaves Café and bubble tea maker Teaser all opened, while women’s fashion label Kookai led specialty entrants. Service retail remained high as Travel Money, MKC Phone & Computer Repairs and wellness clinic Nagomi Retreat all entered the strip. They join the Junction’s unique retailers and complete offering of national businesses and brands, as well as Camberwell Place shopping centre, the Camberwell Fresh Food market, the Camberwell Sunday Market and the iconic Art Deco-style Rivoli Cinemas.
The inner-east’s growing office market has helped boost daytime activity, and is encouraging more people to move to an area where they can live, work and play. Camberwell Junction also stands to benefit from an influx of new locals: a new 12-storey residential building has just been given the green light by the City of Boroondara at 699 Burke Road, which will bring 36 new apartments to the strip; while Council’s Structure and Place Plan1 would allow for higher-density development around Camberwell Junction, and deliver 1,500 new apartments housing 3,500 new residents to the area between now and 2051.
“Camberwell has a strong Retail Traders Association who will be using recent research of shopper perceptions of the precinct’s offering as the finest grocery and dining destination to strengthen ‘Camberwell Junction’ and drive more foot traffic with a focused advertising strategy.”
– Ned Murray, Fitzroys
1. https://yoursay.boroondara.vic.gov.au/camberwell-junction-draft-plan
INSIGHT: From 5.4% in 2023, Camberwell Junction’s vacancy rate rose slightly to 6.1% in 2024, reflecting a subtle market adjustment in this established retail precinct.
VACANCIES 2023-2024
0.7%
CARLISLE STREET BALACLAVA
Carlisle Street, Balaclava’s vacancy rate decreased again in the past year, as its cosmopolitan offering of cafés, bakeries, eateries and bars continues to draw visitors from its loyal local catchment and the surrounding south-side suburbs.
Food and beverage has been driving take-up in the strip. New pasta and wine bar Mondo di Pasta opened its doors, as did Italian spot Pesto’s Ristoranté, Irish Chipper Sneaic and ice creamery and crêperie La Creperie De Ciel. They joined a rich and varied hospitality offering that ranges from local institution Glick’s Bakery, credited with bringing bagels to Melbourne, to one of the city’s first holein-the-wall cafés, Wall Two 80, through to a suite of trendy restaurants and nightspots. At 40% of the retail make-up, the offering accounts for one of the highest proportions of food and beverage of any strip in Melbourne, and is at a long-term high for Carlisle Street.
Tight availability of space on the strip and high foot traffic levels driven by the presence of major supermarkets Coles and Woolworths have encouraged businesses move into the network of surrounding streets, including fitness centre Anytime Fitness and Up Climbing.
The heart of Carlisle Street is potentially in line for a major refresh: Coles has made a circa-$100 million investment in the strip, buying its own supermarket building and the surrounding shops fronting Carlisle Street, which together are expected to be part of a retail precinct redevelopment.
“With the support of strong retail engagement programs, Carlisle Street is progressing markedly with vibrant and innovative popups and year-round events in Balaclava’s beloved retail heart.”
– James Lockwood, Fitzroys
VACANCIES 2023-2024
INSIGHT: From 7.9% in 2023, Carlisle Street’s vacancy rate dipped slightly to 7.1% in 2024, indicating a positive shift in this dynamic and bustling retail locale. 0.8%
TENANCY MIX:
TENANCY MIX - Carlisle Street, Balaclava
CENTRE ROAD
BENTLEIGH
Centre Road, Bentleigh has been a stand-out strip in recent times, and vacancies halved in the past year to sit among the absolute lowest in Melbourne. The surge in demand has been driven by the growing food scene, while the strip continued to prove the power of a triple supermarket offering, plentiful car parking, and enhanced accessibility via the state government’s level crossing removal project.
Coles, Woolworths and Aldi supermarkets, together with a broad offering of fashion, services, fresh food, café culture and eateries gives Centre Road one of the most evenly-balanced retail tenancy mixes in Melbourne, and draws shoppers from a large catchment. The mix supports trade across nearly 30,000sqm of retail floor space, which makes Centre Road the largest shopping strip in the City of Glen Eira who estimate there is demand for an additional 12,800sqm of retail floorspace in Bentleigh between now and 2036, which is expected to be delivered above existing spaces and via the redevelopment and consolidation of existing sites.
