20517 App H.pdf [As Published] · 132007.1259

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44 Implications
Supermarkets

The introduction of a full line supermarket at Peregian Springs (construction
starting November 2006) will cater to the current under provision of
supermarket facilities for residents surrounding the subject site. This centre
will trade to residents further west of the areas of influence defined for
Peregian Beach retail facilities.

The short term opportunity for a supermarket on the site is negligible as a
proportion of expenditure will also escape the trade area to locations such
as Coolum, Noosa and Maroochydore. The proposal at Peregian Springs
will provide the shortfall in supply of supermarket floorspace which is
currently being absorbed by Coolum and Noosa. It will also be central to
the surrounding area’s growth.

Growth in the Surrounding Al over the ten year period suggests the
available market for supermarket expenditure (around 38% of total retail
expenditure) will increase from around $15 Million in 2006 to $36 Million in
2016. Opportunity to capture a significant portion of this increase is limited
due to the location of the Surrounding Al's forecast population growth being
more convenient to alternative supermarkets in Peregian Springs and
Coolum. The IGA centre in Coolum may further restrict the market if the
supermarket floorspace is increased.

The lack of opportunity for a supermarket in Peregian may provide future
long-term convenience retail opportunities in Peregian.

Convenience Retail / Retail Services

The Peregian Shopping Village is estimated to be achieving around 19%
market share of available convenience retail expenditure. This is well above
the 8%-12% a local centre would generally achieve due mainly to the large
population of Peregian Springs and its surrounding areas which are
currently underprovided for with retail facilities. This shortfall will be partly
remedied by the planned retail centre at the entrance to Peregian Springs
which will begin construction in November 2006. The share captured by the
Peregian Shopping Village is expected to decrease once the new centre
begins trading. Although growth is expected in the Surrounding Al it will be
central to new facilities at Peregian Springs which are well located to serve
a broader market than the Peregian Beach location.

It is unlikely the current market share achieved by the Peregian Shopping
Village can increase significantly to warrant a large addition of floorpsace to
the current mix. It is expected that market share will initially decrease
although, over time, turnover captured will increase given the forecast
market growth.

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06/0043 Opportunity Analysis - Peregian Beach Caravan Park Economics