FIRST INNER-SYDNEY SUBURB IN DECADES ANNOUNCED
11 Mar 2026
The NSW Government has revealed plans for a major new inner-Sydney precinct - Bays West - on the current site of Glebe Island. The new suburb, the first to be built in inner Sydney in decades, will deliver up to 8,500 new homes just minutes from the Sydney CBD and connected by metro, ferry, walking and cycling links.
The proposal will transform underutilised government-owned port land on the Harbour into a new mixed-use waterfront suburb complete with housing, public space, cultural attractions and improved transport connections, while retaining important deep-water port facilities that support the city’s working harbour. The Bays West precinct intends to shift housing growth towards well-serviced inner-city locations and help address the state’s housing shortage.
The new homes being built alongside the Bays West Metro Station will ensure young people, families and downsizers are only minutes away from the CBD. New housing will be combined with open spaces, with the development opening the waterfront to the public for the first time in more than a century.
“Right above a new metro station and minutes from the CBD, we’re delivering thousands of homes where people actually need them – close to work, close to services and close to transport,” says Premier of New South Wales Chris Minns. “We understand that not everyone will welcome change, but cities don’t stand still. If Sydney is going to remain a place young people and families can afford to live in, we have to use well-located land better and plan for the future,” he adds.
It means Sydneysiders will farewell Glebe Island’s distinctive 1970s industrial silos as part of the “city-shaping” transformation, which will open up the long-underused site, stretching from Rozelle Bay to White Bay, 2km from the CBD.
The historic White Bay Power Station will be redeveloped as a cultural and community destination connected to the harbour via a new public forecourt. Connectivity will be at the centre of precinct plans, which will include active transport links to neighbouring communities such as Rozelle, Balmain and Glebe, better pedestrian access to the waterfront, and a proposed active transport connection across the Glebe Island Bridge. Working harbour activities will largely be consolidated into White Bay, ensuring continuity of boat maintenance, marine construction, tugboat and emergency services. Deep-water berths will be retained to preserve harbour operations.
A new staging zone in White Bay will support major events, including New Year’s Eve fireworks and Vivid Sydney. The existing cruise terminal will remain in place with new shore-power infrastructure to reduce noise and emissions.
Describing the proposed precinct as city-shaping renewal, which will deliver thousands of new homes alongside open space, jobs, culture and waterfront access, Minister for Planning and Public Spaces Paul Scully says, “The master planning process will coordinate delivery and guide a good mix of homes and jobs, so the transition of the new precinct is smooth for industry and future residents.”
He added that the government planned to restore the heritage-listed Glebe Island swing bridge, decommissioned in 1995, to use it “as part of the active transport links into the city”.
The master planning strategy for the new precinct will be supported by an international design competition to guide development across the precinct and ensure housing, infrastructure, jobs, public spaces and transport are delivered together. A new delivery agency will be established in the coming weeks to oversee the project.
The project forms part of a broader housing push by the NSW Government, with its rezoning programs and planning reforms expected to create capacity for more than 620,000 homes across the state.
“Bays West is about putting publicly owned land to work for the people of New South Wales – delivering thousands of new homes while keeping this strategic harbour site in public hands for generations to come,” adds Treasurer Daniel Mookhey. “By transforming underutilised industrial land into a vibrant housing and jobs precinct, we are boosting housing supply close to the CBD while strengthening the state’s long-term economic capacity.”
The first homes are expected to be completed by 2032, in time for the opening of the Bays West Metro station.
Images courtesy of NSW Government
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