New additions to Centre Road’s burgeoning food and beverage line-up include expanding Korean eatery Gami Chicken and Beer, national frozen yoghurt slinger Yo-Bar, and Doey’s Pizza, while Indian grocery store Quality Bazaar and Milo’s Deli brought extra flavours.
“Centre Road has halved its vacancies, driven by its booming food scene and triple supermarket offering, making it one of the bestperforming strips in Melbourne.”
– Tom Fisher, Fitzroys
INSIGHT: Centre Road’s vacancy has plummeted since 2019 and continues its downward trend to 2.6% from 2023, showcasing a remarkable retail resurgence and robust community engagement.
VACANCIES 2023-2024
2.6%
Rd, Bentleigh
CHAPEL STREET
WINDSOR, PRAHRAN & SOUTH YARRA
Famous Chapel Street runs through Windsor, Prahran and South Yarra, and is frequently cited as a bellwether for shifts in Melbourne’s shopping strip landscape. This has been reflected in heightened vacancies during COVID, into a sensational rebound in line with surging local residential and commercial development and greater tenancy demand.
Chapel Street, Windsor boasts arguably the premier hospitality offering south of the Yarra. New additions include Italian restaurant and basement bar Studio Amaro, from the acclaimed Commune Group, as well as Middle Eastern-inspired charcoal restaurant and cocktail bar Henrietta, Windsor Wine Room and Interlude Bar; while Lucas Dining Group has just opened an atmospheric Japanese sake bar and restaurant Tombo Den.
The Prahran stretch has seen increased activity following the $3.7 million revamp of the suburb’s renowned skate park, and the opening of Chinese restaurant Suzie Q, from the minds behind Ho Chi Mama, while the City of Stonnington Council opened the Prahran Town Hall to the public as a study and co-op work space.
Vacancies in the high-profile South Yarra stretch have fallen further to record another long-term low. Trade has been supported by new residents and office workers in the high-density Forrest Hill precinct and the Capitol Grand tower. A mixture of retailers have seen value in the strip – Ivory Thread Bridal, Theodore Men’s Jewellery, Emotional Oranges Crepe Cake & Café, and Bistro de Paris South Yarra are all recent entrants. There is great anticipation for what’s to come: perhaps the most high-profile development on all of Melbourne’s shopping strips is the forthcoming $2.75 billion transformation of the Jam Factory by Gurner and Qualitas. The project will deliver 20,000sqm of new retail space, 15,000sqm of offices, four residential towers, two hotels, and an upgrade to the existing Village Cinemas complex.
“Chapel Street has rebounded from COVID, with the Windsor and South Yarra stretches now recording long-term low vacancies, fuelled by new hospitality entrants and residential developments.”
– Lewis Waddell, Fitzroys
VACANCIES 2023-2024
INSIGHT: Chapel Street vacancies from Windsor to South Yarra lifted from 6.6% to 8.1% signalling a slight market adjustment with overall lower vacancy trend for this iconic retail strip. 1.5%
CLARENDON STREET
SOUTH MELBOURNE
Clarendon Street is amongst the few true CBD fringe shopping strips in Melbourne – and has had a front-row seat to the large-scale residential and commercial development across former industrial precinct Fishermans Bend, Southbank and St Kilda Road, which offers unrivalled catchment and trade prospects to the strip.
Clarendon Street is at the heart of one of Melbourne’s oldest neighbourhoods and is complemented by the much-loved South Melbourne Market. The suburb is home to a fast-growing office market, which together with apartment towers in Southbank is helping to provide a boost in activity throughout all hours, supporting its eateries, pubs and service retailers alike.
The adjacent 480-hectare Fishermans Bend precinct has been earmarked by the Victorian government and Melbourne City Council for intensive development in the coming decades. Currently, it has a population of less than 6,0001,
and Council expects this will sky-rocket to 80,000 residents and provide employment for up to 80,000 people by 20502 . This will bring an unprecedented wave of new local residents who will be looking for somewhere to go shopping, require services, hit the gym, have a coffee, and restaurants to eat.
“Clarendon Street benefits from its proximity to South Melbourne Market and a growing office market, keeping activity strong throughout the day and supporting its eateries and retailers.”
