The trendy retailers arriving in Queen Victoria Market
The first suite of retail shops in the $500 million Munro development in the Queen Victoria Market precinct have been snapped up, representing a vote of confidence in the future of food and beverage, and niche retail, in Melbourne’s CBD.
As the hospitality and retail sectors struggle to overcome crippling staff shortages and skyrocketing costs, the Munro development has signed up an eclectic mix of operators, from a craft brewery to a sushi outlet.
Melbourne coffee outfit ST. ALi is among the first companies to secure a spot in the development, which sits opposite Queen Victoria Market on the corner of Queen and Therry streets. When completed, it will offer 19 new shops over 1800 square metres.
The co-chief executive of ST. ALi, Lachlan Ward, said the opportunity to open a venue in the bustling market precinct was “too good to pass up”.
“ST. ALi is and always has been a proud Melbourne brand,” Ward said. “We’re Melbourne born and bred. And Queen Victoria Market is one of, if not the most, iconic precincts in Melbourne.”
ST. ALi & the Queen will open its doors in September amid market conditions Ward describes as “extremely challenging”.
“I’m not going to sugarcoat it,” he said. “It’s one of the toughest times to be operating in food and beverage. We’ve got the worst staff shortages in history as well as spiralling costs.”
It will be the coffee roaster and cafe’s first foray into the CBD, having successfully operated out of a laneway in South Melbourne for 17 years.
The venue will serve coffee, breakfast and lunch during the day, and cocktails and small plates in the evening.
Joining it are Brick Lane Tavern, Only Mine Chocolates, Moonfish, Market Lane Coffee and Rewine, a wine retailer which has already opened its doors.
Colliers’ Jennifer Tai and Adam Lester are running the leasing campaign for Queen Victoria Market Pty Ltd and developer PDG Corporation.
The first stage of leases ranged between $800 to $1600 per square metre per annum gross, with lease terms of between five and 10 years.
Colliers is now leasing a further eight shops as part of the second stage, due to be completed by the end of the year.
“The rare opportunity to be part of this world-renowned precinct’s exciting new chapter has generated significant interest among retailers both locally and nationally,” Lester said.
“Inspired by Queen Victoria Market’s legacy and Melbourne’s iconic hospitality culture, the Munro Development will provide a retail experience that speaks to the future of the city and its people.”
The Melbourne CBD has been slowly recovering since the pandemic shuttered businesses and prompted an unprecedented exodus of city workers.
The CBD is “definitely on the way back up”, Ward said, adding that Queen Victoria Market also services thousands of apartment residents in the surrounding streets.
“Relative to other pockets of the CBD, it gets much more food traffic,” he said.
The Munro development is part of the broader renewal of the market precinct. In addition to retail and hospitality tenancies, it will also offer a three-level library, a boutique hotel and 500 build-to-rent residential apartments.
Queen Victoria Market is a heritage-listed landmark that is home to over 600 small businesses made up of 450 market stalls and 140 tenancies.
Chief executive Stan Liacos said the addition of several new dining tenancies and niche retail “will build on the vibrant authentic offering of our great market – by day and night”.
“Many of these operators have strong existing relationships and history within the market,” he added.
