Institutional grade hybrid retail centre in one of Western Australia’s fastest growing corridors transacts on a passing yield of 4.88%
Colliers and Stonebridge Property Group, on behalf of Royal Oak Capital, have concluded the sale of the Treendale Home & Lifestyle Centre in Australind, Western Australia, for $53,000,000 to listed retail REIT Region Group. The transaction achieved a fully leased yield of 6.09% (4.88% passing), reinforcing investor demand for high‑quality, income-secure retail assets in Western Australia’s South West growth corridor.
This asset was jointly marketed by Colliers’ Richard Cash & James Wilson, alongside Philip Gartland and Justin Dowers from Stonebridge Property Group. The Expressions of Interest campaign received more than 250 enquiries, resulting in 8 formal offers with over $400 million in capital pursuing the opportunity. The competitive process highlights sustained appetite for defensive retail investments with long-term income profiles.
Treendale Home & Lifestyle Centre is a recently completed, institutional-grade hybrid retail complex featuring 11,816 m² of GLA across four buildings on a 32,502 m² island-site with 310 car bays. Located within the master-planned Treendale Town Centre, the property adjoins the Woolworths-anchored Treendale Shopping Centre and sits directly opposite Bunnings, forming a dominant retail precinct servicing the expanding Bunbury–Eaton–Australind catchment.
The asset’s District Centre & Urban zoning under the Harvey Local Planning Scheme No. 2 provides significant flexibility for future reconfiguration, supporting a wide range of retail and commercial uses and enhancing long-term income resilience.
Stonebridge Property group said “The buyer was very attracted to the strength of tenancy mix, the retail zoning on the site and that the asset had been future proofed by our developer client to allow a diverse range of occupiers and strong prospects for rental growth.”
The centre is anchored by a strong mix of national and regional operators including Revo Fitness, Petstock, SportsPower, The Furniture Gallery, Red Dot Home, Furniture Bazaar and Hip Pocket Workwear & Safety, supported by additional large-format and specialty tenancies. This mix delivers a balanced income profile with secure covenant strength and embedded rental growth.
Colliers, Perth said“ In 2025, Western Australia experienced a notable uplift in the volume of trophy assets, large format retail (LFR) centres and hybrid retail precincts brought to market. Investor appetite was particularly strong for LFR assets, driven by the state’s rapid population growth, resilient household spending, and continued expansion activity among major national retailers. Large format retail transactions totalled $243 million for the year, significantly outpacing the $137 million recorded across neighbourhood shopping centre sales. With WA’s population expansion continuing to outstrip national averages, demand for well‑located retail centres catering to everyday needs is expected to remain elevated into 2026.”
The sale further underscores the resilience of the Large Format Retail sector, following landmark WA transactions such as Joondalup Gate ($79.1 million) and Joondalup Square ($74 million). This sentiment is also reflected nationally, with recent sales including Morayfield Home Centre for ($48m) in QLD conducted off market. With national and ASX-listed tenants and favourable lease profiles, the sector continues to offer secure income and long-term capital upside.
Treendale Home & Lifestyle Centre offers exceptional visibility and access via six entry points, complemented by shared parking with the neighbouring Woolworths centre. Built to institutional specification, the asset incorporates surplus electrical capacity, rooftop solar and flexible services to support future reconfiguration.
Alex Gismondi – CEO and Founder of Royal Oak Capital said
“The project provided Royal Oak Capital the opportunity to create institutional-grade product through active development and leasing, rather than acquiring stabilised assets at compressed yields. That value-creation profile aligned closely with the Investment Manager’s strategy of sourcing and executing opportunities that are not readily available to most investors.”
“The property was then brought to market under a carefully considered strategy designed to maximise capital realisation at an opportune time. This approach leveraged prevailing economic conditions, the interest rate cycle, and pre-year-end deployment urgency, ultimately delivering an exceptional outcome for the investor group.”
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