After decades of expanding through food courts and high-street shopfronts, a growing number of tier-two and tier-three brands are now targeting freestanding drive-thru locations.
Tier-2 and Tier-3 brands are emerging or mid-scale operators that typically have 10 – 150 stores, strong brand recognition and aggressive expansion ambitions but historically relied on in-line shopping centre locations rather than standalone sites.
These types of brands are typically overlooked by property developers, who focus on securing Tier-1 anchors such as McDonald’s or KFC when planning drive-thru precincts.
Drive-thru lanes have become the most profitable channel in quick-service dining. Industry studies 50% – 75% of total revenue at major fast-food brands is generated through the drive-thru window, making the format critical to sales growth and operational efficiency.
Emerging brands are now chasing the same economics.
Australian café-sandwich chain Soul Origin opened its first drive-thru restaurant in Heathwood (Brisbane), marking a strategic shift for the brand. The company expects drive-thru stores to generate up to double the turnover of a typical shopping centre tenancy and has flagged ambitions to roll out dozens of drive-thru locations.
Other Tier-2 brands are already testing the model. Frangos has expanded beyond its traditional shopfronts with drive-thru locations in Villawood and Edmondson Park, with others in the pipeline.
Premium burger chain Betty’s Burgers is also moving into the drive-thru format, as well as a wave of challenger chicken concepts, including Pappa Flock.
Greyfield has officially relaunched the former Kingswood Park Village as North Penrith Marketplace, following a repositioning of the centre aimed at creating a stronger neighbourhood retail destination.
Prior to Greyfield’s involvement, the centre was anchored by a 300 sqm Friendly Grocer and carried a 700 sqm vacancy, limiting its ability to compete in a trade area surrounded by Woolworths, Coles and Aldi.
Rather than competing head-to-head with larger grocery operators, the strategy was to reposition the space into a destination-style grocery offer, transforming the centre’s key tenancy into a point of difference for the community.
The grand reopening was held onsite on 7 March, attracting more than 4,000 visitors throughout the day. The event featured rides, face painting, showbags, food trucks and a live DJ, creating a festival atmosphere for local families. All coordinated by Greyfield’s asset management team.
Speeches were delivered by Penrith Mayor, Todd Carney, and Greyfield co-founder, Matthew Nicholas, marking the centre’s new chapter.
Early signs suggest the repositioning is resonating with customers. Anchor tenant, Grosco, recorded exceptionally strong opening performance, with some customers reportedly driving over 45 minutes from suburbs such as Carlingford, Harris Park and Bella Vista to shop at the new store.
A new Woolworths-anchored shopping centre is progressing in Springwood (Blue Mountains).
The proposal centres on a full-line Woolworths supermarket supported by specialty retail and parking, designed to service the expanding residential catchment across the lower Blue Mountains.
The centre will no doubt capture a portion of customers currently travelling to nearby retail destinations, particularly Winmalee, which currently serves as the closest neighbouring supermarket centre for many residents in the surrounding trade area.
Greyfield has received confidential leasing mandates from several national large-format retailers seeking space in the Taren Point / Caringbah corridor.
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If you own property in Taren Point, Caringbah or surrounding
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