Koonawarra is located on the western side of Lake Illawarra and has many homes with views of the lake, making it a desirable area. It has a few local shops near the residential area for necessities. While there are no major shopping centers in Koonawarra itself, nearby Dapto has large supermarkets and stores. The region has both public and private primary schools as well as a high school, and residents can enjoy the parks and recreational areas along the lakefront.