Victoria’s largest Bunnings transaction since 2021 achieves a sharp 4.92% yield, signalling robust investor confidence in blue-chip retail assets.
Colliers Retail Middle Markets Tim McIntosh and Will Heffernan have successfully completed the off-market sale of Bunnings Warehouse Epping for $49.5 million, achieving a benchmark yield of 4.92 per cent. The transaction marks the largest Bunnings sale in Victoria since 2021.
The deal represents the third sharpest yield nationally in the past two years, underscoring the strength of buyer demand for Bunnings assets occupying strategic locations in established catchments with high conviction to long-term security.
Tim McIntosh, National Director | Retail Middle Markets at Colliers, said, “2025 saw a significant increase in Bunnings Warehouse transactions with 16 trading nationally and Victoria being the most active state with five individual transactions.”
“What is interesting about the off-market transaction of Bunnings Epping is it represents the largest Bunnings warehouse to transact in 2025 and was secured by a private investor. While institutional capital remains active, we are working with a growing number of new retail mandates from high net worth private investors,” Mr McIntosh said.
The freehold asset comprises a gross lettable area of 17,200 square metres on a substantial 39,207 square metre site and generates an annual income of $2.435 million. The sale reflects a capital value of $2,877 per square metre, further demonstrating the strength of the Bunnings covenant and its appeal to investors seeking stability in a tightening market.
The property’s prime position within Melbourne’s northern growth corridor, combined with Bunnings’ longevity in metropolitan locations and low economic rent, positions it as one of the most desirable retail investments in the country. This deal reaffirms investor confidence in blue-chip retail assets and signals continued appetite for defensive investments in metropolitan markets.
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