Starhill Global Real Estate Investment Trust said on Nov, 04 2026 that its manager, YTL Starhill Global REIT Management Limited, is in talks with David Jones Pty Limited, the anchor tenant at the David Jones Building in Perth, regarding possible changes to the existing lease, including a reduction in the 246,526-square-foot space currently occupied.
The department store’s lease generates about 9.0 million Singapore dollars in annual revenue, representing roughly 4.7% of Starhill Global REIT’s portfolio revenue for the fiscal year ended Jun, 30 2026. The tenant had been paying rent regularly through Sep, 30 2026, but is now in arrears by about 1.3 million Singapore dollars, of which 0.5 million Singapore dollars is covered by existing provisions.
The landlord is evaluating contingency plans such as securing replacement tenants and repositioning the property into a multi-tenancy asset. Redevelopment feasibility studies are also under way with the aim of preserving and enhancing long-term returns.
Management said it remains positive on the medium- to long-term prospects for Perth’s central business district, supported by factors such as the upcoming February 2026 opening of Edith Cowan University’s new city campus, population growth and solid economic fundamentals in Western Australia.
The REIT will provide further updates on material developments and advised unitholders to exercise caution when trading its units.