With the stunning backdrop of Sydney Harbour and its unique waterfront location, with a range of top brands for tenants, a redesign and remixing, Mirvac’s Birkenhead Point is set to become one of the world’s most stylish outlet centres.

Charles Abercrombie’s ancestors came from the south-eastern part of Scotland. In the 11th century they had joined forces with the King of Scotland travelling north to fight Macbeth. In 1840 Charles, a distant yet direct descendant of the original clan leaders, arrived in Australia. It’s likely he knew William Wright, another Scotsman – a merchant, whaler and sealer – who’d purchased a huge block of land and named it after his family house in Scotland: Drummoyne.

Charles Abercrombie purchased land at the southern tip of Drummoyne, where he established an orchard as well as a ‘salting and boiling down’ works. He was a horse-racing man and laid out a racecourse on his property where the first steeplechase in Australia was held in 1884. The ‘Five Dock Grand Steeplechase’ had nine fences, including a six-metre pond jump and a 1.4-metre stone fence. The prize was 60 sovereigns; Abercrombie’s horse Emancipation came last in the second race. The land is now known as Birkenhead Point.

The area and surrounds developed rapidly; in 1900, the Perdriau Brothers set up a rubber importing company and, with the coming of the automobile, expanded their operation to manufacture rubber tyres. Dunlop took over the business in 1929 and, by the 1960s, some 1,600 workers produced tyres at the plant.

All that ended with the closure of the plant in 1977. The property was purchased by David Jones and redeveloped into a discount retail centre.

From then on it changed hands several times. CDL (City Developments Limited) revamped the centre and developed Quay Apartments. Jen Real Estate of Singapore purchased it in 2004 and began a staged development. They sold out to Abacus in 2010, who continued the stages.

Although the various owners could see the opportunities presented at Birkenhead Point to maximise its potential, the focus was always on the property – not the retail. That is, until Mirvac acquired it in 2014.

The Mirvac approach was different. It was an approach defined back in 2013 when Mirvac undertook a full strategic review which, naturally, included its retail portfolio. It was then that Mirvac Retail decided to concentrate on key urban and metropolitan markets where they could maximise their whole-of-group expertise.

A key feature of this strategy was to ‘unlock value’; they would focus on centres where the performance didn’t match the potential. Birkenhead Point fit the bill exactly.

At the time of purchase (2014) Birkenhead Point was trading fairly well. MAT/m2 was around the $7,600 mark but, with the vacating of David Jones, there were distinct opportunities. Serious retail work began immediately: the team at Mirvac set about remixing the existing tenancies, placing emphasis on the premium designer brands, gradually positioning the centre to produce a mix more befitting the affluent local catchment and its glamorous waterfront location.

Birkenhead Point is situated within Sydney’s second-largest trade area, sitting within a demographic that enjoys an average per capita income approximately 25% above that of greater Sydney.

A DA was lodged for the rework of the Roseby Street entry and mall – a major part of Level 2, known internally as Flinders Gallery – to transform it into a boutique, premium precinct featuring top international and Australian designer brand outlets. Approval was given, work began and the new 100% pre-leased Flinders Gallery opened to great applause on August 1 this year.

But Flinders Gallery is just a part of what’s been done, and that in turn is just part of an evolution of Birkenhead Point under the Mirvac ownership that will continue into the medium- and long-term timeframe. The emerging results are phenomenal.

Walk Birkenhead Point today and you’re in one of the most pleasant and spectacular shopping centres in the country. On one side the outlook is across the water to the suburbs of Balmain and Rozelle; from another point, the view is to Birchgrove, with the city in the distance and glimpses of the Harbour Bridge and Opera House. It’s an open centre, the glass roof pouring in natural light, but it’s not enclosed; at the north-eastern extremity, the whole mall is open to the expanse of water and the most stunning backdrop of the magnificent Sydney Harbour.

The Birkenhead Point Marina surrounds the site so the nautical flavour is enhanced. Alfresco dining areas overlook the various boats of all sizes and one has the feeling of being on the deck of an oceangoing liner.

There are stunning views from a variety of angles and the interiors of the centre are composed of such textures that the separation line between the water and the structure is somewhat blurred. Although totally protected, the centre is light, airy and open. The atmosphere is casual yet sophisticated, while the waterfront elements provide somewhat of an exclusive ambience.

And this upmarket feel is enhanced by the retail brands. Global premium fashion labels – Bally, Harrold’s, Coach, Ital Collezione (Dolce & Gabbana, Versace), Michael Kors and Zanerobe are recent additions; they join Armani, Hugo Boss, Polo Ralph Lauren, Calvin Klein, Tommy Hilfiger, Victoria’s Secret and Brooks Brothers.

