General News
18 May, 2023
Luxury retailers closing down
Lack of overseas tourists spells end of DFS, Louis Vuitton stores in CBD
ICONIC luxury retailers T Galleria by DFS and Louis Vuitton in the Cairns CBD are closing.
Hard hit by border closures during COVID-19 and a slow rebounding international tourism market, the businesses shut for good on June 30 after more than 20 years and tens of millions of dollars spent on upgrades.
Building co-owner Frank Gasparin said “we are saddened by the departure of DFS Galleria and Louis Vuitton from Cairns after 23 years of operation”.
“We have been in negotiations with them for many months in an attempt to convince them to stay, but to no avail,” he said in a company statement.
“It is clear their business direction is more focussed down south and not with the local market of Cairns.
“On June 30, 2023 they have advised that they will be leaving.
“We want the people of Cairns to know that we did everything in our power to assist DFS Galleria and Louis Vuitton to stay, and while their iconic presence will be sorely missed, we are excited about plans afoot to bring some equally big brands to our great city to ensure the site is a high-end shopping destination for many more years to come.”
Mr Gasparin said talks were advanced.
Talks underway to replace high-end brands with other global names
“We can advise that we are in advanced negotiations with a number of other global brands to take their place and we hope to be able to make an announcement on that very soon,” he said.
A DFS spokeswoman said “as part of our regular and ongoing review of our global store network, DFS has decided to close T Galleria by DFS, Cairns in Australia on June 30, 2023”. “This decision was not made lightly or easily,” she said.
“We are proud of our 20-year history with this beautiful destination.
“However, to optimally position our resources and product offering for our travelling customers, we will be consolidating our operations through our store and head office in Sydney, as well as our new flagship store in Brisbane which is set to open in early 2024.
“We remain fully committed to serving customers in Australia at these locations.”
DFS currently employs 14 staff in Cairns. “All have been provided with support to ensure a smooth transition, including potential redeployment to another DFS location,” the spokeswoman said.
Louis Vuitton were contacted for comment. The Bvlgari store, also part of the building, hasn’t reopened since COVID.
Liz and Simon Terry from Perth hope the building can reopen with another high-end tenant. “This seems to be the only store with designer brands that we’ve seen around Cairns, and it’s really easy to spot,” Ms Terry said. “I believe people come here for the Great Barrier Reef, I don’t think they come here for the designer brands. But every Australian city has a designer area, so I think it should stay,” she said. “It’s a beautiful building so hopefully in the future it can be repurposed again,” Mr Terry said.
It was last used as a post office in 1988 and then the building, co-owned by Mr Gasparin and Stuart Thyrd, was renovated and the interior adapted for retail use while the façade was preserved. Its biggest makeover was in 2019 when nearly $20 million was spent creating a shopping extravaganza for those seeking some of the most luxurious retail brands in the world. At the same time the adjacent Louis Vuitton outlet received a $4 million upgrade.
In 2019 assistant general manager Gareth Jones said DFS was optimistic about the future of Cairns, signing a 10-year lease with options.
