The Commonwealth Bank business centre will move from the city’s east to the former Multicomm store next year and another yet-to-be-revealed national brand will occupy the ground floor of the former Sinclair and Wilson building from December. However, the Trewartha’s Leathergoods shop in the Target building off Koroit Street will soon close its doors. 

According to property agent David Turner, major chains are holding off because of a shortage of large vacant showroom space in the CBD. “I’ve got two prospective tenants seeking premises with 400-plus square metres, but it’s just not available,” he said.

“Retailing is headed more to showroom size premises which can counter online competition.

“Until we can entice new large shopping magnets here, the CBD will struggle.

“Little shops are harder to let and can’t contain the range of stock that shoppers are looking for.

“The onus is on property owners to meet market demand by making larger spaces available.”

He challenged the city council to fund a major planning study of future retail and commercial property expansion in the wider central area for the next 25 years.“The council keeps producing one-off consultants’ reports,” he said.

The Commonwealth Bank tenancy deal was handled by Ray White Warrnambool director Leanne Mugavin with assistance from Mr Turner.

“This is a really good spot for them because Koroit Street is fast becoming the city’s business hub,” Ms Mugavin said.

“It’s been a tough period for commercial leases, but there’s been a correction in the market.”

Mr Turner said he was constrained by confidentiality for a new tenant in Bayside City Plaza, but did reveal that Pets Domain had signed up to lease a vacant spot at the Homemaker Centre, with the fit-out starting this week. 

Negotiations were continuing to fill the former Sam’s Warehouse space at Bayside City Plaza and he expected a major portion would be sub-let soon, he said.