A collaborative and knowledge sharing virtual activity on "Second Life" using a learner-centred teaching methodology was initiated between Temasek Polytechnic and The Hong Kong Polytechnic University (HK PolyU) in the October 2011 semester. This paper highlights the author's experience in designing and implementing this e-learning activity and incorporating it into the curriculum of the Diploma in Interactive Media Informatics at Temasek Polytechnic, Singapore. Students from Temasek Polytechnic and HK PolyU met up at Temasek Polytechnic Island and HK PolyU campus on "Second Life" and networked amongst themselves using Avatars and interactive 3D objects. Students from both institutions worked in groups to share and exchange knowledge through experiential learning, knowledge sharing and teamwork in a virtual environment. At the end of the module, two online self-reported surveys were conducted to get students' feedback on the effectiveness of the subject delivery and teaching methods. The survey results indicate that Second Life has positive effects on students' learning, motivation and attitudes towards learning. The interactive 3D environment within "Second Life" promotes learner-centered teaching by enabling learning to be more engaging, fun and interesting, thus increasing students' motivation to learn and develop their abilities to acquire relevant problem solving skills and knowledge.