In the competitive Australian retail landscape, developing a successful leasing strategy is crucial for store development. For shopping center landlords, their number one goal is to fill that center with the best mix of tenants. Every tenant is critical to overall performance and therefore carefully selected.

Brands looking for a space need to know their numbers and confidently tell their brand story. As a shopfitting partner with specialist retail expertise, we understand the intricacies involved in creating a winning store leasing strategy. With this retail expertise we are able to help our clients work through and develop their own leasing strategies.

Let’s delve into the key elements that contribute to a successful leasing strategy tailored to the Australian market, whether you’re an established retailer or a budding brand.

DEFINE YOUR OBJECTIVES 

Before embarking on the leasing process, it’s essential to define your objectives clearly and to settle on your exact budget. If you’re a retailer seeking new locations, determine your expansion goals, target markets, and desired demographics. Storepro can help you determine your objectives and budget, creating a roadmap for your leasing strategy and helping you to make informed decisions.

CONDUCT COMPREHENSIVE MARKET RESEARCH

Thorough market research is the foundation of a successful leasing strategy. Analyse market trends, consumer preferences, and competition in specific areas of interest. Storepro has an intricate understanding of the Australian retail landscape, helping you to identify prime locations and tailor your leasing strategy accordingly.

IDENTIFY SUITABLE LOCATIONS

Location is a make or break factor, particularly in retail. Based on your market research, identify suitable locations that align with your business objectives. Consider factors such as foot traffic, visibility, accessibility, and the target market’s preferences. Understand the shopping priorities of local customers now, and then see if that aligns with your brand. Determine if your retail offering has low competition or is missing altogether in the current tenant mix. As your Australian shopfitting and retail partner, we can leverage our knowledge of shopfitting and the retail landscape to identify locations that offer the right ambiance and layout for optimal customer engagement.

NEGOTIATE LEASE TERMS

Effective lease negotiations are paramount to a successful leasing strategy, it is one of the most important things you set up. A poor lease agreement can drain you financially even if you’re making all your sales goals. You’ll need to negotiate factors such as rental rates, lease duration, lease renewal options, and responsibilities for maintenance and repairs. Storepro can guide you through negotiations to ensure that your lease terms align with your business goals and financial considerations.

NEGOTIATE LANDLORD’S CONTRIBUTION AGREEMENT

‍Negotiating your contribution agreement is crucial for maximising the financial support a landlord provides to a tenant for making necessary improvements and modifications to a leased space. A well-negotiated contribution agreement not only mitigates upfront costs but also contributes to the long-term success and presence of a brand in a competitive retail environment. Storepro can be an invaluable partner in this process, offering expertise in negotiation tactics and strategies to maximise the terms of the agreement.

INCORPORATE SHOPFITTING EXPERTISE

Storepro understands the importance of customising the store space to reflect your brand and enhance the customer experience. Retailers should factor in shopfitting considerations when developing your leasing strategy. Negotiate with landlords to allocate responsibilities and costs for necessary shopfitting elements such as fixtures, displays, and interior modifications. Our expertise in shopfitting allows us to provide valuable insights on creating functional and visually appealing store layouts.

MAXIMISE TRADE WITH A POPUP STORE

‍Consider a popup store to maximise trade during the fitout process. This is a great way for brands to quickly establish a physical presence and generate revenue in a cost-effective way before the completion of their actual fitout. Our popup and Storekit services give brands a flexible and dynamic way to engage customers, test new markets, or continue sales during disruptive phases.

ADDRESS LEGAL AND REGULATORY CONSIDERATIONS

Ensure compliance with Australian legal and regulatory requirements such as the Retail Leases Act before finalising any lease agreement. Seek legal advice to review lease contracts, ensuring that they include necessary clauses, rights, and obligations. Compliance with zoning laws, permits, and building codes is essential to avoid potential legal issues down the line. Storepro is able to assist our clients with advice and guidance on addressing any legal regulations to ensure a smooth and compliant leasing experience.

MULTIPLE LOCATIONS AND NATIONAL ROLLOUTS

If you’re planning for multiple store locations or large-scale national rollouts, Storepro can help you with broader market research and negotiating terms that are scalable. We also have the experience and capability to roll out the supply and installation of your fitout nationwide.

CONTINUAL LEASE MANAGEMENT

Successful store development involves ongoing lease management. Regularly review lease terms, monitor market conditions, and consider opportunities for expansion or relocation. Stay in communication with landlords to maintain positive relationships and explore potential future opportunities.

Developing a winning leasing strategy in the Australian retail landscape requires careful planning and retail expertise. When partnering with Storepro, you can take advantage of our retail expertise as we help you create your leasing strategy, providing advice and guidance throughout the entire process, leading to a successful store development and an exceptional retail experience.