But it’s a lot more than just global, premium brands. It’s necessary to understand the centre layout. The top floor consists of homewares, active leisure, sportswear. Level 2 is the collection of premium outlet stores known as Flinders Gallery, described above. Both levels look down to the ‘boulevard’ running through the centre – its ‘ground level’. Here, Mirvac has seized the opportunity to expand the food & beverage offer to suit the new Birkenhead Point. They’ve brought in Pier 8, Lindt Café, The Shed, Milligram – all smart cafes/dining outlets with alfresco components spilling into the centre of the ‘boulevard’. At the street’s end, Peters of Kensington has opened a major store with a superb cafe at its entrance.

Peter’s of Kensington

The fact that the iconic Peters of Kensington has opened a major store at Birkenhead Point is testimony not just to the success of the centre, but to the ability of the Mirvac team to convey their vision for the future. And it’s a vision that goes far beyond traditional retail.

Yes, they’ve succeeded in collecting an eclectic range of top premium labels; yes, they’ve got an iconic major, Peters of Kensington; yes, they’ve got a very stylish centre with a unique ambience; yes, there is a very smart collection of F&B outlets. But there’s a lot more.

Previously one went to Birkenhead Point to shop at the discount stores. It was a mission. You needed something, an item of clothing perhaps and, since Birkenhead Point was price competitive, you gave it a try. Alternatively, you might have used it for your everyday shopping, especially if you were local, but either way you were on a mission – one that was 100% focused on a retail purchase. You drove there, walked into an uninviting, drab and impersonal structure, shopped and left, in most cases, more or less oblivious to the somewhat bland surrounds.

What Mirvac has done is develop a whole new concept for the centre. Gradually they are turning the centre inside out. They’ve embraced the fact that they are custodians of an iconic building in a spectacular location – it’s a structure with history, heritage and great beauty.

Together with the architects and the heritage consultants they’re redefining the presentation, peeling off the layers to reveal the brickwork, accentuating the structure and highlighting its architectural features.

In the past, Birkenhead Point has always presented as an ‘inward-looking’ centre; Mirvac is changing that so it looks outward, with strategically placed windows in retail outlets extending shopper sightlines and connecting the customer to the water.

In line with this ‘concept change’, Mirvac has partnered with Emilya Colliver, art curator and founder of ‘Art Pharmacy’ in Redfern. They’ve created a new entrance on Roseby Street which showcases an impressive, double-level glass window display filled with public art – at the present time, it’s fashion-oriented ‘paper art’. The space features a state-of-the-art digital screen that reflects the public art display, as well as the aspirational qualities of the brands on offer; it’s highly visible during the day and a spectacular entry feature after dark.

So, the total ‘mindset’ of the customer changes. Birkenhead Point is no longer an ‘in and out’ centre but is transforming itself to become an experiential centre, a leisure and entertainment venue featuring shopping, wining and dining, and an ‘extended visit’ centre, perhaps for as long as a whole day.

The recent opening of the Flinders Gallery redevelopment signals this experiential concept. The premium finishes adopted, the sophisticated new palette, bold black-framed shopfronts, polished brass signs, custom-designed public furniture incorporating wi-fi and device charging points, the overall minimalistic yet stylish design all create a unique, high-end ambience enhanced by the stunning waterfront location.

There’s a lot left to do but, from here on in, it’s not a question of whether they’ll pull it off or not, because they’ve done that already. The masterplan calls for a transformation of Birkenhead Point into a world-leading outlet and leisure destination for tourists and locals alike, and that’s exactly how it presents right now. In the short term they will begin installation of a technologically advanced, managed parking system to enhance the customer experience. The fresh food and lower ground dining offer will be reimagined in line with customers’ needs and desires. Accessibility, convenience and vertical connections will be enhanced and the waterfront aspect will create a magnificent stage for the theatre of retail.

Already, Birkenhead Point has taken a prominent place on the ‘What to do in Sydney’ list. Mirvac has appointed a specialist Tourism Manager to maximise the exposure of not just Birkenhead Point but Harbourside and Tramsheds. ‘Shopper Hopper’ (above), a private ferry service funded by Mirvac, emanating from Circular Quay, links the CBD with Harbourside and Birkenhead Point and operates on a daily basis.

SCN walked the Centre in preparation for this article. It is obvious that the shopper profile has changed dramatically. It is now a market consisting of both locals and tourists in big numbers. The atmosphere is most definitely leisure orientated and the overall mood is one of people enjoying a day out.

Shopping bags are the order of the day too; people here are not ‘just looking’ – they’re buying and having fun doing it.

The numbers don’t lie. Since purchasing the centre, as well as the structural and architectural changes, Mirvac has introduced some 30 new retailers and completed over 100 leasing deals. From an MAT/m2 of around $7,600 they’ve taken it to a level nudging $10,000 in less than three years; that’s a double-digit improvement year on year.