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The long vacant and highly visible site will now be transformed into a productive mixed use precinct that supports new housing, jobs and local economic activity.
HIA Executive Director Tasmania, Benjamin Price, said the decision highlights the importance of enabling well located infill development at a time when Hobart urgently needs more homes.
“This is exactly the kind of housing project Hobart needs. It adds new homes in a well serviced corridor and turns a vacant, derelict site into something that delivers real value for the community. Every additional home matters in a housing market under pressure.”
Mr Price said the approval also sends a welcome signal to builders, developers and investors.
“This decision shows confidence to build in Hobart is returning. When good projects are approved promptly and sensibly, it gives the industry the certainty it needs to keep delivering.
“This is a strong example of planning enabling outcomes rather than delaying them. Delays have become all too common, and this decision is a welcome shift in the right direction.”
With major infrastructure projects likely to increase demand for housing, Mr Price said developments like this are timely and necessary.
“Hobart will need more housing of every type to meet future demand. Projects like this ensure the city is better prepared, supporting workers, businesses and the broader community.
“The approval also finally puts an end to years of uncertainty surrounding the prominent site, which remained vacant following an abandoned private hospital proposal,” concluded Mr Price.
The Victorian Housing Industry Association (HIA) takes this opportunity to make a submission ahead of the 2026-27 State Budget.
“Access to skilled labour deteriorated further, across almost all regions and all trades, as the number of homes under construction grew in the March quarter this year,” stated HIA Senior Economist Tom Devitt.
Industry was recently advised that a preview of NCC 2025 was published, and will be available for adoption from 1 May 2026.
Saturday 25 April is Anzac Day and is an observed public holiday. In addition, Monday 27 April has also been gazetted as a public holiday in NSW and the ACT this year.