Stockland has secured an agreement for lease with David Jones as part of its $377 million redevelopment of Green Hills Shopping Centre.
David Jones will open its doors to a single-level retail space spanning 6,225 sqm in 2018.
In addition to signing up the department store, Stockland will also include major retailers such as Big W, Best & Less, Harris Scarfe and a new format Target.
Stockland CEO and managing director Mark Steinert said that the company has pinpointed Green Hills as a lucrative investment.
“We've identified Stockland Green Hills as a highly accretive redevelopment opportunity.
“It's already one of the most productive centres in Australia and this expansion will enable us to capture a portion of the estimated $867 million of escape expenditure that leaves the primary trade area every year.”
The company anticipates that the redevelopment will achieve an incremental internal rate of return of more than 12% in the decade following its completion and an incremental, stabilised funds from operations yield of around 7%.
The centre currently hosts around 90 retailers and speciality stores with the rejuvenation increasing its store count to around 225.
Stockland hopes the project will also generate more than 1,350 new jobs during construction and an estimated 1,250 full time jobs in retail, customer service and hospitality.
The centre is due to reach full-completion in mid-2018.