Sydney Tools Expands with New Space at Chirnside Lifestyle Centre

Sydney Tools has secured a 1,200 sqm retail space at the Chirnside Lifestyle Centre, at Chirnside Park in Victoria. The lease, brokered by Large Format Retail Leasing Manager Jake Beckwith from Colliers and Chris Parry, Partner at Leedwell, is a testament to the sector’s resilience and potential.

The property, which was acquired by MLC Asset Management (formerly IOOF) in June 2023, forms part of the 11,100 sqm Large Format Retail project completed in December last year. Chirnside Lifestyle Centre has quickly become a thriving retail hub, hosting iconic brands such as Harris Scarfe Home, Baby Bunting, Super Cheap Auto and Fantastic Furniture, directly adjacent to McDonalds, KFC and Dan Murphys.

“The Large Format Retail sector has outperformed other retail segments in recent years, driven by strong population growth, rising housing prices, and evolving tenant compositions. The sector’s constrained supply pipeline, coupled with a robust demand outlook, has resulted in a competitive landscape for readily available spaces,” said Parry.

“From virtually no presence a decade ago, Sydney Tools has strategically expanded and now occupies approximately 40,000 sqm across Australia’s Large Format Retail centres,” added Beckwith.

“Traditional categories, such as hardware and furniture, are now being complemented by a new wave of ‘lifestyle’ retailers, which has broadened the users committing to Large Format Retail centres. Retailers are also transitioning from shopping centres to Large Format Retail spaces attracted by larger footprints, extended trading hours, and competitive rental rates.”

The shift towards lifestyle offerings signals a change in consumer behaviour, with Large Format Retail centres becoming increasingly important destinations for everyday shopping needs. This trend is expected to continue, supported by strong long-term growth drivers, including population increases and housing demand.

Mr Parry continued, “Sydney Tools’ new lease at Chirnside Park is a prime example of how well-positioned properties in the LFR sector can capitalise on these favourable market conditions. The transaction underscores the importance of strategic location and tenant mix in driving rental growth and investor returns.”