Over the past three years, we have seen the Australian hospitality landscape change significantly with a greater alignment between consumer trends and increasing tenant demand. At the same time, we are seeing a scarcity of suitable, quality space and changing consumer spending habits.
In the same period, we have witnessed the introduction of another category of food and beverage, referred to as fast casual or smart casual dining. This category provides a premium dining experience without the formalities of traditional fine dining and has been particularly well received within retail precincts including shopping centres and high streets.
The trend has shaken up both best-in-class operators, and culinary innovators. Examples of the shift towards informal, high-quality dining experiences include Luke Mangan’s diversifying his offering with Chicken Confidential and The Lucas Group’s ever expanding portfolio. George Calombaris has recently announced he is bringing his renowned fast casual souvlaki concept Jimmy Grants to Sydney. He has 4 Sydney locations planned, the first in Newtown set to open in September and Sydney Central Plaza following in October.
The increasing tenant demand and limited quality opportunities for operators has also spurred the major redevelopment and repositioning phase of key assets in prime locations across the eastern seaboard. This has included utilising previously redundant areas and repurposing historic buildings to allow previously challenging spaces to capitalise on the Australian appetite for unique concepts.
So, what’s next for food and beverage?
- Fintech - retailers must embrace technology as the market demands or risk being left behind
- Food delivery apps - becoming arguably a restaurateurs most crucial distribution channel
- Incongruous food - 2018 will continue to feature both ‘good’ and ‘bad’ foods to the extreme. Turmeric lattes and poke are here to stay and will continue to be offered alongside freakshakes and anything that can be deep fried
For more information and current opportunities, click below for contact details:
National Director, Head of retail leasing