Sherpa Property Group has unveiled the third instalment of its Flourish series, securing full approval for the two-tower, $500 million Flourish Soleira development in Palm Beach.

<a href="https://www.apartments.com.au/new-apartments/flourish-soleira-1150-1154-gold-coast-highway-palm-beach-qld-4221">Flourish Soleira</a> will rise from a prominent site in the commercial heart of Palm Beach, the long-time home of Cash Converters and a range of local retailers.

The project will introduce a new retail and dining precinct at ground level, beneath 286 apartments.

[smartcode_project:default project_id=150017 project_image_fid=370959]

“We’re very committed to not only providing affordable residential offerings that are much needed in Palm Beach, but also delivering a vibrant new commercial heart that complements the extraordinary growth of the southern Gold Coast,” Sherpa Property Group founder Christie Leet said.

The development will sit under Sherpa's Flourish brand, which is aimed at providing a pathway into the beachside suburb for locals, first-home buyers and downsizers. In a move designed to assist first-home buyers entering the market, Sherpa has reserved all one and two-bedroom, one-bathroom apartments exclusively for eligible first-home buyers.

[smartcode_project:default project_id=150017 project_image_fid=370964]

“Our vision through Flourish is to create a vibrant retail and lifestyle focal point within the Palm Beach centre zone, delivering thriving communities underpinned by lifestyle-rich locations,” Leet said.

“So far, Flourish has been an incredible success, and we hope to carry this momentum as we progress the next two Flourish projects in Palm Beach.”

[smartcode_project:default project_id=150017 project_image_fid=371430]

Located across 1150-1164 Gold Coast Highway and 3 Sixth Avenue, the development will comprise two towers. The northern tower will deliver 154 apartments, while the southern tower will add a further 132 residences, helping address ongoing demand for new apartments in the tightly held coastal suburb.

Flourish Soleira will also feature the most extensive rooftop amenity offering ever delivered in Palm Beach.

The two towers will be connected by a skybridge, with residents gaining access to a rooftop recreation deck featuring a full-width swimming pool, hot and cold plunge pools, wellness spaces, a gymnasium, private dining facilities, massage treatment rooms, barbecue areas, a basketball court, golf simulator, indoor and outdoor dining spaces, sun lounges and extensive landscaping.

LPS Group is expected to start construction later this year.

Sherpa is already well advanced on construction of its debut Flourish project, Flourish Amargo, located just around the corner from Soleira. Meanwhile, Flourish Oasis, positioned opposite Amargo, recently commenced construction and has nearly sold out its collection of 47 apartments.

[smartcode_project_cta:default project_id=150017]

Joel Robinson

Sherpa unveils $500m mixed-use Palm Beach precinct, Flourish Soleira

Are mortgage holders set to get a reprieve from the RBA in 2026?

Big Four bank NAB believes so. They are now expecting the next move from the RBA to be a cut, rather than a hike, which they had pencilled in for August. They are unsure of the timing of the cut however, they note in their latest&nbsp;NAB Economics RBA Watch.

NAB Chief Economist, Dr Sally Auld, said recent data suggests the economy has lost momentum and the outlook for rates has shifted, noting that the broader economic backdrop has changed since earlier in the year.

“The next move in the cash rate is likely to be down, but the timing is uncertain," Dr Auld said.

"In February, growth was above trend, the economy was operating above capacity and there was uncertainty over the restrictiveness of rates. None of these conditions exist today,” she outlined.

Dr Auld said recent data pointed to softer momentum across the economy while acknowledging that at the same time, uncertainty remains a key feature of the outlook.

“Both Q1 GDP data and the NAB business survey suggest momentum in the economy has slowed, meaning that growth has likely peaked for the cycle. That said, we are cognisant there is still considerable uncertainty around the outlook, both with respect to activity and inflation.”

Dr Auld said inflation risks and labour market outcomes would be important to watch.

“On the prices side, we are still forecasting above target core inflation through to mid-2027. Margins will compress and weaker labour market outcomes are a risk.”

She said tighter financial conditions are expected to weigh on housing and activity.

“Tighter financial conditions will be reflected in a slowing in house price growth and housing credit growth. In summary, we have greater conviction that the next move in rates is down, but less conviction on the timing.”

