One of the fastest growing fashion stores might be closing its doors in Australia due to the country’s challenging retail sector.
Zara is reportedly in discussions to break its lease at Robina shopping centre on the Gold Coast, Queensland, in a move described as a ‘game changer’ for the fashion sector.
The uncertainty of the store’s future comes just six years after the fashion giant arrived on Australian shores.
Zara opened its first Australian store on Sydney’s Pitt Street, and one year after it opened a new store at Pacific Fair at Broadbeach on the Gold Coast.
The Sydney store was the first of 15 to open across the country.
A spokesperson for Zara said they were ‘unable to comment’ on news the group was breaking lease at the Robina Town Centre store on the Gold Coast, the Sydney Morning Herald reported.
Robina Town Centre general manager Anita Brown also refused to comment saying: ‘It is not appropriate for the centre to comment on the commercial operations of our retail partners’.
Daily Mail Australia has contacted Zara for further comment.
The possible break of lease comes after fashion group Forever21 closed its stores at Sydney’s Pitt Street Mall.
The downturn suggested Australia’s fashion industry is struggling.
The downturn was supported by Colliers International which reported the Australian retail sector faced well-documented challenges.
While National Director of Retail said demand and performance was still good in densely populated areas, he said the industry was on the verge of real change.
With the imminent arrival of Amazon, an online giant, he said it was more important than ever stores took advantage of technology and relationships with their customers.