Japanese specialty coffee brand % Arabica will open its first Australian store later this year in Sydney’s iconic Bondi Beach.

The flagship store will be located on a heritage-listed site at the corner of Hall Street and Campbell Parade, which was once home to the Bates Milk Bar and is now part of the Hall & Campbell luxury development.

“Over the years, a global community has grown around % Arabica – not just because of the coffee, but because of the design, philosophy, and quiet intention behind each space,” the company shared with Inside Retail. “Now, we’re excited to bring that spirit to Australia’s world-renowned cafe scene.”

Founded in Kyoto, % Arabica has expanded to more than 220 locations in 20 countries and is known for its minimalist style and direct-from-farm coffee sourcing. The brand uses Slayer espresso machines and emphasises workmanship, discipline, and calm, intentional spaces.

The Bondi Beach location marks the brand’s debut in Australia’s competitive coffee market, with additional openings being considered.