The Rural City of Wangaratta has ended its parking agreement with the Co-store exiting the contract eight years early.

The 20-year deal was formalised in May 2012 to increase car parking in the CBD and commenced in August 2014.

Co Store car parking utilisation has been lower than expected throughout the agreement so far.

This has resulted in higher costs for the council than initially anticipated.

Council is prioritising its long-term financial sustainability.

By ending the agreement eight years early with a $5 million payout, the council eliminates the risk of future cost increases and removes the ongoing operating expenses associated with payments under the agreement.

Although this decision will put additional pressure on council's budget in the short term, it will provide long-term financial benefits for council and the community.

The agreement has been ended by mutual agreement with the owners of the Co Store, Prudential Commercial Investments.

The Co Store multi-storey carpark will remain available for public parking.

Rural City of Wangaratta Mayor, Cr Irene Grant said, “Councillors have reviewed the Co Store agreement on numerous occasions over the years and are confident this decision is in the best interest of council’s long-term financial sustainability, the cornerstone of our 2025-29 Council Plan".

"Whilst ending the agreement comes at a short-term cost, it puts council in a stronger financial position in the long term, while also removing the risk of escalating cost over what would have been the remainder of the agreement.”

Prudential Commercial Investments director, Stephen Nicholls, said, “From 1 March 2026, Co Store car parking will be free for customers for 3 hours, 7 days a week and all year round".

"The public will be able to purchase day passes and monthly passes if they have longer-term needs," he said.

"We have exciting plans to invest in the Co Store, and further develop and improve the Co Store for the local community with the introduction of new cost-focused food options, and making the Co Store a great place to visit, stay, and shop in the North East Region.”

In addition to Co Store parking, existing council parking arrangements remain in place in the CBD.