The development of the first new suburb within the city of Sydney in decades has been announced, as a harbor-side shipping area is set to be transformed into a modern urban destination aimed at addressing the housing shortage.
The Australian Labor Party government revealed plans to establish the Bays West suburb between White Bay and Glebe Island. The project is expected to deliver up to 8,500 homes above a new metro station by 2032, while also converting the area into a cultural and community hub centered on the revitalization of the White Bay Power Station.
The project site lies about two kilometers west of the city center, with at least 10% of the housing units designated as affordable housing or homes for essential workers. This comes as the average apartment price in the Inner West region has reached around $900,000.
The Premier of New South Wales, Chris Minns, confirmed that the project will help expand housing supply while providing suitable homes for nurses, teachers, paramedics, and police officers so they can live closer to their workplaces.
Planning Minister Paul Scully explained that the government will lead a comprehensive development strategy to ensure a balance between housing and job opportunities. Meanwhile, Housing Minister Rose Jackson emphasized the importance of keeping Sydney an affordable city for workers and young families.
The project also includes ending bulk shipping operations at Glebe Island by 2030, alongside allocating $270 million to upgrade road networks and study the possibility of transporting freight by rail to Port Kembla. The cruise terminal will remain in operation, while some maritime activities will be integrated into White Bay.
