Home chief Di Pilla plans 10 centres to open by Xmas

The chairman of the Home Consortium has outlined ambitious plans to open 10 sites by Christmas.

David Di Pilla, the man behind the Home Consortium and aged-care operator Aurrum

The chairman of the Home Consortium, former investment banker David Di Pilla, has outlined ambitious plans to pour about $250 million into kickstarting the new large format retail property empire with 10 sites to be up and running by Christmas.

Backed by a coterie of wealthy families, Home last year snapped up 61 former Masters retail centres from Woolworths for about $725m, and the group yesterday revealed it was well-advanced on transforming the sites.

Heavyweight backers of the play include Zac Fried and Morry Fraid, who own the Spotlight and Anaconda chains, along with Mario Verrocchi and Jack Gance, the owners of the Chemist Warehouse chain.

With about $1 billion being poured into the venture and the Brett Blundy-backed Aventus Property Group listing to expand its large format retail operation, pundits have tipped the tight-knit group behind Home to follow this course.

“All options are on the table,” Mr Di Pilla said. “Potentially an IPO is something that could be considered down the track ... but there is a lot of work to be done.”

For now, Home is focused on providing household goods and services, which are unlikely to be hit by the onslaught from online retailing that has hit traditional department stores.

“We have a subset of retailers that are not as exposed to the internet and Amazon potential shifts in the retail landscape,” Mr Di Pilla said.

The group has sites in major growth corridors around Australia, as assembled by Masters when it planned to take on rival hardware chain Bunnings.

Home has leased 13 of its sites to Bunnings and is also dealing on eight sites more suited to alternative uses via real estate adviser Cushman & Wakefield.

Home aims to convert 40 sites across Australia into low-cost centres to accommodate retailers specialising in daily needs, lifestyle and leisure or homeware. The homeware group will include strongly performing retailers such as Nick Scali, Amart Furniture and Good Guys. The lifestyle category includes Spotlight, Anaconda, Super Retail, Rebel, Toys “R” Us and JB Hi-Fi.

Daily needs refers to Woolworths, Coles and Chemist Warehouse.

“We’re putting a best of brand retail proposition all under one roof,” Mr Di Pilla said. The centres will also offer care centres, gyms and medical centres to draw visitors.

With 10 complexes to open by Christmas, he estimates the remaining 30 sites will be running by the end of next year.

Mr Di Pilla called the centres a “compelling proposition”, saying they would run along the lines of successful models in the United States.