An information session will be held next week for residents of Dalmeny to hear about the sale of land behind Tatiara Street.
Council staff will be available at Dalmeny Hall between 3pm and 6pm on Thursday 1 July to explain why the land is proposed for sale and to answer questions. Residents are welcome to drop in any time.
The 400,000 square metre parcel of land is zoned for low density residential housing.
Council's director of planning Lindsay Usher explained at Tuesday's Council meeting that one of the few things local government can do to influence housing affordability is make land available for housing.
"We all know housing is hard to get at the moment and there's certainly a shortage of vacant residential land," he said.
"We expect that demand to increase with the Moruya Bypass and new regional hospital being built and more and more people coming to the shire to live.
"Selling this land provides the potential for housing lots to be released and help meet that demand."
Mr Usher said the community would have an opportunity to provide feedback on how the land is developed.
"A master plan and a development control plan will need to be prepared for the entire release area before the land can be developed," he said.
"This work would consider in more detail how future development would address environmental issues, infrastructure like roads, water and sewer, as well as open spaces and pedestrian connections. Residents will have an opportunity to provide feedback during these processes."
Mr Usher said another factor in the timing is the recent change in ownership of land adjacent to the Council-owned parcel.
"The new owners are looking to ready their blocks for development and bring lots to the market for sale. It makes sense to provide the opportunity to coordinate the development and release of land."
Council has not determined how the proceeds of the land sale will be used but has confirmed the funds are not required for the Bay Pavilions, which is already fully funded.
The matter will come before Council again on Tuesday 13 July.
