Global Market Shifts Force Frankston Retailers to Rethink Expansion Plans

Frankston City recorded 639 new GST-registered businesses over the past 12 months while 79 shops remain vacant, a 19 percent rate that has led council to consider differential rates on long-term empty properties.

Global commodity and shipping disruptions have raised costs for imported stock and slowed some discretionary spending, forcing retailers here to time openings around already approved local projects rather than chase new sites. This pattern mirrors adjustments seen in other port-linked economies where currency and logistics volatility directly alter lease commitments.

Redevelopment sites anchor activity

Bayside Shopping Centre is relocating TK Maxx and preparing the former Myer space for Uniqlo as part of its current works. Karingal Hub completed a $160 million expansion that lifted its leasable area to 53,000 square metres and added a fashion and lifestyle precinct plus a planned Town Square dining zone. Frankston Hospital’s $1.1 billion redevelopment is releasing ground-level space for cafes, food courts, convenience stores and kiosks, with expressions of interest for leases accepted until April 1.

Ritchies IGA reopened after a full rebuild, while incoming brands include Ghanda and San Churro. These moves concentrate activity in already committed locations where infrastructure and foot traffic are secured, limiting exposure to wider market swings.

Numbers guide the next steps

The 19 percent vacancy figure and the 639 new business registrations sit side by side in the same council data release, showing growth alongside persistent empty storefronts. Leasing interest at the hospital site and the Karingal Hub additions provide concrete outlets for operators seeking space without starting from scratch.

Council will finalise its approach to long-term vacant properties through the proposed differential rates process. Business owners can register interest in the hospital retail spaces before the April 1 deadline and review current listings at Karingal Hub and Bayside Shopping Centre to align fit-outs with confirmed construction timelines.

This article is general information only and is not personal financial or investment advice. Consider your own circumstances and seek licensed professional advice before making financial decisions.