–
James Lockwood, Fitzroys
1. https://forecast.id.com.au/port-phillip/
2. https://www.melbourne.vic.gov.au/fishermans-bend-urban-renewal
INSIGHT: The vacancy rate decreased from 7.8% to 6.4% in 2024, indicates a modest change in the established Clarendon Street shopping strip.
VACANCIES 2023-2024
1.4%
GLENFERRIE ROAD
MALVERN
Glenferrie Road, Malvern is one of the best proponents of the theory that a strong, established catchment leads to the consistent performance of a shopping strip. The strip has admirably weathered multiple challenges over the long term from nearby strips and shopping centres, and today offers a quality mix of local and national operators.
Headlining Glenferrie Road are all major banks, Coles Supermarket, Dan Murphy’s, and Australia Post, complemented by Glick’s Bakery, Fleischer Cakes, kosher butchers and deli and small goods retailers. This is supported by an affluent local population – with a particular spike in activity at the end of the school day – and further assisted by a plethora of public transport options and plentiful car parking.
Over the past year it was service retailers who dominated take-up, driving vacancies to their lowest rate since the eve of COVID. Bupa Dental is set to move into the strip, following beauty and wellness tenants Cre8tive Nailz and Spa, Pulse Scalp and Skin Clinic, Mátia Brows and Lashes, and Life and Mind Massage, as well as psychologists Humans Being Counselling.
Meanwhile, the prominent former NAB building at the corner of Wattletree Road has been acquired by a hospitality operator with plans for a new restaurant with a rooftop bar. Mexican chain Zambrero and cult ice creamery Gelato Messina were notable additions to the food and beverage offering.
“Glenferrie Road’s low vacancy rates and quality mix of local and national operators have cemented its position as one of Melbourne’s most consistent strips.”
– Lewis Waddell, Fitzroys
INSIGHT: Vacancies in Glenferrie Road dropped slightly from 7.7% in 2023 to 6.6% in 2024, continuing a stable downward trend in this vibrant retail district.
VACANCIES 2023-2024
1.1%
MIX - Glenferrie Road, Malvern
HIGH STREET NORTHCOTE
The “Coolest Strip in the World”, according to influential global publication Time Out, High Street, Northcote has emerged in recent years to become arguably Melbourne’s premier inner north lifestyle and hospitality precinct, with an array of popular eateries and live music venues joining local institutions such as the Northcote Social Club, Wesley Anne and Northcote Theatre.
Like its inner-north peers, Northcote is seeing a swathe of medium and high-density residential projects introduced to the vicinity, with young professionals, families and “down-sizers” wanting to live close to a world-class cultural offering.
High Street, Northcote retained a very low vacancy rate, at just 4.1%, as the rhythm of Melbourne’s arts and nightlife scenes continued its post-pandemic return. Additions to the broad hospitality stable included new whiskey and cocktail bar Goodwater, hit Jordanian food truck Wazzup Falafel’s first storefront, Vietnamese eatery Oh! Banh Mi Pho and Japanese restaurant Haru Dining.
Daytime trade is supported by Northcote Plaza and Northcote Central shopping centres, which offer Coles and Aldi supermarkets. Just south of the prime strip section, the architecturally striking Art Deco Palace Westgarth Cinema and Bar is a food and entertainment anchor which draws visitors from all over Melbourne.
Services underpinned recent leasing, reflecting the changing demographics of the area. Hair salon Alexia Mane, skin care clinic HÜD Northcote, wellbeing clinic So Shall It Be, and tutoring service TargetEd all moved in.
“High Street, Northcote continues to lead the way with a low vacancy rate, drawing in visitors with its world-class cultural and hospitality offerings.”
– Ervin Niyaz, Fitzroys
INSIGHT: High Street, Northcote maintains a stable 4.1% vacancy rate in 2024 from 3.9% in 2023, reflecting its status as Melbourne’s premier cultural and lifestyle hub
VACANCIES 2023-2024
0.2%
LYGON STREET BRUNSWICK EAST
Lygon Street, Brunswick East has emerged as one of Melbourne’s popular inner-north lifestyle and hospitality strips in its own right, with its eclectic offering powering the suburb to sixth place in Time Out’s most recent “Coolest Neighbourhood In the World” list.
The strip has one of the lowest vacancies in Melbourne, at just 3.7%. It’s energised by a surging local population filling the multitude of apartment towers that have sprung up around the strip and more are on the way.
