Perth Retail Figures Q3 2025

Key Points:

• Monthly household expenditure in Western Australia remains robust, rising 8.2% y-o-y (seasonally adjusted) as of August 2025, driven by infrastructure investments and demographic trends.
• Retail development supply remained subdued in Q3 2025, with c.21,300 sqm of total supply anticipated for the year. Neighbourhood centres are on track to make up nearly 60% of this total.
• Super prime CBD incentives have decreased to an average of 17.5% from 25.0% a year ago, leading to average net effective rent growth of 3.1% q-o-q and 10.0% y-o-y.
• Large format retail net face rents increased 1.1% q-o-q and 3.3% y-o-y to an average of $250/sqm. Population growth, tight supply and strong performance in the top-tier centres are driving growth. 
• Regional centre net face rents remained stable q-o-q but increased by 3.3% y-o-y to reach an average of $1,384/sqm.
• Most retail asset yields were stable in Q3 2025, but regional centre yields fell by 13bp q-o-q and 14bps y-o-y, while large format retail yields dropped by 5 bp q-o-q and 11 bp y-o-y.
• After a record $2 billion in retail investment transactions in 2024, 2025 has seen a more subdued total of $379 million YTD (for transactions ≥ $5 million).