The six-storey development of the Shoalhaven Street Precinct will be a major step forward in making Kiama Council’s recently endorsed Housing Strategy a reality.

Last Friday, the the NSW Government announced the Precinct as a State Significant Rezoning Project, giving Council the green light to get started on plans to turn the site into a much-needed new residential development in the heart of Kiama.

The two-hectare area, which is a short walk from the town centre and railway station, which encompasses the Council Works Depot and the adjoining Big River site, which was purchased by Council last year for $6.3 million. Council is relocating its Works Depot to Minnamurra as part of its strategic planning.

Council’s Director of strategies & communities Ed Paterson said throughout the Housing Strategy exhibition period earlier this year, there was a raft of feedback from the community about doing more with Council land holdings.

“It's a really good news story for the community that Council are able to redevelop and do all the planning work for a significant site that has the opportunity to provide quite a few homes at a time where they're really needed,” he said.

“It provides opportunities for affordable and social homes in a really awesome location, close to train station, close to the town centre, close to the beach.

“The big win for us is it’s not at the expense of the ratepayers. So the state government are paying for everything. All the consultants are paid through the state government process.

“Council is still a major stakeholder in the process.”

Paterson said Council is working through the designs for what could go on the site with the NSW Government and Councillors will be briefed before a community engagement period occurs later in the year.

“Adopting the Housing Strategy was step one and now all the exciting stuff can start to come out of the woodwork,” he added.

“The State Government have got that guarantee from Council that we're committed and we're moving forward on providing homes in the LGA and this is just the first cab off the rank.”

Mayor Cameron McDonald said the announcement was a significant milestone in both Council’s Local Housing Strategy and long-term financial recovery plan.

“This precinct represents a unique opportunity to deliver thoughtfully designed housing close to essential services and transport,” Mayor McDonald said.

“Being identified as a State Significant project means the NSW Government will fund the technical and environmental studies needed to progress the rezoning, removing the cost burden from our ratepayers.”

Given the State Government's low/mid-rise housing reforms that were finalised a few months ago, this project lends itself perfectly to some sort of mid-rise development.

“Automatically, if the site becomes residential, given how close it is to the train station, under the state government's reform processes. We're looking at about six storeys,” Paterson explained.

“Then we've got to work through exactly how that looks. It sits in quite a dip in the valley with a natural drainage channel through it.

“One of the benefits of working in partnership with the State Government that we can move quickly and efficiently. We're not having to go through multiple different processes.

“There's been no decision around Council developing or Council selling or whatever it might look like, but whoever retains ownership of the site and develops it, there's a clear guideline for what should go there, rather than it just being rezoned and anyone can then try and put whatever they want forward. We need a really clear master plan for the site.”

Mayor McDonald said: “Council is committed to ensuring the community has a voice in what this site becomes. We look forward to engaging with residents, stakeholders and the development industry in shaping a precinct that reflects Kiama’s character and values.”

Paterson said he would love to see a cornershop, green space and employment elements incorporated into the final design.

“The site sits low in the landscape so you could get some built form in the middle there that wouldn't take away views and you'd try and push a lot of the bulk closer to Noorinan Street so it doesn't overshadow the properties on Barney Street,” he said.

“And then that's where the natural drainage line is. So it's sort of shaping itself up just naturally to getting some good built forms on there that aren't going to detract upon people's views and sunlight access and stuff like that.

Council needs to go down the pathway of deciding whether it wants to rezone and remediate the site and sell it, or does it want to retain some ownership and do some sort of joint venture.

“There's some really fantastic opportunities for a significant portion of affordable housing to be provided and for Council to hopefully partner with a community housing provider for those homes to be provided to those that most need it,” Paterson said.

“That's been the strong and loud voice coming out of the community that it's not just about supply, but it's also about locking in affordable homes so that you start tapping away at the bottom end of the market and it helps overall.

“So this is something that Council can do to help with that affordable housing issue that we're having in the LGA.”

Paterson said, if everything lined up, residents could start seeing homes delivered in the next three years on the precinct.

“We know that as the former gasworks site, it's got a heavy level of contamination. So remediating the site is going to be a positive outcome for the broader community that might be directly adjoining or have downstream impacts,” he said.

“Even just the fact of not having Council's operational trucks and vehicles moving in and out there all the time will mean there's less vehicle movements for people living in that area.

“Stormwater and flooding are a big issue too. If we can have some on-site detention basins to reduce flooding impact, particularly on places like the bowling club - which there's times of the year when it's not a bowling green, it's a wading pool - that can have some impacts that way as well.

“Redeveloping it can have some really positive environmental outcomes.”