Mortgage relief? NAB forecasts RBA rate cut, not hike, after softer economic conditions

A local downsizer has splashed $6.5 million on a penthouse in Perifa's Alex &amp; Willow development in Crows Nest. 
&nbsp; 
The purchaser sold their long-held family home in the area before embarking on a six-month search for the right apartment. After inspecting a range of options across the Lower North Shore, the buyer returned to <a href="https://www.apartments.com.au/new-apartments/alex-willow-crows-nest-82-90-alexander-street-crows-nest-nsw-2065">Alex &amp; Willow</a>. 
&nbsp; 
The buyer profile reflects the project’s broader purchaser mix. <a>Alex &amp; Willow</a> has attracted predominantly local downsizers looking to transition from larger homes without compromising on space or quality, alongside a smaller cohort of upsizers and investors drawn to the project’s location and design credentials. 
&nbsp; 
The milestone sale comes as the project, developed by&nbsp;<a href="https://www.apartments.com.au/developers/perifa">Perifa</a>&nbsp;and delivered by <a href="https://www.apartments.com.au/builders/versatile-made-construction">Versatile Construction</a>, both part of Versatile Group, reaches 60 per cent sold.

[smartcode_project:default project_id=6680 project_image_fid=371325] 
&nbsp; 
Eddie Mansour, Managing Partner of <a href="https://www.apartments.com.au/project-marketer/ray-white-projects">Ray White Projects</a>, said the result demonstrates not only a headline price but also depth of demand. 
&nbsp; 
“This is an exceptional outcome and a clear reflection of sustained buyer demand for premium, well-located downsizer product,” Mansour said.

“We’re seeing a consistent pattern of local homeowners selling family residences and reinvesting into high-quality apartments that allow them to remain within their community. Alex &amp; Willow has resonated strongly with this group because it offers genuine scale, thoughtful design and immediate proximity to the village.” 
&nbsp; 
The sale reflects a broader and consistent trend of local downsizers actively seeking high-quality, low-maintenance residences close to established village centres. Agents report that demand for this product type has remained resilient, particularly where developments offer a rare combination of scale, design quality and walkable amenity. 
&nbsp;&nbsp; 
Fabrizio Perilli, Managing Director of Perifa and Versatile Group, said the sale marks a defining moment for the project. 
&nbsp; 
“The penthouse sale is a strong endorsement of the quality we have delivered, alongside our partners, and the clear demand from local downsizers for premium, boutique residences in this location,” Perilli said.&nbsp; 
&nbsp; 
“Most importantly, we’re proud to see the Alex &amp; Willow community beginning to take shape. As we move closer to completion, we’re looking forward to welcoming residents and seeing the project come to life.”&nbsp;

[smartcode_project:default project_id=6680 project_image_fid=338516] 
&nbsp; 
Designed by <a href="https://www.apartments.com.au/architects/nettletontribe">Nettleton Tribe</a> with interiors by <a href="https://www.apartments.com.au/interior-designers/richards-stanisich">Richards Stanisich</a>, Alex &amp; Willow is a boutique collection of generously sized two- and three-bedroom residences in the heart of Crows Nest village.&nbsp;

Completion is slated for early 2027.

[smartcode_project_cta:default project_id=6680]

Alex & Willow, Crows Nest penthouse sells off the plan for $6.5 million

Fresh from launching the first stage of its Wollongong precinct, <a href="https://www.apartments.com.au/new-apartments/keira-place-wollongong-120-122-smith-street-wollongong-nsw-2500">Keira Place</a>, builder-developer Urban Property Group has unveiled plans for the next phase of the masterplanned community.

Now on public exhibition through the NSW Government's Housing Delivery Authority pathway is a State Significant Development Application for a further 657 homes on the prominent gateway site opposite Beaton Park.

The proposal comprises three buildings, including two build-to-sell towers rising 25 and 30 storeys, delivering 391 apartments, alongside a 12-storey co-living building with 266 residences, making it one of the largest co-living proposals currently planned in regional New South Wales.

Of the apartments proposed in the build-to-sell towers, the majority, 310, are two-bedroom dwellings. The balance comprises 44 one-bedroom apartments and 37 three-bedroom residences. Apartment sizes range from around 50 sqm for one-bedroom homes to approximately 90 sqm for three-bedroom apartments.

<img alt="Smith St" data-entity-type="file" data-entity-uuid="19347059-1612-41a0-9c74-b86a657237f8" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-06-10%20at%2010.02.18%E2%80%AFAM.png?VersionId=sWXnaCcA.cIC6N8YT1dg5pJ2e1V3Z6z7" />

The submission says the proposal has evolved significantly from its original Housing Delivery Authority application following extensive consultation with the State Design Review Panel and Wollongong City Council.

