The purchase of 72 hectares of flood-free land from Southern Cross University that will see the development of 400 new housing blocks was Lismore's worst-kept secret.

Yesterday, the purchase of the land in East Lismore, along Crawford Road, was officially announced by Member for Lismore Janelle Saffin, CEO of the NSW Reconstruction Authority Mal Lanyon, and Vice-Chancellor of Southern Cross University (SCU) Ben Roche.

The potential deal was announced 12 months ago, when NSWRA and SCU signed a Memorandum of Understanding (MOU) to explore the first project as part of the $100 million Northern Rivers Resilient Lands Program.

When asked why discussions took twelve months, Minister for Recovery Janelle Saffin said once the MOU was signed, the talks began.

"Who's going to develop it? How is it going to be developed? Will it be the university as a development partner? Will it be the RA or Landcom? As you could imagine, bringing everyone together just takes time, and to work out what is the best plan, so that we can deliver the best for the local community. It was just a process that had to be worked through."

Once complete, the development will go a long way toward addressing Lismore's housing shortage by providing 400 new housing lots and 50 Build to Rent apartments, 20% of which will be allocated for affordable housing.

Ms Saffin said she wanted to ensure the RA and Landcom make them really affordable.

"We often talk about affordable housing. And when people say, what is it? It sometimes defies description. I want it to be really affordable. We don't have to build the McMansions. We don't have to do that. We can build lovely homes, smaller homes, but beautiful places to live in. And I want to see some of that here as well, so people can really afford them."

The site, in East Lismore, is being developed for new land and homes in partnership with Landcom, the NSW Government’s land and property developer.

The development will include a diverse range of land sizes as part of its housing options. It also includes residential lots for new builds and, importantly, land suitable for relocating existing homes from flood-affected areas. NSWRA's CEO Mal Lanyon said flood-affected residents will get first dibs when the blocks become available.

"Our firm focus is to start with those residents who were part of the Resilient Homes Program as a buyback. We want to make sure that those people have the first opportunity to get land here.

"What's exciting about this space is the mix of housing that will go on, as well. As I have said before, low and medium density, and also Build to Rent. It's been a really exciting partnership. Obviously, there's been a lot of work to get through, and I really thank Southern Cross University for the way that they have worked with the Reconstruction Authority and Landcom."

The blocks will be offered at prices that reflect the local market.

SCU's Pro Vice-Chancellor Research and Education Impact, Ben Roche, said the university has been working behind the scenes from day one post flood to think about what role it can play in the recovery of Lismore.

"This development here in this really beautiful location will not only provide new opportunities for housing, but it will also add further activation to the existing suburbs in East Lismore. It will provide close proximity to four schools that are within walking distance, and many other assets just around the corner and the Lismore campus of Southern Cross University. We're thrilled that this is going ahead."

Mr Roche said the money from the sale will be put towards creating the ambitious masterplan it released about 18 months ago.

"Post '22, the campus has become a vibrant education precinct, home to three schools and TAFE and a range of other activities, including the Medicare Mental Health Hub. So, we're really looking at how we continue to reinvest in the campus and grow the infrastructure base on campus. It's that old saying, we can do more together than we can alone.

"And so building shared infrastructure on campus, whether it's new amenities that the education students can access, whether it's sports infrastructure or whatever it might be, that is vitally important for us in realising the master plan for the future. So, any of this activity goes in support of that."

Landcom will invest $60 million to develop the site, and the RA is contributing up to $15 million for the land and funding for enabling infrastructure, including new roads, power, water and sewerage connections.

Consultation between Landcom, Lismore City Council and the RA is underway to progress a master plan for the site and to ensure new housing and community infrastructure will be delivered as quickly as possible.

"We're working very closely with Landcom now, as the delivery partner. Landcom have great expertise in putting together housing packages and land. The first thing that the community will see will certainly be the Build to Rent, and that was something that the minister announced before. I expect that will be in 2026 when we will see those homes.

"We're working very closely with Landcom now to be able to put out that master plan, so the community can see that with a view that there will be a timeline for what that looks like.

"As you can imagine, with such wonderful land as there is here, there's going to be a lot of enabling infrastructure that's going to have to go into the land to make sure it supports the housing. So we'll be working through that. But as soon as we've got that settled with Landcom and we've got a time for the master plan, we'll very much work through the community with that."

Landcom CEO Alexander Wendler said, “The impact of the floods continues to be felt in Lismore and is exacerbated by the current housing crisis. We recognise this hardship and are stepping up to provide more housing opportunities to accommodate the needs of the local community.

“Landcom is making homes happen. This project will unlock housing to suit a range of needs with diverse, sustainable and affordable options.’