The former Tweed Hospital site in Northern New South Wales is set for a major transformation, with the state government transferring the land to make way for 800 new homes in a boost for regional housing supply.
The prime waterfront site at the corner of Powell and Florence streets in Tweed Heads will be transferred from NSW Health to state property developer Landcom. Up to 10 per cent of the total development will be dedicated to affordable housing.
The project addresses critical supply shortages in Tweed Heads, where rental vacancy rates have hovered at a tight 0.8 per cent, driving intense competition among local families.
Alongside high-density and medium-density housing, the precinct plans feature upgraded waterfront public access, integrated pedestrian and bicycle pathways, and expanded tree canopy coverage designed to mitigate urban heat.
Identified through the state government’s statewide property audit of surplus land, the site became available following the relocation of hospital services to the new AU$723 million Tweed Valley Hospital at Cudgen.
Remaining health services operating on site, including BreastScreen NSW, community health, and mental health programs, will be relocated nearby to ensure continuity of local care.
Minister for Regional Health Ryan Park said: “The former Tweed Hospital site was at the centre of health care for more than 50 years, supporting local families through some of the most important moments of their lives.
“While healthcare has moved to the state-of-the-art Tweed Valley Hospital, I am pleased this site will continue to serve the community by delivering much-needed housing.”
Minister for the North Coast Janelle Saffin added that unlocking the site represents a significant win for one of the state’s fastest-growing regions, injecting critical supply directly into the local housing market.
“Unlocking this site to deliver 800 new homes is a massive win that will inject much-needed supply exactly where families want to live,” Saffin said.
Landcom will prepare a state significant development application for submission in early 2027.
Pending necessary planning approvals, construction on the Tweed Heads precinct is set to begin in 2029.