The final scheme has been designed to align with the emerging vision for the Flinders Street Precinct, an area identified by Council as a future high-density mixed-use neighbourhood capable of accommodating substantial housing growth close to transport, employment and community infrastructure.

According to the design report prepared by COX Architecture, the development aims to "deliver a built outcome consistent with the future character of the Wollongong CBD while responding to the site's unique constraints and opportunities."

"Our vision for the next phase of the site evolution in Wollongong is grounded in three design pillars that guide the design response: place, natural environment and celebration," COX said.

"Inspired by its surroundings and grounded in the stories of place on Wodi Wodi Country, the design proposal acknowledges the established character of its setting while creating a unique and timeless identity that sits harmoniously within it.

"The design proposal responds to its specific site conditions, acknowledging the vegetation, climate, wind conditions and solar access of the site."

The architecture responds directly to the site's position between Wollongong's urban core and its natural landscape setting.

COX identified views towards Mount Keira and the Illawarra Escarpment as defining features of the site, while the upper levels of the towers will also capture expansive views across the city and out to the Pacific Ocean.

The design team has positioned the tallest buildings closer to the rail corridor, where overshadowing impacts can be better managed while establishing a landmark built form on the northern approach into the city.

<img alt="Smith St" data-entity-type="file" data-entity-uuid="79580d5b-500c-4ebf-9629-797146a4a694" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-06-10%20at%209.51.59%E2%80%AFAM.png?VersionId=WbTB1EKSG.KDfsfz0F3wp1QVa2oCMGR5" />

Urban Property Group secured the 11,000 sqm Smith Street site in 2022 and has since progressed plans for the broader Keira Place precinct.

Construction recently commenced on the first stage of Keira Place, which will deliver 150 apartments across two residential buildings, including 27 affordable housing apartments and 18 specialist disability accommodation dwellings, alongside activated ground-floor retail and commercial space.

Urban Co-CEO Patrick Elias said the commencement of construction marked a significant milestone for Wollongong and reflected the developer's long-term commitment to regional cities.

"Today's groundbreaking is about turning approvals into homes and moving quickly to deliver much-needed housing in Wollongong's city centre," Elias said.

"Keira Place will provide a diverse mix of homes close to jobs, transport and services, while setting a high benchmark for quality, durability and consumer protection."

Read more:&nbsp;<a href="https://www.apartments.com.au/news/nsw/groundbreaking-marks-start-of-construction-at-keira-place-in-wollongong-cbd">Groundbreaking marks start of construction at Keira Place in Wollongong CBD</a>

&nbsp;

&nbsp;

&nbsp;

Urban Property Group unveils trio of towers for next stage of new Wollongong precinct, Keira Place

Central Element is seeking approval for a significant residential redevelopment in Lavender Bay, lodging plans for a dual-tower apartment project that would deliver 163 new homes on a prominent site at the northern gateway to Milsons Point.

The Sydney-based builder-developer has lodged a concurrent rezoning proposal and State Significant Development Application for <a href="https://www.apartments.com.au/new-apartments/64-66-lavender-street-lavender-bay-nsw-2060">64-66 Lavender Street and 3-7 Middlemiss Street</a>, a 2,305 sqm amalgamated site currently occupied by a collection of ageing residential flat buildings.

Designed by SJB, the proposal would replace the existing 32 apartments with two residential towers rising 23 and 32 storeys, comprising 163 apartments including affordable housing managed by a community housing provider. The project forms part of the NSW Government's Housing Delivery Authority program and has been progressing through a fast-tracked state planning pathway since being endorsed for further assessment in 2025.

The proposal is one of the most significant redevelopment opportunities currently under consideration on Sydney's lower north shore, sitting between the high-density towers of Milsons Point and the lower-scale heritage fabric of Lavender Bay.

<img alt="Lavender Bay" data-entity-type="file" data-entity-uuid="93ecf0ee-487d-4292-afc4-0bc9579475d6" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-06-10%20at%209.30.48%E2%80%AFAM.png?VersionId=PunU2ipMaTxiJcJ8NdMyUlWA7d98eNUb" />

The planning proposal seeks a substantial uplift from the current 12 metre height limit, which would only allow for a four-storey building, however the submission argues a scheme within these limits would not be&nbsp;economically feasible given the complexity of site amalgamation and would fail to maximise housing delivery on land located within walking distance of major transport infrastructure.

