Karen Woodbury Gallery opened in 2004 at 4 Albert Street, Richmond, Victoria, Australia by Gallery Director Karen Woodbury. Karen Woodbury opened the gallery in response to 'an acute shortage of serious commercial gallery spaces in Melbourne' at the time. Since then, Karen Woodbury Gallery has grown and expanded. As the first gallery in Albert Street, Richmond, Karen Woodbury Gallery started a trend and subsequently, four other commercial galleries started operating in the street. These galleries include: Sophie Gannon Gallery, John Buckley Gallery, Jenny Port Gallery and Anita Traverso Gallery.

Karen Woodbury Gallery represents twenty-eight artists that include:

Del Kathryn Barton, Cathy Blanchflower, Robert Boynes, Jane Burton , Michael Cusack, Michael Doolan, McLean Edwards , Kate Ellis, Marie Hagerty, Titania Henderson, Sam Jinks, Locust Jones, Elisabeth Kruger, Rhys Lee, Fiona Lowry, Magda Matwiejew, eX de Medici, Lara Merrett, Jonathan Nichols, Simon Obarzanek, Derek O'Connor, John Pule, Lisa Roet, Kate Rohde, Alex Spremberg, Heather B. Swann, Monika Tichacek and Philip Wolfhagen.

The gallery expanded to level one of the building from the ground floor of 4 Albert Street in 2009 in response to a growing business and expanding range of successful contemporary Australian and New Zealand artists.