Lygon Street, Brunswick East is home to popular hospitality venues such as 400 Gradi, Bar Idda, the artisinal taco restaurant CDMX, and Lebanese restaurant Teta Mona, as well as a top-tier list of trendy bars that includes Old Palm Liquor, Maggie’s Snacks & Liquor, The Alderman, Atticus Finch, Mr Wilkinson, the East Brunswick Hotel, and Waxflower, which have been joined by new cocktail bar Evil Thoughts.
New food and beverage operators in the strip include highly-rated Thai restaurant 3 Sisters Eatery, Vietnamese eatery Long Banh Mi, and Café No.8.
Services have established a large presence to cater for the fast-growing and diverse local population that is typically younger than in suburbs elsewhere in Melbourne and Victoria1. Among the new entrants was non-profit gender support organisation Affirmation Station.
“Lygon Street, Brunswick East has emerged as a top lifestyle precinct with one of the lowest vacancy rates in Melbourne, supported by a vibrant food and bar scene.”
– Franklin Gikas, Fitzroys
1. https://www.abs.gov.au/census/find-census-data/quickstats/2021/POA3057
INSIGHT: In its first data collection year for Lygon Street, Brunswick East, Fitzroys reports a promising vacancy rate of just 3.7%, indicating a thriving retail environment.
2024 VACANCY RATE
3.7%
SYDNEY ROAD
VICTORIA ST - BRUNSWICK RD, BRUNSWICK
Sydney Road, renowned for not only being Melbourne’s longest shopping strip but also the longest in the Southern Hemisphere1, presents an eclectic mix of bars, cafés, nightlife venues, eateries, restaurants, shops, and services. This vibrant stretch draws visitors from across the inner north and greater Melbourne, offering a dynamic and multicultural experience.
The growing post-pandemic hum of the arts and nightlife has seen a return of activity to Sydney Road, Brunswick. Together with the daytime trade generated by Barkly Square Shopping Centre, which offers both major supermarkets and national tenants such as JB Hi-Fi and Kmart, and a strong showing of fashion boutiques and op shops, headlined by the large revamped Savers store, there are visitors to the strip across all hours. Vacancies have been kept in single-digit territory as a result.
The section between Victoria Street to Brunswick Road has a higher proportion of food and beverage operators, which lifted again over the past year with the entries of French bistro Bar Magnolia, fastgrowing national Mexican chain Guzman Y Gomez,
1. https://sydneyroad.com.au/
Japanese restaurant Shop Ramen, Vietnamese eatery The Banh Mi, adventurous ice creamery Fluffy Torpedo, and patisserie The Good Bakers.
High-density residential living in Brunswick and neighbouring suburbs gives Sydney Road a large captive audience. More large-scale developments are on the way – Mirvac has a build-to-rent development on Albert Street that will bring hundreds of new apartments to the suburb, as will its Park Street project at the south end of the strip. Nightingale Housing and Assemble also have major projects in the pipeline close by.
“Sydney Road’s eclectic mix of food, fashion, and nightlife continues to thrive, keeping vacancies in single digits and attracting visitors all day and night.” – Ervin Niyaz, Fitzroys
INSIGHT: Sydney Road (Victoria St to Brunswick Rd) vacancies rose to 6.7% in 2024, still indicating a positive downward trend since 2019 in this evolving retail precinct.
VACANCIES 2023-2024
2.0%
Highlights: Beyond the focused retail precincts
This section offers a succinct overview of retail activity beyond our focus precinct analysis. It captures the essence of additional suburban strips, shedding light on their current trends and vitality within the broader retail landscape.
Bay Street, Brighton
Bay Street, Brighton has well and truly shed its “‘poor cousin’ to Church Street” tag, developing its own quality retail mix that includes one of Melbourne’s strongest service retail offerings. It was one of the major improvers in Melbourne in terms of vacancies over the past year, on the back of one of the biggest increases in specialty tenants. Hospitality feeds off Hotel Brighton, which can lay claim to be the number one pub in Bayside.
Brunswick Street, Fitzroy
Vacancies along the archetypal inner-north hospitality and lifestyle strip continue to sit comfortably below the Melbourne-wide average. Brunswick Street has one of the highest proportions of food and beverage and nightspots, added to by wine bar Enoteca Zingara, Latin bar Tropical Melbourne, Mexican eatery Chicano Taqueria, American smoke-house TBBQ Fitzroy, New World Sandwiches, and L’Arte Della Gelato.