SJB said the design evolved significantly following discussions with the Department of Planning, Housing and Infrastructure and independent design review processes.&nbsp;Rather than pursuing a single larger tower, the architects adopted a two-tower approach aimed at reducing perceived bulk, preserving view corridors and creating greater permeability at ground level.

The northern tower would rise 23 storeys and contain 81 apartments, while the southern tower would reach 32 storeys and accommodate 82 apartments. Five basement levels would provide 174 car spaces, 181 bicycle spaces and 10 motorcycle spaces.

"The proposal for 3–7 Middlemiss Street and 64–66 Lavender Street is driven by a clear ambition to complete the Middlemiss Peninsula, delivering the final piece of a carefully evolving urban precinct," SJB noted in its design report.

"Positioned at the threshold between Lavender Bay and the North Sydney CBD, the development is envisioned as a unifying element—one that completes the skyline composition while providing a considered and harmonious transition between the peninsula’s established character and the intensity of the CBD beyond.

"Collectively, the development aspires to create a landmark that is generous, inclusive, and deeply connected to its setting, one that enhances the skyline, strengthens the public realm, and contributes to a more equitable and sustainable urban future."

Communal spaces would be distributed across multiple levels, including landscaped podium gardens, swimming pool facilities, barbecue areas and rooftop-style retreat spaces designed for residents. The proposal delivers more than 1,500 sqm of communal open space and nearly 400 sqm of indoor communal facilities.

<img alt="Central Element" data-entity-type="file" data-entity-uuid="0671c276-6dd8-4cfc-97b0-134a45d2c8cf" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-06-10%20at%209.30.17%E2%80%AFAM.png?VersionId=90D7lRaCTMTsFx92tIBrHlZcuaV_a4cw" />

A major focus of the planning assessment has been the project's relationship with surrounding public open spaces.

Clark Park, Bradfield Park and Wendy Whiteley's Secret Garden are among the lower north shore's most valued public landscapes, and overshadowing impacts have been closely examined through the design process. Central Element is proposing to also create a new public plaza and pocket park as part of the development.

Central Element has been developing across Sydney since 2010.

They have recently completed their Chatswood tower, Ethos Chatswood, as well as their luxury redevelopment of Coogee's landmark Ballamac House. They are currently selling Pearl Bondi, just seven high-end homes, while future plans include a tower on Hyde Park, and a boutique project in Neutral Bay.

First look: Central Element reveals Lavender Bay apartment plans

Woolworths

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The Woolworths in Middle Brighton has sold for $32.08 million, billed as the highest price paid for a passive supermarket investment in Australia.
CBRE had over 280 enquiries for the supermarket, with around a third of the buying interest coming from offshore.
It went to a local private investor who will see a 3.77 percent yield from the investment which is leased by Woolworths until 2040.
The buyer, a prominent Melbourne family, beat off 15 other formal offers CBRE received.
Woolworths however do have the right of refusal to match the offer and acquire the property, which is outlined in their lease agreement.
"Woolworths has a leasehold interest in this site only and is not in a position to speak in relation to the sale process," a Woolworths spokesperson said.
CBRE's Justin Dowers, who negotiated the Woolworths sale with Mark Wizel and Kevin Tong, said there's a recipe for a highly secure retail market.
''When you couple [the] strongest population growth in the country (1.7 percent) and highest consumer sentiment levels (105.8), you have a recipe for a highly secure retail investment.
"More and more population will increase retail trade, leading to improved security for these retail leased investments," he added.
The recently refurbished 3307 sqm supermarket on Brighton's popular Church Street hadn't traded since 1985 when Sestons Pty Ltd, controlled by Laurence Teh, paid $3 million for the property.
It stands on a 4700 sqm site with 85 parking spaces on title.
The sale follows a string of Woolworths sales across Australia this year, the most recent the new site in Sydney's Potts Point which was snapped up by New Zealand investor Brain Cook.
The last four:
Potts Point - New South Wales
Auckland-based investor Brian Cook paid $16.3 million for the retail complex in Potts Point's new Omnia development. The 1,190 sqm space is pre-leased by Woolworths for the next 15 years.
Logan City - Queensland
This was a Woolworth's anchored shopping centre, which went for $38.25 million when bought by an Asian investor. The deal translated to a net yield of six percent. Woolworths, which brings in 55 percent of the centre's revenue, is joined by 13 retail tenancies.
Burnie - Tasmania
The recently refurbished 4000 sqm supermarket on 10,978 sqm sold for $18.1 million to a Melbourne investor. The site is leased by Woolowrths until 2031 with a 6.8 percent yield.
Bella Vista - New South Wales
This was in fact Woolworths HQ, which sold to a Korean investor for $336.45 million in January. The site is 100 percent leased to Woolworths until 2031 and represents a yield of 6.07 percent.
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jonathanchancellor-7SQnKwU6yx

