Scentre Group, the ASX-listed owner of Westfield Shopping Centres in Australia, is pouring hundreds of millions of dollars into the redevelopment of Westfield Newmarket, in Auckland’s CBD.
Scentre commenced its $733 million (NZ$790 million) redevelopment on Friday, with the aim to build a dominant centre in the “heart of Auckland”.
Scentre will inject $NZ400 million into the redevelopment. Westfield Newmarket is half-owned by Singaporean giant GIC Real Estate, which will also be funding its share of the project.
Incorporating multiple sites over four and half hectares, the Broadway site will be home to Auckland’s first David Jones department store, a new format Farmers department store, Countdown supermarket and more than 230 new specialty stores.
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Ahead of its recent closing for redevelopment, earthworks and demolition works have been underway since November.
The David Jones store will be the second in New Zealand since opening their first store in Wellington in 2016.
The new Westfield Newmarket will have a gross lettable area of 88,150 square metres and is due for completion in the fourth quarter of 2019.
“We’re incredibly excited to be embarking on the transformation of Westfield Newmarket in collaboration with our joint venture partner, GIC,” Scentre Group chief operating officer Greg Miles said.
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“Westfield Newmarket will become the flagship “living centre” for the Group’s New Zealand portfolio and set a new benchmark in extraordinary retail and lifestyle destinations.”
Scentre Group has been divesting itself of other New Zealand investments in the last couple of years in order to concentrate on its most profitable locations.