Circularity in retail fitouts: Working to reinvent retail

We're committed to making our retail spaces more sustainable. Circularity, one of four pillars in our ESG strategy, looks to embed circularity principles throughout our portfolio and operations to make resources stay useful, longer.   

A recent example of applying circularity in retail fitouts is enhancing sustainability for retail centres and tenants. Designing out waste and pollution, keeping products and materials in use, and regenerating natural systems reduces the environmental impact of retail fitout churn, which produces tonnes of waste each year, most of which ends up in landfill. 

But what's less known is how both the quality of the fitout and the experience are enhanced for retailers and their customers when circularity principles applied to the design and construction of retail spaces is done right at the start. 

Town centres go circular 
Petie Walker, Executive General Manager of Sustainability and Delivery, emphasised “The circular economy is bigger than simply switching one material for another or recycling better – it’s about creating solutions to meet the interconnected challenges of climate change, biodiversity loss, and waste”.  

Our commitment to circularity is evident in our efforts to divert waste from landfills and manage the embedded carbon in materials used across our portfolio. For example, a recent de-fit pilot at Stockland Merrylands diverted 87% of construction materials from landfill. 

We aspire to take a whole-of-life perspective for fitouts, diverting as much waste as possible from landfills and responsibly managing embedded carbon in materials. “We can assist in developing ways to make circularity a viable option and work with our tenants when possible to reuse fittings and equipment rather than just diverting it to landfill. We aim to lead by example and demonstrate the right ways for efficient recycling and reuse of fitout furnishings and equipment,” says Jamie Loader, National Operations Manager.  

Debunking the myths of circularity 
One of the challenges in making reuse and recycling work in retail fitouts is the perception that circularity adds significant costs. This is a priority for Jamie and his team. “We've piloted programs to understand how difficult it is to itemise each piece of furniture or equipment within a tenancy and assess the time it takes to remove it. Our goal is to demonstrate that it’s achievable by analysing the cost and the timeframes involved and proving the value of sustainable fitouts,” he says. 

Programs and partnerships 
Part of the drive to increase circularity is providing tangible proof and specific programs that support retailers in their decision-making. That’s why we’re developing carbon accounting capabilities to track the embedded carbon in products and equipment, including emissions from recycling or disposal. To create positive outcomes, we’re partnering with charities like Relove, which provides good quality rescued furniture to families in crisis and provides an outlet for small businesses seeking reusable fittings and fixtures. 

A circular impact 
Implementing circular design and fitout strategies in retail not only delivers significant environmental benefits but is also very much on-trend. Retailers can create modern, stylish spaces that align with current design trends while appealing to the growing number of environmentally conscious consumers. 

It gives retailers the opportunity to tell compelling stories about their commitment to sustainability, deepening the emotional connection between their brand and customers. "By highlighting their efforts to reduce waste and embrace circularity, retailers can make shopping experiences more meaningful,” says Jamie.  

Showcasing these initiatives not only strengthens their brand but also attracts customers who value sustainability – creating both environmental benefits and a competitive edge. 

Our commitment to making circularity work 
We’re inspired by the possibilities to build environmentally and economically sustainable places for our communities at scale – a vision that underpins our commitment to circularity. 

We believe incorporating recycled materials in retail fitouts, guided by circular economy principles, is not only good for the environment and business but also enhances customer experiences. By embracing circularity, retailers can create stylish, sustainable spaces that resonate with customers and contribute to a healthier planet. “If we can promote circularity and ensure that it's considered from the start, it gives it every opportunity for success” he said. 

This is the perfect time for all retailers to look at how circularity can become part of their strategies. If you’d like to know more about our ESG journey, click here.