Woolies supermarket buyers - the last four sales as Woolworths Middle Brighton sells on 3.77 percent yield

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Woolworths plans to shut 30 stores, including 17 supermarkets in Australia and six in New Zealand.
It was announced as part of a Woolworths restructuring into a new operating model that sees 500 fewer jobs, and the slowing of its store roll-out.
It involves closing underperforming outlets by the new chief executive Brad Banducci, who started in the role in February.
These 17 stores are all expected to shut before the end of the current financial year. They have not been identified from their 960 store tally, but have an average six years remaining on their lease. Under community pressure Woolworths reportedly advised that it Bundaberg region stores will not be closing.   
Woolworths also said that it has identified five Big W stores that are likely to close in the next three years based on current trading performance.
A further 34 stores across its broad portfolio are rated as underperforming.
Woolworths said there was "currently significant uncertainty around whether we would renew the lease at the end of the lease term".
These include 15 supermarkets in Australia and five metro stores.
There are also 20 development sites were the build will be delayed or not proceeded with.
He said sales per square metre and 'Return On Funds Employed' would be introduced as long-term executive performance indicators of how stores were performing under a new operating model.
Banducci had been managing director of Woolworths Food Group with 25 years in retail, including 15 years consulting to some of the world’s leading retailers, as well as private equity experience in retail.
He had had five years with Woolworths, including his role in leading the growth of Woolworths Liquor Group. During this time he was instrumental in the development of Dan Murphy’s.
The announcement comes as the German supermarket Aldi is estimated to now hold a double-digit percentage share of the Australian grocery sector.
Australian Competition and Consumer Commission chairman Rod Sims believes Aldi to now have “close to north of 10 percent of the market now”, according to Fairfax Media.
Sims believes this has knocked the dynamic duo of Coles and Woolworths down to a combined 70% share, whereas the two held closer to a 75% share a few years ago.
Aldi has over 400 stores across the country, employing over 9000 staff with sales in 2013 at just under $5 billion, up $2.86 billion from 2010.
Woolworths will open 45 stores over the next few years.
It typically closes around eight stores each year.
 
 
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jchancellor-FAypfDUnLy

17 Woolworths stores to close in Australia with another 15 under threat

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New Zealand investor Brian Cook has secured the $16.3 million retail component of the new Omnia residential development in Potts Point.
The Woolworths Omnia centre comprises the 1,190sqm retail component of the new Omnia residential development, anchored by a 15-year prelease to Woolworths. 
It is directly opposite Coles and close to Harris Farms outlet.
CBRE’s Nick Willis negotiated the sale on a yield of close to 5 percent with colleagues Justin Dowers and Sharon Yang.
The Omnia sale is subject to Woolworths not exercising a final right of refusal to acquire the property where it plans a new format Metro store.
Woolworths has been operating from the Ikon basement on Macleay Street, with its future in doubt, but Woolworths is coy on giving its rivals any indication of its formal intent.
"We ensure our Metro stores are all in locations which are convenient for our customers to easily access given their busy lives and we look forward to launching in the area by 2018."
The Auckland-based investor Ben Cook has taken his Australian retail property buying spree over the past nine months to over $100 million.
The Cook Property Group also acquired the Beach House Lane retail centre on Bondi Beach for $31 million and the Bunnings warehouse in Sydney's Eastgardens for $56 million last October.
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New Woolworths Potts Point premises sold

