Premier opens $355 million Westfield Carousel

21 October 1999

Countries: Australia

The Premier of Western Australia, The Hon Richard Court, openedthe $355 million Westfield Carousel in Perth today.

The redevelopment and expansion of Carousel took just over ayear to complete and created 3,700 jobs during construction.Westfield Carousel – the new centre of shopping in Perth – hasbrought 2,300 new permanent full and part time jobs in retail andservices to southern Perth.

The Carousel redevelopment, with a project cost of $205 million,is part of Westfield Trust’s current $1.3 billion developmentprogram in Australia and opened fully leased and ahead ofschedule.

With eight major stores and more than 200 specialty stores, thenew Carousel also includes The Street, Westfield’s new conceptleisure and entertainment precinct with a 14 screen Hoyts Megaplex,restaurants and lifestyle retailers.

Managing Director Steven Lowy said Westfield had created a worldclass shopping centre which was a major investment in the future ofshopping and entertainment in Perth.

“We are offering a much broader, more exciting and morecomprehensive experience for our shoppers at Carousel,” Mr Lowysaid. “It’s the kind of shopping and entertainment experience thatcan’t be replicated at home and keeps people coming back.

“To get that result, we have not only added some major newfeatures to Carousel, but we completely refurbished the existingcentre. Perth’s oldest shopping centre has become its newestshopping centre.”

Carousel was originally opened in 1972 and bought by WestfieldTrust in 1996 for $130 million. The $205 million expansion isexpected to bring an initial yield of approximately 8.25%,exceeding original forecasts.

“We therefore expect this project to have a positive impact ondistributions to Westfield Trust unitholders as the project yieldis greater than its cost of funds,” Mr Lowy said.

“Now valued at $355 million, we have already created around $20million of additional capital value. With the expectation of soundincome growth, it is forecast that Carousel should produce strongreturns for unitholders over the short, medium and long terms.

“We believe Carousel demonstrates we can provide a greatenvironment for retailers to do business, the latest in shoppingand entertainment facilities for shoppers and produce strongreturns for investors with an asset that we believe will continueto perform well.”

The Street at Carousel is a new leisure and entertainment hubfor Perth which supports the Hoyts Megaplex with themed licencedrestaurants, a range of lifestyle retailers including book, music,gift, sports and clothing stores and Fun Planet, a supervised playarea where parents can leave their children while they shop.

“The Street was first launched at Westfield ShoppingtownSouthland in Melbourne and has been a big success since its openingin April this year,” Mr Lowy said. “The cinemas are already in thetop five grossing complexes in Australia.

“The Street is part of Westfield’s strategy of creatingcommunity focused destinations for entertainment, socialising andrelaxation with options for all ages and interests.

“Southland is now attracting a new clientele which is alsofeeding through to the traditional retailers in the rest of thecentre.”

Along with existing major retailers – Myer, Coles, Woolworths,Target and Hoyts, all of which have been expanded and fullyup-graded – Westfield Carousel now has a new Target Home ??the first in Western Australia ?? Kmart and HarrisScarfe.

The centre features the first Rebel Sports store and the largestLincraft Superstore in Western Australia and a new Best &Less.

The retail mix has a strong emphasis on fashion with many newretailers opening their doors in Western Australia for the firsttime.

The fresh food range at Westfield Carousel has been upgradedwith the introduction of new format Woolworths and Colessupermarkets and a new fresh food market. A free trolley mindingservice and express parking bays close to the supermarket mallentries have been designed to make food shopping moreconvenient.

Carousel also features a Western Australian-themed food court,The Sanctuary, offering a choice of 15 food outlets andindoor/outdoor seating for 850 customers.

“Westfield Carousel will now be the most convenient andcomprehensive shopping destination south of the Perth CBD,” Mr Lowysaid, “and The Street will help to position the redeveloped centreas one of Perth’s most exciting and popular leisure andentertainment destinations.”

The new Carousel has parking for 4,300 cars and a new fly-overgives north bound traffic on the Albany Highway direct access tothe car park.
As part of the opening activities at Carousel, Westfield-sponsoredOlympic swimmers Scott Miller and Susie O’Neill will be makingspecial guest appearances.

Fact Sheet :
Westfield Carousel

Centre Westfield Carousel
Location Albany Highway, Cannington, Perth WA
Approximately 10km south of the Perth CBD
Owner Westfield Trust
Cost of redevelopment Approximately $200 million
Value on completion $355 million
Car parking In excess of 4,300 cars (300 shaded carspaces)
Existing major stores Myer

Existing specialty stores – 108

New major stores Target Home
Harris Scarfe
Rebel Sport
Best & Less
New Coles Supermarket
New Woolworths Supermarket
New Hoyts complex
Fully refurbished, consolidated Myer
Total specialty stores – approximately 200
Entertainment features The Street at Carousel
14 screen Hoyts Megaplex
Four themed family restaurants/cafes
Lifestyle retailers
Construction schedule Work commenced – August 1998
Completion/opening – October 1999
Jobs created More than 6,000 people have been directly employedduring construction and/or are now in retail positions.
Demographics Westfield Carousel is designed to cater to a broadtotal catchment area population of over 220,186 who are expected tospend in excess of $1.5 billion per year.