Largest non-metro neighbourhood centre transaction since 2021
Colliers has announced the off-market sale of Corrimal Village on behalf of MA Financial for $103 million. Transacting at a passing yield of 5.13%, the result underscores the depth of investor demand for defensive, daily-needs retail assets and reinforces the strength of high-quality neighbourhood centres.
Located less than six kilometres from the Wollongong CBD, Corrimal Village is anchored by Woolworths and Dan Murphy’s and supported by 33 specialty retailers, cementing its position as the dominant retail and services hub for its growing catchment. The centre comprises 9,760 sqm of GLA across a substantial 30,640 sqm landholding, benefiting from long-term tenancy security and a resilient income profile.
“This transaction represents the largest non‑metro neighbourhood centre sale nationally since 2021 and reflects the depth of capital targeting quality daily‑needs retail. The off‑market process generated competitive interest from private capital, resulting in the sale to a high‑net‑worth NSW investor highlighting the continued pent‑up demand for defensive, convenience‑led assets with strong income durability,” said James Wilson, Head of Retail Middle Markets, Australia | Retail Capital & Middle Markets.
The centre benefits from a long-standing Woolworths Group lease extending to 2032, supported by turnover-linked rent mechanisms that further enhance income stability. Its strategic position within the Illawarra region characterised by sustained population growth and limited competing retail supply supports a strong long-term performance outlook.
The transaction aligns with broader market trends with neighbourhood retail remaining one of the strongest-performing retail asset classes in 2025. Total transaction volume reached $2.89 billion representing a 69% increase on 2024 and 35% above the 10-year average, affirming sustained capital allocation into the sector. While 58 neighbourhood centres transacted during the year broadly in line with long-term averages the average asset size increased materially as investors targeted larger centres offering stronger income durability and embedded value-add potential.
Neighbourhood centres were the second most traded retail asset class in 2025, behind regional centres reflecting their attractive risk-adjusted return characteristics. Investor confidence continues to be underpinned by non-discretionary income resilience, limited new supply within established catchments and the ability for assets to accommodate redevelopment, densification or mixed-use opportunities over time.
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