Home masterstroke
PRIVATELY-OWNED group Home Consortium has announced the launch of a further six retail home centres as part of its redevelopment of 61 former Masters hardware stores.
It plans to have eight centres open by next month ahead of Christmas, including two in Victoria, three in New South Wales and three in Queensland. Home Consortium is owned by a group including former investment banker and Aurrum Group chairman David DiPilla, and David Schwartz, owner of property syndicator Prime West.
Chemist Warehouse owner Mario Verrocchi and Spotlight owners Zac Fried and Morry Fraid are also among the investors.
The consortium completed a $700 million purchase from Woolworths of the failed Masters sites in August.
Almost immediately, it onsold 14 sites, including six to property investment group Charter Hall for an estimated $190 million.
In a separate deal, Woolworths rival Wesfarmers bought several sites for conversion to Bunnings outlets.
The 47 sites kept by Home Consortium are being redeveloped into homemaker centres with tenants such Toys R Us, Rebel, Repco, Snooze, Nick Scali, JB Hi-Fi, The Good Guys and Amart.
Many will also have stores such as Spotlight, Anaconda and Chemist Warehouse that are connected with the owners of Home Consortium.
Home majority shareholder and chairman David DiPilla said yesterday early trading from the two existing centres, at South Morang in Melbourne’s north and Rutherford, near Newcastle, had “exceeded expectations”.
“Home Consortium and our retailers are delighted with the strong consumer response to the openings,” Mr DiPilla said.
Woolworths was forced to sell the Masters stores after clocking up multibillion-dollar losses from the venture.
The transaction also became the centre of legal action by Woolworths’ partner in Masters, US retailer Lowe’s.