Australian Shopping Centre Industry

1 Australian Shopping Centre IndustryScale and Performance Measures Prepared for Shopping Centre Council of Australia August 2015 Urbis Pty Ltd ABN 50 105 256 228 All Rights Reserved. No material may be reproduced without prior permission. You must read the important disclaimer appearing within the body of this report . URBIS Australia Asia Middle East URBIS STAFF RESPONSIBLE FOR THIS report WERE: Director Rhys Quick Associate Director Brendan Drew Research Analyst Alyssa Cameron Job Code MPE1-2400 TABLE OF CONTENTS URBIS Shopping Centre Industry STATISCTICS AUGUST 2015 Australia s Retail Centres.

2 1 Overview of Findings ..1 Scale and Performance Data ..2 Definitions .. 4 Disclaimer .. 5 URBIS Shopping Centre Industry STATISCTICS AUGUST 2015 1 Australia s Retail Centres This report presents current findings on the size and significance of Australia s Shopping centres, based on a top level audit conducted at the national and state level. The data in this report updates key sections of previous reports issued to the Shopping Centre Council of Australia (SCCA) in April 2001 ( Shopping Centres in Australia, Vital Statistics), and March 2007 ( Australian Shopping Centre Industry , Information Update March 2007).

3 OVERVIEW OF FINDINGS The audit has captured data for some 1,753 Shopping centres, comprised of 67 Regional centres, 286 Sub Regional centres, 1,104 Neighbourhood centres, 107 Central Business District (CBD) centres, 16 Outlet centres and 173 Other centres (including specialty centres, themed centres and markets). Note that this data excludes homemaker/large format retailer centres. [Refer Table 1, and Definitions] Within these centres there are an estimated 65,000 specialty shops. To ensure consistency across data sets used, specialty shops include all shops of less than 400 , including all retail specialties as defined by the SCCA Sales Reporting Guidelines, as well as non-retail shops such as travel, post office, banks etc.

4 24% are located in Regional centres, 29% in Sub Regional centres and 30% in Neighbourhood centres. [Refer Table 2] There is approximately million of lettable Shopping Centre floorspace in Australia, of which an estimated million or 82% is occupied by retail uses. New South Wales makes up approximately 30% of all Shopping Centre floorspace, whilst Tasmania, South Australia, Northern Territory and the Australian Capital Territory together make up only 12%. [Refer Table 3]. Victoria and Queensland have a significantly higher provision of Sub Regional Centre floorspace than Regional Centre floorspace.

5 In New South Wales however, Regional and Sub Regional centres accommodate around the same floorspace. For the year ending June 2014, total aggregated Centre turnover was estimated at $ billion (inclusive of GST). The retail component of aggregated Centre turnover was in the order of $120 billion. The Regional centres share was around 27% of all Centre turnover, Sub Regional centres 33%, Neighbourhood centres 32% and CBD centres 5%. [Refer Tables 5 and 6] The distribution of Shopping centres is further illustrated in the charts below, including the number of centres in each state/territory and retail turnover by Centre type.

6 It should be noted that the data reflected in this report has been compiled with reference to the Property Council of Australia s (PCA) Shopping Centres Online database and Urbis proprietary databases. Together these data sources cover the vast majority of Regional and Sub Regional centres in Australia, although coverage of other Centre classes is less likely to be 100% complete. NSW482(28%)VIC324(18%)QLD434(25%)SA168(1 0%)WA270(15%)TAS, 29(2%)NT, 21(1%)ACT, 25(1%) Shopping Centres by State/TerritorySource:PCA, UrbisRegional $32B(27%)Sub Regional $39B(33%)Neigh'hood$38B(31%)CBD, $6B(5%)Outlet, $2B(2%)Other, $3B(2%)Retail Turnover ($B) by Centre Type 2 URBIS Shopping Centre Industry STATISCTICS AUGUST 2015 SCALE AND PERFORMANCE DATA Table 1 - Shopping Centre Count, 2014 Centre TypeNSWVICQLDSAWATASNTACT(no.)

7 (%)Regional25121646004674%Sub Regional846568283072228616%Neighbourhood 3021972701071811714161,10463%CBD31201617 174111076%Outlet27411001161%Other3823601 13514117310%Total Shopping Centres4823244341682702921251,753100%(%) of Australia27%18%25%10%15%2%1%1%100%Source : PCA Shopping Centres Online; UrbisTotal AustraliaTable 2 - Number of Specialty Shops, 2014 Centre TypeNSWVICQLDSAWATASNTACT(no.)(%)Regiona l5,9563,3403,3888031,1730080915,46924%Su b Regional5,1744,7074,7441,3972,3972182041 0318,94329%Neighbourhood5,7543,2765,0331 ,6043,37322326628719,81530%CBD1,60492060 550841411416184,1996%Outlet2587584531201 0200931,7843%Other8601,9031,357194573950 264,9728%Total Shopping Centres19,60614,90415,5804,6268,03256353 61,33665,183100%(%) of Australia30%23%24%7%12%1%1%2%100%Source : PCA Shopping Centres Online.

8 UrbisTotal AustraliaNote: To ensure consistency across data sets used, specialty shops include all shops of less than 400 , including all retail specialties as defined by the SCCA Sales Reporting Guidelines, as well as non-retail shops such as travel, post office, banks etc. Table 3 - Retail Floorspace ( '000), 2014 Centre TypeNSWVICQLDSAWATASNTACT('000 )(%)Regional1,7871,0331,076276350002824, 80526%Sub Regional1,7491,6091,5085077579859406,327 34%Neighbourhood1,5551,0771,467506865818 2915,72531%CBD25216914712711712218274%Ou tlet5917895272100354152%Other15513419925 9311366263%Total Shopping Centres5,5584,1994,4921,4682,20319315645 518,724100%(%) of Australia30%22%24%8%12%1%1%2%100%Source : PCA Shopping Centres Online.

9 UrbisTotal Australia URBIS Shopping Centre Industry STATISCTICS AUGUST 2015 3 Table 4 - Total Shopping Centre Floorspace ( '000), 2014 Centre TypeNSWVICQLDSAWATASNTACT('000 )(%)Regional2,1301,2701,264358416003295, 76725%Sub Regional1,9961,8661,79362385310771467,35 632%Neighbourhood1,8901,2671,73156399196 1151036,75429%CBD61234220820914915911,54 67%Outlet66209116302100454882%Other26024 535134121113101,0355%Total Shopping Centres6,9555,1995,4641,8172,55021920853 422,946100%(%) of Australia30%23%24%8%11%1%1%2%100%Source : PCA Shopping Centres Online; UrbisTotal AustraliaChart 1 - Estimated Retail Turnover in Shopping Centres, 2014 Source : PCA Shopping Centres Online; - 5 10 15 20 25 30 35 40 NSWVICQLDSAWATASNTACTT urnover ($ bilion)Chart 2 - Estimated Total Shopping Centre Turnover, 2014 Source : PCA Shopping Centres Online.

10 - 5 10 15 20 25 30 35 40 45 NSWVICQLDSAWATASNTACTT urnover ($ bilion) 4 URBIS Shopping Centre Industry STATISCTICS AUGUST 2015 Definitions For the purposes of this report , the following definitions are used: A Shopping Centre is defined as a major integrated retail Centre under single management with at least 1,000 of lettable retail floorspace. Gross Lettable Area (GLA) is assessed according to the Property Council of Australia s Method of Measurement for Lettable Area and includes the leased area of all tenants located at the Centre , whether currently leased or not.