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In addition the property developer is able to exploit the cost difference between retail and industrial rents, gives outlet centre operators a distinct advantage over traditional shopping centres. DFO centres have traditionally been located around airports: a side effect of the Airports Act of 1996, the Commonwealth Government has planning control over the land, meaning state planning legislation can be bypassed by developers. Valued at A$1.5 billion, in early 2010 the business was put up for sale with a number of retail investment funds expressing interest. Former Australian Competition & Consumer Commission chief Graeme Samuel holds a $50 million interest in Austexx through a blind trust.
The South Wharf centre was under an A$500 million debt, with work on completing the centre stopped after workers placed bans over non-payment. On 16 August 2010, lead bank Suncorp-Metway, along with St George Bank, National Australia Bank and Lloyds Banking Group, issued a notice to parent company Austexx demanding repayment within 24 hours of the A$450 million they are owed. By 2008 five legal challenges to DFO developments have been made by competing retail developers and the Shopping Centre Council of Australia, all being unsuccessful.
Locations Direct Factory Outlets (DFO) locations are: The banks hope to recoup most or all of the money they are owed by avoiding a 'fire sale' of assets, but neither Austexx founders or other investors are expected to be repaid until the bank debts are settled. The ten DFO shopping complexes will then be sold off separately to repay the $1 billion owed to the banks. Negotiations continued until a deal was struck on Thursday 19 August, the four banks extending their funding to allow the South Wharf development to be completed. The group of banks appointed insolvency specialists KordaMentha as advisers, with the entire group facing receivership.
Originally Fairways Leisure Market, the centre was opened in 1992, on land adjacent to Moorabbin Airport. DFO Moorabbin – Cheltenham, 20 kilometres (12 mi) south-east of Melbourne. Queensland Former Direct Factory Outlets on Spencer Street DFO Homebush – Homebush, 14 kilometres (8.7 mi) west of Sydney CBDIn 2009, a DFO in Wollongong near the Kembla Grange Racecourse was proposed, but was rejected by the Wollongong City Council.
Tenants were relocated from 15 October 2009 to the new DFO at South Wharf, the Spencer Street centre being refitted and rebranded by Austexx as "Spencer Street fashion station", now known as "Spencer Outlet Centre". DFO South Wharf & Homemaker Hub – South Wharf, Melbourne CBDBetween 20 DFO Spencer Street operated as part of the Southern Cross railway station complex. DFO Essendon – Essendon, 11 kilometres (6.8 mi) north of Melbourne - opened in Oct 2005 Since opening, the centre has been expanded to 24,715 metres (81,086 ft). The centre had approximately 45 stores, on 8,000m 2 of land.
"Ownership of 1.5 Billion DFO Retail Chain to Change". ^ Pallisco, Marc (9 February 2010). ^ a b "theage.com.au - The Age". The precinct opened on 3 October 2018 with 113 retail outlets and 1500 parking bays. 16 kilometres (9.9 mi) East of Perth central business district.
"DFO sale signals trusts are finally turning corner". ^ Cummins, Carolyn (26 April 2010). "DFO carve-up to pay banks".
^ Gluyas, Richard (18 August 2010). ^ "Direct factory outrage". Archived from the original on 8 December 2009.
Archived from the original on 26 February 2008. ^ How state axed $125 mil megastore for Kembla Grange "Melbourne DFO faces receivership with $500m debt". ^ Dunlevy, Maurice (17 August 2010).
Retrieved 29 October 2012. "Centres feel left out of discount boom". ^ "Hobart airport DFO still on radar".
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