0.7%
Church Street, Brighton
Church Street is the incumbent titleholder of Melbourne’s best-performing shopping strip. It perennially records Melbourne’s lowest vacancy rate – and did again this year, at just 0.7% – and commands among the highest rents; the result of long queues of retailers constantly jostling to get into the strip that services one of Melbourne’s most established and affluent catchments. Recent deals have seen OPSM expand its footprint within the strip, and high-end menswear retailer Rodd & Gunn select Church Street to make its Melbourne shopping strip debut.
Church Street, Brighton: Exceptionally low vacancy rate at 0.7%; high-end retail destination with premium rents.
Hampton Street, Hampton: Low vacancy rate; significant development activity with projects nearing completion 3.1%
Fitzroy Street, St Kilda
Fitzroy Street’s vacancies were largely steady. The postpandemic period has brought on more attractive rents, the return of backpackers and the return of nightlife, all helping to drive down vacancies after a period of elevated rates. The proportion of hospitality tenants remains among the very highest in Melbourne; the reborn Saint Hotel is driving traffic after a major revamp that has effectively created five venues in one.
Glen Huntly Road, Elsternwick
Glen Huntly Road, Elsternwick has developed into one of Melbourne’s most vibrant shopping strips, offering an eclectic mix of food, fashion and specialty retailers and services that draws constant foot traffic from an established and loyal catchment. Cult Sydney chicken chain Chargrill Charlie’s added to the growing hospitality mix, as did açai and smoothie bowl specialists Be Bowld, Vietnamese eatery Moc Roll, Sushi Sushi, and new café Enchantè. More apartment developments in the area will boost activity, including Milieu’s upcoming transformation of the former ABC studios site.
Hampton Street, Hampton
One of the big movers in recent years and one to watch in the near future, Hampton Street remains home to one of the lowest vacancy rates in Melbourne, at just 3.1%. It has had one of the highest proportions of development in recent years, and projects such as Hampton Hill and 431 Hampton are reaching completion, providing a boost to the immediate catchment and attracting new tenants to reactivated parts of the strip, which will include the introduction of a Coles Local. Food and beverage is back to around an all time high to service the growing local population.
High Street, Armadale
High Street, Armadale has been building its case to be the number one shopping strip in Melbourne over a number of years, and may be the most in-demand strip in Australia right now. Home to Melbourne’s most expensive prime suburban retail rents. High Street services a broad, established and very affluent catchment and has attracted a premier line-up of topshelf boutiques. Queensland fashion label Dissh, which recently won major backing from retail billionaire Brett Blundy, has just joined the likes of Scanlan Theodore, Cos, Zimmermann, Camilla and Marc, Viktoria & Woods, Bassike, and Rebecca Vallance in High Street.
High Street, Kew
Vacancies along High Street, Kew slimmed down and remained in single-digit territory for yet another year. The strip is reliably supported by an affluent catchment and the growing inner-east office market. Its popular offering includes Leo’s independent supermarket and a mix of grocery, post office, banking and other services. The Skinny Dog Hotel unveiled a new rooftop offering, while brand-new tenants included highly-rated Chinese restaurant Pot House, and beauty salon Lune Skin and Wellness.
Lygon Street, Carlton
Vacancies on Melbourne’s most famous dining strip held close to their long-term lows over the past year, as Lygon Street, Carlton returned to its pumping best. Traditionally Melbourne’s “Little Italy” – home to staples Donnini’s, Tiamo, Scopri and Da Guido La Pasta – Lygon Street is seeing an increasingly diverse range of offerings and has the highest proportion of hospitality tenants of any of Melbourne’s strips, with the figure lifting to an equal long-term high of 58.1%. New entrants embraced the old and new of the strip, from Johnny, Vince & Sam’s Ristoranté to vibrant Indian restaurant Bibi Ji. Legendary grocer, restaurant and bar building King & Godfree is set for another renovation that will breathe yet more life into Carlton’s most prominent corner, while popular D.O.C Espresso is also undergoing a refresh.
