In the outer suburbs, where land values are lower, some bulky goods retail outlets would be converted to industrial use “over time”. Speaking at the AFR Property Summit in December, ESR Australia CEO Phil Pearce said land next to some shopping centres could make way for smaller warehouses or dark stores (warehouses for click-and-collect only) rather than be developed into additional retail space. “You’d be able to have an aggregated click-and-collect point at each one of the centres to be able to facilitate that.” “My ambition would be that we have all stores in Westfield available on Westfield Direct,” Scentre Group boss Peter Allen told The Australian Financial Review this week. “Woolworths and Coles are using our centres for last-mile fulfilment, both for pick-up and home delivery,” said SCA chief financial officer Mark Fleming.Īlso seeing the opportunity created by online shopping has been Westfield mall owner and operate Scentre Group, which has been expanding its Westfield Direct click-and-collect service. The Clayton experience centre will look similar to a Toys R Us retail store. Last year, listed convenience mall owner SCA Property Group highlighted the value of its portfolio as a last-mile logistics hub while noting that Woolworths was adding mini automated “e-store” distribution centres at the back of some supermarkets in its centres to cater for online orders. While the integrated Clayton facility may be among the first of its kind in Australia’s $6.3 billion toy, hobby and baby products retail sector, the crossover between logistics and retailing has become an established phenomenon during the pandemic as more people shopped online and embraced click-and-collect from their local neighbourhood centres. “It’s the way of the future for many retail businesses.” “What we are doing is not just how people are shopping today, but how they will shop in three to five years,” said Louis Mittoni, CEO and managing director of Toys R Us ANZ. Products ordered in the showroom will be delivered directly to customers from the adjoining warehouse via automated mobile robots (AMRs) – giant disc-shaped devices that transport stackable pallets. The 19,650 square metre property on McNaughton’s Road in Clayton – a 10-minute drive from Chadstone Shopping Centre – will be the new national headquarters of listed toy, hobby and baby products retailer Toys R Us Australia when it opens this year.Ī fleet of automated mobile robots will deliver toys direct to customers.ĭeveloped by industrial property giant ESR, it will house a 14,785sq m automated warehouse at the back and a first-of-its kind 3230sq m “experience centre” at the front where shoppers can touch, feel and interact with thousands of products. Construction has kicked off on a large logistics facility in Melbourne’s south-east that could point the way for how many Australians will shop in the future.
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