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Mirvac Group has exchanged contracts for the sale of 1 Woolworths Way, Bella Vista for $336.45 million, representing a yield of 6.07 percent.
As part of the transaction, Mirvac Projects will remain responsible for the delivery (including cost) of a new multi-story carpark via a development management agreement.
The Woolworths headquarters at 1 Woolworths Way is located 30 kilometres north-west of the Sydney CBD within Norwest Business Park.
It is 100 per cent leased to Woolworths Limited until 2031 with Woolworths recently signing a new 15-year lease extension.
South Korean-based property investors, advised by Inmark Asset Management, bought the property which was marketed by Paul Noonan, Rob Sewell and Simon Storry of JLL and Graeme Russell, Ian Hetherington and Ben Azar of Savills.
It had a recent book value of $250 million before the new lease and before the envisaged car parking arrangement.
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Woolworths HQ at Bella Vista sold to Koreans

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Marketed as Australia's most affordable Woolworths, Burgess Rawson have the George Town, Tasmania premises listed for August 5 auction.
The 8 Bathurst Street, George Town tenants come with an established lease with 20 + 10 year lease through to 2042. 
The rent is $336,682 pa.
The 1978 square metre Woolworths at <a href="https://www.burgessrawson.com.au/3P1087#.Va8OqSqqqko" target="_blank">8 Bathurst Street, George Town</a> has been described as a "consistent and progressively performing investment" with a captive trade catchment. 
The single tenant offering has minimum management investment with income tax saving depreciation. 
George Town is described as a residential and service centre for major industry including Bell Bay Aluminium generating a 1,500 workforce. 
George Town is a large town in north-east Tasmania, on the eastern bank of the mouth of the Tamar River. The Australian Bureau of Statistics records the George Town Municipal Area had a population of 6,906 as at the 30 June 2011.
It is also a popular tourist and holiday region providing a seasonal boost. 
The auction will be held at Crown Casino Melbourne.
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Woolworths cheapest landlord offering? Burgess Rawson 

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Woolworths is looking at a sale of its Thomas Dux gourmet food store chain, The Australian Financial Review  reports.
The company has reportedly sought expressions of interest from trade buyers and private equity investors.
It is asking between $10 million and $20 million for the 10-store chain, according to the report which suggested potential buyers could include South African retailer Woolworths Holdings, which purchased the upmarket department store chain David Jones.
The first Thomas Dux store opened in 2008 in Sydney's lower north shore suburb of Lane Cove, with the second in Paddington.
In 2009 Dux opened is recently closed store on Crown Street, Surry Hills.
The company bought leases on eight Macro Wholefoods sites, including Crows Nest and Hornsby.
Tim Morris, from New Zealand-based Coriolis Research, advised in 2008 that no "middle market" retailer in the world had ever been able to make a success of an upmarket small-format store.
The 10-store gourmet food chain became profitable last year.
Thomas Dux was pitched as not quite as fancy as upmarket rivals Simon Johnson or Jones the Grocer, but taking on Norton St Grocer and Harris Farm Markets in the middle ground of specialty grocer-cum-deli with an emphasis on fresh foods.
It was pitched as selling niche brands which Woolies didn't stock in its then 777 supermarkets nationwide.
 
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Thomas Dux food chain listed for sale by Woolworths

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David Jones, Australia's only upmarket department store, has fallen into the hands of South African retail giant Woolworths, in a deal worth $2.15 billion. 
Woolworths, which already has a majority shareholding in Country Road, has out muscled Myer, which had proposed a merger deal between the two departments. Myer withdrew its offer this morning.  
In an announcement to the ASX, the board of David Jones said it unanimously recommended the offer to its shareholder, which will see Woolworths acquire all of DJ's shares via scheme of arrangement. 
The proposed scheme offer is for $4 cash per share - reflecting a 25.4% premium to its closing price on 8 April. 
Woolworths chief Ian Moir said the combination of the two would create a "leading southern hemisphere retailer with meaningful scale, able to leverage common fashion seasonality with enhanced sourcing capability". 
"Woolworths will bring extra capability, financial strength and significant scale to accelerate these strategies and offer a greatly enhanced value proposition, delivering on-trend product within the most exciting and innovative shopping experience in the market".  
David Jones chairman Gordon Cairns described the proposal as "compelling", which represented a "significant premium to not only our intrinsic value but also to broker valuations and to recent share prices". 
"It represents a substantial earnings multiple". 
In reaching its conclusion, he also said the board considered a number of alternatives. 
Among them were "standalone value creation opportunities, realising the value of the freehold properties owned by David Jones or pursuing a merger with Myer. 
As at noon, the upmarket retailer's share price was up 23% or 73c to $3.923. 
Shareholders will have an opportunity to vote on the scheme proposal in late June.   
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