Homecentre Wagga Wagga Sold to Growing Syndicator Westbridge for $45 Million | JLL

JLL brokers major regional NSW transaction amid rising confidence in resilient large format retail sector

In a major transaction brokered by JLL, leading national fund manager Westbridge Funds Management has acquired HomeCentre Wagga Wagga for $45 million from Sydney-based property fund manager Argus Property Partners, working in collaboration with development and investment firm Kaipara Property Group.

Sebastian Fahey and David Mahood of the JLL Retail Investments NSW team exclusively sold the property off-market, via an unsolicited offer.

Located at 143 Hammond Avenue and 111 Kooringal Road, the fully leased 16,860sqm large format retail (LFR) asset offers a secure income stream with a 100 per cent occupancy rate that includes some of the country’s biggest retailers.

Sebastian Fahey, JLL’s Senior Executive Retail Investments said the quality and diversity of tenants played a pivotal role in attracting investor interest and delivering the standout yield.

“Large format retail continues to be at the forefront of investors’ mandates, offering land-rich assets with attractive income streams and backed by strong tenant demand with a record low national vacancy rate of 3.3 per cent,” he said.

“The 6.50 per cent yield achieved is a strong result for a regional New South Wales large format retail asset, reflecting both the quality of the centre and growing investor appetite for retail opportunities offering rental uplift in high-growth regional hubs.”

More than 71 per cent of the gross lettable area (GLA) is tenanted by brands which have more than 50 locations across Australia, with the average retailer at the centre operating 116 stores nationally.

Simon Worth, Head of Capital Transactions at Westbridge, said the acquisition reflects the fund manager’s strategic focus on assets with strong fundamentals and long-term upside.

“HomeCentre Wagga Wagga is a high-quality addition to our growing portfolio, underpinned by resilient national retailers and long leases in a thriving regional hub. Centres like this offer not only strong income security, but also the opportunity to unlock additional value through active asset management,” he said.

“This well-located centre is in a thriving regional location, which attracted our interest due to its strong tenancy profile and potential for future growth.”

This is Westbridge’s second New South Wales acquisition in 12 months, with its total investment in the state now reaching $63 million – all facilitated by JLL.

Westbridge Funds Management Chairman Damian Collins said the acquisition underscored the company’s confidence in the Large Format Retail sector as a compelling opportunity for investors.

“Large Format Retail is a sub-market we’ve been keeping a close eye on at Westbridge, with its unique model and demand dynamics signalling promising prospects for the years ahead,” he said.

“The successful acquisition, combined with the identified future opportunities across the asset, positions us well to continue generating value and sustainable returns for our investors well into the future.”

David Mahood JLL’s Senior Executive Retail Investments said the transaction comes amid renewed momentum in the Large Format Retail (LFR) sector, which was been tightly held in 2023 and 2024.

“The LFR investment market has been one of the thinly traded asset classes in the retail sector, with transaction volumes totalling AUD 695 million, just over a third of the peak of AUD 1.8 billion in 2022,” he said.

National investor demand is being driven by long lease profiles, tenant quality, and consistent rental growth — making this an increasingly competitive space.”