The Parade at Norwood and Prospect Rd record rise in empty shops across Adelaide

The number of vacant shops on two of Adelaide’s busiest retail strips has surged as shoppers tighten their belts. See how your local strip is faring.

Cibo at Norwood Place closed earlier this year.

The rate of vacant shops on The Parade and Prospect Rd have surged, according to the latest figures from property firm JLL, while leasing activity along Jetty Rd at Glenelg has elevated the popular beachside strip as the best performing high street across Adelaide.

JLL’s latest Retail High Street Overview report shows the retail vacancy rate along The Parade at Norwood jumped from a record low 2.6 per cent in October to 6.6 per cent, while vacancies on Prospect Rd at Prospect rose from 2.6 per cent to 7.9 per cent.

However the report notes there have been differing factors at play, with several developments along Prospect Rd adding new supply to the retail precinct, while the vacancy increase at Norwood was down to retail closures and sluggish demand.

Recent closures on The Parade have included Lone Star Rib House and Knightsman Bespoke Tailors at the western end of the strip, while skincare retailer Janesce and Pinot & Picasso, further east towards the heart of the strip have also shut their doors.

Jetty Rd at Glenelg is the Adelaide shopping strip with the lowest rate of vacant shops, according to new research from property firm JLL. Picture: Brenton Edwards

The closure of the Cibo coffee shop at Norwood Place in April adds another vacancy, falling outside of JLL’s latest survey.

JLL’s Victoria Tallarida said The Parade had become a “victim of its own success”.

“The Parade has been the most in demand high street in Adelaide for the last few years, and it’s likely that this persistent demand has positively impacted asking rents along the strip,” she said.

“This increase has likely impacted some retailers operating on thin margins after a period of slower consumer spending over the past 12 months.

“Over the medium term though, there are multiple high density apartment developments along The Parade that are nearing completion which will support consumer spending along the strip. It’s unlikely that the vacancy rate along The Parade will remain elevated for an extended period of time.”

New retail supply along Prospect Rd include spaces within The Harrington apartments project and a new multi-tenant retail development at 85 Prospect Rd.

Meanwhile in the CBD, the vacancy rate along Hindley St fell for a second consecutive six-month period, falling from 17.8 per cent in October to 15.1 per cent, but it remains the strip with the highest rate of vacant shops.

Similar to Rundle St, Hindley St has welcomed an influx of convenience stores in recent months, with two additions to the precinct over the past six months, lifting the total convenience store offerings to 7.5 per cent of the tenancy mix along Hindley St.

Overall, the blended vacancy rate across all strips surveyed by JLL edged up slightly from 7.7 per cent to 7.9 per cent, with Jetty Rd at Glenelg the best performing strip where vacancies have fallen from 6.5 per cent to 4 per cent.

The latest wave of retailers to open at the beachside precinct include Shadow Baking, Betty’s Burgers, Cakeboy Donuts, St. Louis House of Fine Ice Cream & Dessert and St. Louis Gelateria, which have all opened within Taplin Group’s The George hotel development on the corner of Colley Tce.

Ms Tallarida said demand for space along Adelaide’s high streets had been “resilient throughout a pretty turbulent macro environment over the last 12 months”.

RETAIL VACANCY RATE

Rundle St, CBD 6.1 (Q3, 2024) / 8.2 (Q1, 2025)

Hindley St, CBD 17.8 / 15.1

O’Connell St, North Adelaide 10.4 / 9.3

The Parade, Norwood 2.6 / 6.6

King William Rd, Goodwood / Hyde Park 6.3 / 5.5

Jetty Rd, Glenelg 6.5 / 4.0

Prospect Rd, Prospect 2.6 / 7.9

Originally published as The Parade at Norwood and Prospect Rd record rise in empty shops across Adelaide