Permit Approved Sunbury South Town Centre Site Hits the Market

Metropolitan Melbourne major town centre site with an approved permit and secured by Coles and Kmart via Agreements for Lease is poised to become a key commercial hub in Victoria’s growth corridor.

Stonebridge Property Group and Colliers Retail Middle Markets are pleased to exclusively present for sale Sunbury South Town Centre – a permit-approved major town centre site with an Agreement for Lease to anchor tenant Coles (ASX: COL) in Melbourne’s rapidly expanding Northern Growth Corridor.

This expansive 10.33ha mixed-use development site boasts prominent frontage to major arterial Sunbury Road and is strategically positioned south of Sunbury CBD. The site is centrally located within Sunbury South, designated to service the existing and rapidly growing broader catchment. It offers the ability for staged development with options to sell down or realise profits through the development cycle.

With a planning permit in place for a Major Town Centre development, there is significant tenant interest already, including an existing Agreement for Lease with major tenant Coles (ASX:COL) and an expired AFL to Kmart (ASX:WES), significantly underwriting the development.

Colliers National Director | Retail Middle Markets, Tim McIntosh, commented, “With leading developers actively shaping Sunbury South’s future, this site presents a rare opportunity to deliver a much-needed retail hub within an underserviced yet rapidly growing region.”

“Retail supply across Melbourne’s northern growth corridor remains constrained, with new development failing to keep pace with rapid population expansion. There is limited new retail development planned and Sunbury Town Centre represents the only significant future retail development opportunity within the region,” Mr McIntosh added.

Sunbury is situated in one of Victoria’s fastest growing growth corridors, located 12km from Melbourne’s Tullamarine Airport and 33km from Melbourne’s CBD, within the Hume City Council.

The Main Trade Area (MTA) population is forecasted to increase from 65,760 in 2024 to 119,210 by 2041, reflecting a growth rate of 3.3% per annum. MTA expenditure is projected to rise by 4.54% per annum from $1.15 billion in 2024 to $2.45 billion by 2041. Sunbury South Town Centre occupies a prominent corner location with exposure to 17,000 cars passing daily and has planning permit approval for a major town centre development.

Stonebridge Property Group’s National Partner Justin Dowers added, “National retailers continue to seek prime locations within emerging sub-regional centres, with major supermarket operators, DDS chains, and LFR tenants actively looking for new development opportunities in Victoria’s growth corridors. Given the scarcity of well-located retail-zoned land, sites that provide scale, accessibility, and a strong surrounding catchment are expected to attract significant developer interest,”

Stonebridge’s Julian White added, “As the population expands, demand for local shopping, dining, and essential services will rise, positioning this site as a vital retail and commercial hub for Sunbury South’s growing community. The lack of full-line supermarkets, large-format retail, and entertainment precincts in the area presents an immediate opportunity for new entrants to capture market share in an underserviced region.”

A 100% interest in Sunbury South Town Centre is being exclusively offered for sale via Expressions of Interest (EOI) closing 2pm (AEST) on Thursday, 8 May 2025. Colliers’ Tim McIntosh, James Wilson, and Will Heffernan are managing the sale with Justin Dowers and Julian White from Stonebridge.