Woolworths has started the next phase of its development at its $60 million Glenrose Village project with the official ground breaking to take place on Wednesday.
In its quarterly update in May, the group's management said Woolworths will focus on opening 20–30 supermarkets a year in line with population growth and network gaps.
It comes as the Australian supermarket sector is under pressure from a range of factors, including limited new space for brownfields developments – leading to battles with local councils for the refurbishment of existing stores – increased foreign entrants and a price war.
The one growth sector is the small store concept for inner city residents. Retailers are all targeting 200-square-metre sites that have been the domain of the convenience store operators.
To get the advantage of land value growth and rental income, Woolworths bought the Glenrose Village from Stockland, which is located at 54-56 Glen Street, Belrose,
Woolworths director of property Ralph Kemmler said the new site includes a full-range 4200-sq m Woolworths supermarket, a BWS store, an Aldi supermarket, 40 specialty retailers and an outdoor dining area and restaurant precinct.
Mr Kemmler said the site will be phased construction with the Woolworths supermarket, fresh food and restaurant precincts, and specialty shops opening in April 2016 and the balance of works completed by Christmas next year.
