The NSW Government has invited three experienced developers to submit detailed proposals to purchase a high profile, NSW Government owned site at St Leonards, with the potential to deliver over 400 new homes, including up to 60 affordable homes for health care workers at Royal North Shore Hospital.
Following a competitive Expressions of Interest (EOI) process, Deicorp, Thirdi Group, and Hyecorp Property Group have been shortlisted to progress to the next stage of the divestment process for the sale of the 3,301 square metre site in Herbert Street.
The unused government land is significant given its central location next to the hospital, potential housing yield, and its inclusion in the St Leonards and Crows Nest Transport Oriented Development (TOD) zone which requires a minimum 15 percent affordable housing.
A condition of sale is that 100% of the affordable housing developed will be allocated as key worker housing for health care workers at Royal North Shore Hospital, ensuring they can live close to work.
The land was identified as suitable for sale for housing as part of the NSW Government's Property Audit which is unlocking surplus government land to increase the supply of homes where they are most needed.
The EOI process attracted nine submissions from developers with initial applicants assessed on criteria including experience, capability and plans for the site.
The three preferred proponents will now be invited to submit detailed proposals through a Request for Tender process which will commence in later this year.
Property and Development NSW (PDNSW) will hold briefing workshops with the proponents to support the preparation of their Tender submissions.
The Request for Tender is expected to close by the end of the year and will require proponents to provide full information on their proposals including concept designs, feasibility studies, delivery programs, and transaction structures.
A preferred proponent is expected to be selected by early 2026, before entering into negotiations with PDNSW to agree on final sale terms and pricing.
With the land zoned mixed use, its sale will deliver hundreds of new apartments in a tower of up to 62 storeys to support the growing needs of the precinct.
Minister for Lands and Property Steve Kamper said:
"The selection of these preferred proponents is a significant milestone and an important next step towards the sale of this unused government land so it can be used to create hundreds of new homes in one of Sydney's most connected precincts.
"We're proud to work with experienced developers who share our vision for a vibrant, inclusive community at St Leonards. This site presents a rare opportunity to deliver homes, including affordable housing for essential hospital workers, and commercial space right next to Royal North Shore Hospital and major transport links."
