GPT Group's wholesale shopping centre fund owns Wollongong Central and has spent $200 million upgrading the site while the council has also improved Crown Street Mall, Keira Street and Globe Lane. 

“H&M’s entry into Wollongong Central is another vote of confidence in the long-term outlook for the centre and surrounding Wollongong CBD,” Wollongong Central’s regional general manager Antony Keenan said. He said they expect H&M to be a major drawcard for the shopping centre.

H&M will also open a store in Grand Central, Toowoomba.

Hans Andersson​, the head of H&M Australia, said both stores are set to open this year.

H&M arrived in Australia two years ago with the opening of its inaugural store in Melbourne's former GPO. Since then it has expanded to 10 stores nationwide.

Mr Andersson, who has been working on establishing the brand in Australia for the past five years, says it has had a "fantastic" reception from customers, landlords and staff. 

He said the GPO opening had "overwhelmed" the group and the growth has not subsided as it spreads across the country. It has also been a steep learning curve entering a competitive retail sector. 

"We have had a fantastic two years, the three flagship stores have traded very well, across women's, men's and children's wear and the homewares and we see a lot of expansion opportunities in Australia," Mr Andersson said recently.

H&M Australia's arrival at Wollongong comes as department store chain David Jones is to lease the space being vacated by Myer at Wollongong Central as part of the group's roll out of new concept stores.

Myer has decided not to renew the lease at Wollongong and Orange as part of its recently announced strategy to consolidate its store network.

It will extend David Jones' footprint in the area, with its Crown street store.

The Illawarra region is undergoing significant redevelopment with the university expansion and the growth in the population. David Jones said it identified Wollongong as "important" for the business.

David Jones chief executive John Dixon said recently the new Wollongong store will see "us elevate our offering to deliver a premium retail experience at a prime location in the heart of the city's fashion and entertainment precinct".

GPT expects to announce the entry of several other retailers into Wollongong Central in the coming weeks.

with smh.com.au