Melbourne Mixed Use Development, Australia - Commercial Strategy and Planning Study

About the brand

The client is a leading global real estate company, which specialises in long-term asset management.

The site was an office-focused, mixed-use development, with an underperforming retail podium, in Melbourne, Australia.  It is located in a very strong position, in the heart of Melbourne’s luxury retail quarter and financial centre.

The Challenge/Task

Pragma was asked to develop a retail optimisation strategy for the underperforming podium at a Melbourne CBD office development. The aim was to define a proposition suitable for targeting an effective mix of captive workers and casual visitors.

WHAT WE DID

• An extended site visit, to understand the Melbourne markets for office, retail and F&B

• Focus groups, with workers and shoppers, in order to understand needs and requirements from, and behaviours at, office developments in the city. In-depth interviews were also carried out, in order to ensure understanding of the views of high-income workers

• Expert interviews, with Melbourne office leasing agents and other key players in the field, to understand market supply and what tenants are looking for from potential developments

• Audit of the supply of retail, F&B and amenities (including gyms and spas) in Melbourne

• Identification of the addressable market and definition of the most appropriate proposition

• Space analysis and optimisation, in order to define the recommended configuration for the development, with plans and mix composition analysis

The Result

Pragma’s work provided valuable strategic insight to the client on the optimum configuration of the site, which will be utilised to frame the development in coming years. The development’s addressable market was identified and used to define the proposition, with effective and cohesive targeting of key consumer segments.