Furniture giant IKEA buys Fremantle land, could set up shop

Fairfax Media understands the flatpack furniture giant has purchased land bound by Sainsbury Road and Carrington Street in O'Connor, near the Fremantle Cemetery.

The City of Fremantle was hoping to build its new council depot there but couldn't afford the hefty price tag asking for the industrial land. Fremantle bid $14 million for the land.

The land is currently zoned industrial, so IKEA would have to ask the City of Fremantle to change the zoning to build a retail store. As it stands, IKEA could use the land to erect a gigantic warehouse.

Fairfax Media understands IKEA could also be eyeing off property in Baldivis.

IKEA recently announced it was planning to expand its empire on the east coast, with a new store planned for Canberra and additional stores earmarked for Victoria and Queensland.

If a Fremantle or Baldivis store goes ahead, it would bring the total number of IKEA stores in Australia to 10. The current WA IKEA store is based in Innaloo.

Fremantle Chamber of Commerce CEO Tim Milsom said an IKEA store on the doorstep of the port city would attract more shoppers to Fremantle.

The Fremantle economy has taken a hit over the last couple of years, with a number of businesses including, Betts, Jay Jays, Jeanswest, Rockmans and Millers, packing up and leaving.

"It would be good to have an anchor tenant in Fremantle," Mr Milsom told Fairfax Media.

"I think we really miss out not having one of those bigger stores in Fremantle.

"Look at their other place [in Innaloo] – there are always customers queuing up. The place is always swamped with customers."

Fremantle mayor Brad Pettitt wasn't convinced the industrial area of O'Connor was a perfect match for an IKEA retail store.

"It does seem like an odd spot," he said.

"That site does have some challenges, but I would have no objections to an IKEA store down Freo way."

IKEA has been contacted for comment.