Thousand-Home Suburb Slated for Hobart Army Barracks

Early plans indicate the waterfront land could accommodate a mix of social, affordable and private housing, alongside parks, community facilities and new transport connections.

Prime Minister Anthony Albanese during a visit to Tasmania on the weekend said the proposal ranked among the most significant housing projects in the country.

“I think this is as exciting a project as any in the country,” he said during the announcement in Hobart.

Tasmanian Premier Jeremy Rockliff described the redevelopment as a “no-brainer”, saying the underutilised Defence land could deliver desperately needed housing supply close to established infrastructure and transport routes.

The number of proposed homes has more than doubled from the roughly 400 homes originally flagged when the Commonwealth first identified the site for potential disposal under a nationwide audit of Defence properties.

▲ A concept rendering to the new suburb that may rise on the former Derwent Barracks site north of Hobart.

Rockliff said the Dowsing Point precinct had the capacity to become “Tasmania’s newest suburb”, with medium-density housing, local shops, open green space and a possible future ferry terminal all under consideration.

The project is expected to be funded through a co-investment arrangement involving the Federal and state governments, with support from the Glenorchy City Council, although the commercial value of the land and development costs have not yet been disclosed.

Assistant Defence Minister Peter Khalil said the site would undergo a detailed valuation and transition process before redevelopment could proceed.

“We look at heritage, we look at issues around transition of personnel,” he said, adding that the process would “take some time”.

Current Defence personnel based at the site, including reservists and cadets, are expected to relocate primarily to Anglesea Barracks in central Hobart once the transfer process begins.

The Federal Government said the transition could take at least 12 months.

▲ The 1000-home suburb is a join Federal and state plan to alleviate the under-supply of housing in the Tasmanian capital.

Industry groups have welcomed the proposal, describing it as a once-in-a-generation opportunity to unlock new housing supply in greater Hobart while supporting long-term construction jobs and infrastructure investment.

HIA executive director Tasmania Benjamin Price said the decision was an important opportunity to add much needed housing supply in a well located area close to services, jobs and transport.

“This is a positive and practical step toward increasing housing supply in Tasmania,” Price said.

Price said Tasmania’s housing challenges were being driven by a shortage of new supply, particularly in and around Hobart, and that unlocking land in the right locations is essential to easing pressure on prices and rents.

“Tasmania’s housing challenge is fundamentally a supply issue,” he said.

“When housing supply falls behind demand, affordability suffers. The most effective way to address that is to ensure there is a steady pipeline of land and homes coming to market.”