Cha ching: Brisbane goes for retail gold

Queensland's booming fashion retail sector has seen it recognised as housing one of the most expensive "premier fashion retail corridors" in the world.

According to Colliers International Global Retail Survey, storeowners in Brisbane's Queen Street Mall are paying the highest average rents in Australia with prices ranging from $4000 to $8000 per square metre. The shopping complex was ranked as having the 14th most expensive retail rental rates in the world and the third highest in the Asia-Pacific district.

Queen Street Mall houses over 700 specialty stores, including six centres which house premium brands such as Leona Edmiston, Lisa Ho, Zimmermann, Max Mara, Wayne Cooper, Herringbone, Laura Ashley and Easton Pearson.

Colliers International commercial retail director Felice Spark said small tenancies located in the intersection of Queen and Albert Street were particularly strong, with rates of up to $12,000 per square metre. She said despite an anticipated downturn in the global economy, demand for premier streetfront rental space remained strong across the world.

"High-end fashion retailers in particular continue to stake out high-profile, high-traffic locations in an attempt to better position their brand."

According to the latest figures from Queensland's Office of Economic and Statistical Research, retail turnover in the state grew by 5.4 per cent in April - this is above the 5 per cent growth for Australia. The value of Queensland retail turnover also increased from $3,942.1 million in April 2007 to 4,155.6 million in April 2008.

Leaseinfo.com.au director Simon Fonteyn said deteriorating leasing conditions in traditional fashion capitals such as Sydney were driving the move up north.

"New South Wales has not achieved the same levels of retail sales growth in comparison with Queensland over the last five years because Sydney has no resources boom to drive demand," he said. "Retailers are being much more strategic about where they locate their business."

Retail rental rates for Sydney's Pitt Street/Castlereagh Street precinct and Melbourne's Bourke Street/Collins Street precinct were ranked number 10 on the Colliers International Survey. Data indicated rates on Pitt Street ranged from $4500 to $6000 per square metre, Castlereagh from $3200 to $4500, Bourke Street from $4500 to $6000 and Collins from $2500 to $4000.

By Assia Benmedjdoub