Adrian Portelli has teased an LMCT+ supermarket rollout, with a commercial property expert saying vacant big-box sites across Victoria could help bring the grocery plan to life. Picture: Instagram / @adrian_portelli
Billionaire Adrian Portelli has declared war on Australia’s supermarket giants, confirming his plan for an LMCT+ grocery chain is “not April fools”.
The LMCT+ founder and My Reno Rules sponsor posted a mock-up of an LMCT+ supermarket to Instagram, urging “anyone high up” in supermarkets to contact him to “continue the revolution”.
“LMCT+ supermarkets will be a thing in the not too distant future,” Portelli said.
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The post triggered a wave of support from followers, with one writing “Love the disruption mate!” while another joked: “I cant wait for everyone to complain about paying for a membership again when they pay for one to go to Costco.”
Another follower quipped: “Bunnings currently shaking at the thought that hardware store might be next on the list.”
It follows Mr Portelli’s move into cut-price petrol at his LMCT+ site in Preston, where heavily discounted fuel offers have drawn major attention and long queues from members.
But a shift into groceries would put him on a much bigger collision course with Coles, Woolworths, Aldi and Costco, as shoppers continue to feel the squeeze from high food prices.
The LMCT+ supermarket mock-up posted by Adrian Portelli, who told followers the grocery push was “not April fools”. Picture: Instagram / @adrian_portelli
Vanta Advisory business owner and ALBA commercial partner Alex Groh said former Masters-style warehouses, old Bunnings stores and vacant bulky goods outlets could suit an LMCT+ supermarket. Picture: Supplied
Vanta Advisory business owner and ALBA Commercial partner Alex Groh said a supermarket rollout was realistic from a property perspective, particularly if Mr Portelli targeted vacant big-box stores across Victoria.
“I think it’s certainly realistic,” Mr Groh said.
“There’s properties out there that can easily be transformed into a shopping centre all around the country.
“Whether it’s going to be as successful as the fuel is, I suppose, whether or not he can offer discounts as big as he can on fuel.”
Mr Groh said the membership model would likely be the most important part of any LMCT+ supermarket push, with Costco and Kogan showing how powerful paid memberships could be for retail businesses.
Billionaire LMCT+ founder Adrian Portelli has moved from cut-price fuel in Preston to teasing a possible membership-based supermarket chain. Picture: Instagram / @adrian_portelli
Coles, Woolworths, Aldi and Costco could face a fresh challenger if Adrian Portelli turns his LMCT+ supermarket tease into a real-world grocery rollout. Picture: NewsWire / George Chan
“I think it’s pretty well known that Costco drives a lot of revenue through their membership model,” he said.
“We’ve seen other big businesses in somewhat similar spaces like Kogan have a very, very successful membership model.
“I think it is the most interesting. Otherwise, what’s the edge that he’s going to get?”
Mr Groh said former Masters-style warehouses, old Bunnings stores, vacant bulky goods outlets and large charity retail sites could all suit the concept.
He said full-scale supermarket sites comparable to Coles or Woolworths were much harder to find, with major operators often already controlling the best locations.
“In terms of sites of the Coles and Woolworths scale, they’re pretty rare to find, and typically those guys have them locked up already,” he said.
Mr Groh said shopping centre owners would probably still favour established national supermarket tenants over a new operator, but Mr Portelli’s following and brand power could make the concept worth watching.
“If you’re comparing him to a Coles or Woolies, owners are definitely going to lean towards those kind of big nationals,” he said.
“But I think it’d be an interesting play to see what could happen.”
Mr Groh said Victoria could be the best place for Mr Portelli to launch first, with the commercial property market still subdued and some assets worth significantly less than they had been in recent years.
“I think Victoria, the market is pretty depressed at the moment,” he said.
Commercial property experts say full-scale supermarket sites are tightly held, with major chains often already controlling the best locations. Picture: NewsWire / George Chan
“We’ve seen assets that are worth significantly less than they have been over the last five or six years.
“It’s probably where he’s most familiar with, and it just happens it’s most likely where the best opportunities are right now.”
Mr Groh said the supermarket tease felt like both a serious commercial property move and a brand-building play.
“He’s quite savvy when it comes to the property side of things,” he said.
“If the business thrives, the property side will thrive.”
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