Sydney retail investment volume hits AUD873.7m in Q3

The largest transaction was the sale of Bankstown Central.

According to a JLL report, both the Sub-Regional (median) and Neighbourhood (midpoint) yields in Sydney’s retail property market compressed in the quarter by 25 basis points (bps) and 38 bps respectively.

“Investment volumes within Sydney this quarter totalled AUD 873.7 million, with Bankstown Central being the largest transaction. The asset was sold by Panthera Property Group to JY Group for AUD 637.2 million,” the report revealed.

Here’s more from JLL:

Two neighbourhood centres, The Gables Town Centre (9,400 sqm) and The Hills Showground (9,500 sqm), both reached completion in the quarter, providing a boost to quarterly supply in Sydney.

Three sub-regional refurbishment projects in Lavington Square, Ashfield Mall and Jesmond Central reached completion during Q3 2025.

Outlook: The yield compression cycle is expected to continue gradually into early 2026

Regional and neighbourhood yields are forecast to continue the trend of yield compression over the remainder of 2025 and early 2026, supported by strong investment interest for convenience-based retail centres.

Following on from the relatively high level of supply in the quarter, a number of projects are forecast to reach completion by the end of 2025, bolstering the average annual supply story for Sydney.