A proposed supermarket on the outskirts of a Sunshine Coast town has drawn criticism from a group of residents, but the grocery giant behind the project says it will deliver long-term benefits.
The planned development at Cooroy has been slammed by the Noosa Shire Residents and Ratepayers Association, who say it could harm the town centre’s businesses and worsen traffic. Woolworths, however, says it will provide more shopping options and generate jobs.
The $100 million proposal includes a full-line supermarket, retail and dining outlets, and a 120-place retirement village on a 6.6-hectare site at the corner of Myall Street and Ferrells Road.
A development application is before Noosa Council, following a community consultation phase. Some changes have been made to the plan – including building locations, gross floor area and landscaping – to better reflect the “Cooroy township character”.
NSRRA vice-president Aaron White said the precinct would drag customers out of the town centre, to the detriment of local businesses.
“You only need to look at what happened to Noosa Junction after the Civic was approved to see the outcome of splitting your customer base. There’s been empty shops in the Junction ever since,” he said.
“It would be more appropriate for Woolworths to establish a presence in the existing retail zone.”
He also believed the project would put pressure on the junction of Myall and Elm streets.
“The intersection can’t cope with existing traffic flows so extra congestion from a new shopping centre will be an absolute nightmare,” Mr White said.
The NSRRA stated that the application did not suit the Noosa Plan, which he said was “designed to preserve the character and village atmosphere of Cooroy’s existing centre of commerce”.

But a Woolworths spokesperson said the development would be a boon to the region.
“Our proposal reflects a $100 million investment into the community, delivering over 700 jobs at construction and 300 new jobs once operational, across the whole aspect of the development: supermarket, specialty shops and retirement village,” they said.
“Our proposal is a vital opportunity to provide an essential service for a growing community, one that hasn’t benefitted from having a full-line supermarket service.”
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They said it would complement existing stores and reduce the need for locals to shop out of town.
“The proposal provides additional choice for residents and adds to the retail amenity of the town,” they said.
“We know a large portion of residents leave Cooroy to complete a full shop. This development would increase the likelihood money remains in the town.”
They said the land, opposite the golf course, was the only suitable site.

“An assessment of potentially viable alternate locations concluded that there are no suitable sites of size available that can accommodate a neighbourhood centre anchored by a full-line supermarket,” they said.
The spokesperson compared the plan to a development in Mullumbimby, NSW.
“When a new Woolworths was proposed, it faced similar concerns,” they said.
“The reality is that successful local grocers often thrive by offering a different shopping experience, focusing on unique products, local suppliers and personalised service, which creates a market with more choice for everyone.
“The ultimate proof is in the town’s current circumstance: more than 15 years after the initial proposal was shared, the Woolworths and the town’s independent supermarket are operating successfully side-by-side. An estimated $7.9 million, which was directed to supermarkets in other centres, now stays in Mullumbimby.”
The spokesperson said traffic solutions were being considered, including a potential upgrade of the Myall and Elm streets intersection.
“The Department of Transport and Main Roads has identified the intersection as one to be upgraded,” they said.
“A business case was in the works prior to our development submission, and we are committed to work with the department on an outcome which improves the current intersection.”
The land, purchased by Woolworths in 2021, is zoned for community facilities and environmental management and conservation.
“The proposal delivers the intended outcome of the planning scheme for a residential care facility on the site, satisfying aged care demand,” the spokesperson said.
“However, as the site is large, there is surplus land area. Given there is no viable location within the town centre itself for a neighbourhood centre, the surplus land presents an opportunity for one to be built.
“The site is ideally suited given it’s located along the major road network connecting Cooroy to the Bruce Highway. This offers convenient access.
“Typically, in Queensland, a town of Cooroy’s size should have at least two full-line supermarkets.”
The spokesperson said the development aligned with Noosa’s planning vision.
“Our proposal aligns to the elements of the Noosa Plan 2020 – with the provision of housing (aged care), business choices through increased grocery and specialty shopping, improved transport infrastructure and a centre design that maintains the character and environment of Noosa Shire,” they said.