Malvern Road, Hawksburn
Better known as Hawksburn Village – retains a distinct neighbourhood character with fine-grain shop-fronts, detailed façades and a leafy setting. The affluent inner-city location supports a specialty retail offering of high-end boutiques and gourmet food stores such as Stocked Food Store, while service retailers have increased, led by Chemist Warehouse. Vacancies remained in single-digit territory. Residents will imminently be moving into new development The Mill, and Maloura is on the brink of completion, boosting the immediate catchment.
Puckle Street, Moonee Ponds
Puckle Street is at the heart of the Moonee Ponds’ generational development boom. Most recently, it’s seen the completion of the Penny Lane development, bringing 114 apartments, a Palace Cinema, and new retail space to the strip, and the unfolding $2 billion redevelopment of the nearby Moonee Valley Racecourse. The boost to the local catchment has seen its already-slim vacancy come down to a long-term low 3.1%, with service and food and beverage retail both hitting all-time highs in the strip to cater to the everyday needs of the surging local population.
Puckle Street, Moonee Ponds: Long-term low vacancy at 3.1%; generational development boom with new apartments and retail spaces. 3.1%
Smith Street, Collingwood
In recent years named as “The World’s Coolest Street” by influential Time Out, Smith Street, Collingwood – home to a first-class offering of bars, cafés, eateries and nightlife – is at the seat of a residential and office development boom, with the increase to foot traffic at all hours pushing vacancies down further to just 3.2%. Its suite of hospitality offerings increased with the introduction of French Mediterranean restaurant Norma, Indian pub offering You My Boy, and fine-diner Aanya, while the Albion Hotel was rebooted by the people behind Bodriggy Brewing.
Swan Street, Richmond
By day, Swan Street buzzes with the worker population of the booming Cremorne and Richmond office markets frequenting its cafés and eateries; by night, sports fans, concert-goers and crowds from across Melbourne pack its bars, clubs and nightlife venues. Steak restaurant Macelleria made its move back to Swan Street, Italian restaurant Casa Mariotti opened up next door, and casual pasta bar Pastarami also started serving customers.
Upper Heidelberg Rd, Ivanhoe
A loyal, affluent and growing catchment supports trade on Upper Heidelberg Road, which saw vacancies halve to just 3.7% over the past year. Food and beverage and specialty tenants increased, while specialty tenants remained in touch with historic highs, reflected in the line-up of new businesses that includes Korean restaurant Chimac, Azee Kebabs, Chicken Central, new bookstore Ladyhawke, and La’vene Nails & Beauty. The strip is ideally placed to capture the circa 40% population growth in Ivanhoe forecast by 2041 1
Whitehorse Road, Balwyn
Whitehorse Road has been one of the biggest improvers in Melbourne in the vacancy rate stakes, coming down to just 2.4% – behind only the juggernauts of Church Street, Brighton and High Street, Armadale. Service retail is back at its COVIDeve highs and is among the highest in Melbourne, catering to its established eastern suburbs catchment. New hairdresser By Cher, dessert shop Bath the Sheep, Qiqihar Charcoal BBQ, and Tuan Fu Deli all entered the strip.
2.4%
Whitehorse Road, Balwyn: Improved vacancy rate to 2.4%; service retail at COVID-eve highs catering to an established catchment.
Toorak Road, South Yarra
Following a surge in residential development in the adjacent Forrest Hill precinct, Toorak Road in South Yarra has evolved into a diverse lifestyle destination, featuring a range of prominent high-end hospitality venues. Vacancies have remained in the single digits as gourmet toasted sandwich provider Le Melt, sandwich shop Zita’s Focaccia, and national children’s toy retailer Kidstuff have recently opened. Further development is on the horizon: Oreana Group is planning a $250 million redevelopment of South Yarra Square and nearby shops, while V-Leader is proposing a $90 million retail and office development at the Hotel Claremont site.
Toorak Road, Toorak
Vacancies inched upwards again in Toorak Village, which is experiencing a transformation with developments underway spurred by demand for inner-city private family offices. Vicland’s eight-storey St Germain office development has also introduced a new Coles Local to the strip, as well as a Cecconi’s restaurant and high-end gym Saint Haven by Tim Gurner. Meanwhile, Orchard Piper will build a residential, retail and office project on the corner of Mathoura Road, and has plans for a $400 million luxury apartment project on the former Mercedez-Benz dealership site which will add to the growing residential and worker population.
1. Https://forecast.id.com.au/banyule
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Endnotes
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