Fortune Gate See Profitable Times Ahead

Retail giant Fountain Gate announced that it has allocated a $340-million budget to overhaul its business. Fountain Gate’s fame soared, thanks to Australian TV show “Kath and Kim.”

According to the retail company, the store changed its flooring to marble floors and added timber finishes, while making good use of natural light in its internal architecture. Shoppers will also find the addition of furniture and other resting areas pleasant and comfortable.

Reports, however, said that the “facelift” of Fountain Gate comes at a time when the country’s retail industry is experiencing a slowdown, forcing smaller businesses to shut down operations.

This isn’t hampering plans of retail giants, though. Even Myer is pressing on with expansions in Victoria, even as online retail has taken a chunk of walk-in customers.

Myer’s expansion plans are based on an analysis that consumers living in the suburbs are more eager to patronize shops.

Fountain Gate, meanwhile, will probably not have such problems with consumers coming to the store, for analysts say it is already in a good location and is expected to do well.

Fountain Gate’s redevelopment started in March 2011 and opened half of the store with 54 tenants in May of this year. The store has a total of 440 tenants and has been in existence for more than a decade.