Melbourne based investors Collective Capital has been confirmed as the new owners of the Young Street property which was originally the Dalgety wool stores before being redeveloped as a Bunnings store in the early 2000s.

The $29.5 million sale prize is a boom result for a local syndicate of owners, managed by FINDEX, who were instrumental in the site's most recent conversion following Bunnings' relocation to a mega store in East Albury in 2016.

Collective Capital director Dale O'Dwyer confirmed the company's latest regionally-based acquisition of the site known as the Albury Convenience Centre.

"We always invest in high growth locations and, in particular, properties that deliver both secure income streams and opportunities for yield uplift through the type of customer-focused design upgrades that our business has become known for," he said.

"The Albury Convenience Centre ticks all those boxes.

"The sale adds to the strong run of retail investment transactions in Australia's regions.

"Demand is being driven by strong retailer performance in regional areas, resulting from population movements and changing consumer habits, overlayed with a shortage of metropolitan assets being presented to market."

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Amart Furniture opened its doors in late 2019 and Harris Farms began trading earlier this year.

Harris Farms originated in Sydney.

The deal was clinched by agents JLL Retail Investments with the sale price reflecting a yield of 6.21 per cent.

"The asset received significant market interest," JLL senior director Stuart Taylor said.

"Investors were particularly attracted to the incorporation of a Harris Farm supermarket use into a large format retail asset.

"The sale adds to the strong run of retail investment transactions in Australia's regions.

"Demand is being driven by strong retailer performance in regional areas, resulting from population movements and changing consumer habits.

"It is overlayed with a shortage of metropolitan assets being presented to market.

"The increased demand is translating to higher deal volumes and significant yield compression."

The Albury Convenience Centre is the third commercial property on Young Street to sell this year, underlining the increased investment focus in larger regional areas such as Albury-Wodonga.

The Officeworks store, on the corner of Young and Smollett streets, sold in May for $10.95 million and on the opposite corner, O'Brien AutoGlass, sold for more than $1 million in July.

The Young Street-Borella Road site is 14,250 square metres in size with a gross lettable area of 9690 square metres with 224 car park.

The property has current net income of $1,847,291 per annum.

There is also guaranteed income growth through fixed annual rental reviews plus significant depreciation benefits given the major development was carried out less than five years ago.

The Albury Convenience Centre was marketed under an expressions of interest process beginning in April.

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