Kiwi Property announces today that international fashion retailer, H&M, will open at Auckland’s largest shopping centre, Sylvia Park, in late 2016.
“We are thrilled to be opening New Zealand’s first H&M store at Sylvia Park,” says its CEO, Chris Gudgeon.
“Consumers the world over have come to know H&M as a leading fashion giant, and to have secured its first NZ store at Sylvia Park is great news for shoppers.
“Sylvia Park is a great opportunity for H&M to reach more than 700,000 Aucklanders within a 15-minute drive, with convenient access also available by train and bus.
“The introduction of H&M to Sylvia Park is another step in our vision to create a world-class retail offering at Sylvia Park.
“Earlier this year we announced a potential expansion of the centre in response to the waiting list of retailers seeking stores. A range of exciting options are currently under consideration, including the addition of further new international retailers, more specialty retail stores, department stores and additional customer parking.”
Sylvia Park, independently valued at more than $665 million, offers shoppers more than 200 retailers in a single destination.
Developed by Kiwi Property and completed in 2007, Sylvia Park comprises more than 88,000sqm of high-quality retail space, with more than 4,300 carparks.
The park is centrally located in the Auckland region and draws customers from across the city and beyond. Amenities include rail and bus public transport links and a wide range of retail, dining, entertainment and services at both Sylvia Park and the Sylvia Park lifestyle precinct, formerly the Apex Mega Centre.
Kiwi Property is currently evaluating a 20,000sqm, $150 million expansion of the centre’s retail offering. The retail expansion project is currently in the predevelopment phase, which includes design, consenting and pre-leasing, with construction potentially commencing in 2017 for a possible 2018 completion.
Kiwi Property is also investigating a potential $50 million office development at Sylvia Park as part of its town centre vision for the site.
Sylvia Park has been a standout performer for Kiwi Property since opening in 2007. The centre has enjoyed strong growth in both retail sales and net income, providing investors with an overall value gain of $180 million above its original development cost.
To accommodate H&M and upgrade adjacent mall areas, Kiwi Property will invest $7.7 million.
The NZ entry follows the fashion retailer’s entrenchment in Australia. It entered the market last year and now has stores at Melbourne’s GPO in Victoria; Macquarie Centre, North Ryde in NSW; Indooroopilly Shopping Centre and Westfield Garden City in Queensland; and Joondalup Shopping Centre in Western Australia.
On October 31 it will open its second store in Sydney at 150 Pitt St Mall.
It reported $65 million in sales from the first seven months of trade at the GPO store, revealing Australia to be a very lucrative destination for the brand. It has high hopes for its reception in NZ.
The company is also planning a major push into the Asian market, steadily expanding its store network. H&M says it will open 70 stores in China in the year to November 30, taking its network up to just over 300.
In Hong Kong, the Swedish fashion brand plans to open its largest Asian store on October 30 at Fashion Walk in Causeway Bay.
H&M entered India and South Africa, opening maiden stores in New Delhi and in Cape Town this month.
