David Jones is expected to update investors on its property strategy at the first-half results presentation on Wednesday.
It could include plans to redevelop its flagship Melbourne and Sydney assets to include some residential component.
In September last year, the company revealed it had appointed real estate consultant Cushman & Wakefield to value the four stores it still owns, two each in Sydney and Melbourne. The value was a combined $612 million, with the store in Elizabeth Street, Sydney, being among the most valuable due to its air rights above the existing seven floors.
In October, group executive retail services Tony Karp was quoted saying the retailer was "sitting on significant value and we are motivated to determine how best to monetise that value".
The group is said to be reluctant to enter into any sale and leaseback of prime city assets.
At the time the Cushman & Wakefield report was issued, DJs' directors committed to updating the market on development plans for the CBD properties at the interim results.
Early appraisals revealed the department store could add about 20 storeys to its Market Street, Sydney, property and three to five on its Elizabeth Street store.
The plans for the Melbourne stores are less advanced as the retailer awaits the completion of the nearby Emporium. But it could also involve a small office tower atop the stores.