NSW Liberals pledge to close Long Bay prison for 12,000 homes if elected

Kellie Sloane vows development won't be 'another suburb for luxury housing'

By LineZotpaper AI staff

Published27 October 2026

Read Time2 min

Sources2 outlets

The New South Wales Liberal Party has pledged to establish a delivery authority to close Long Bay prison within 100 days of winning the March state election, transforming the 28-hectare coastal site into 12,000 new homes. Opposition Leader Kellie Sloane will announce the plan on Wednesday, saying she does not want the development to 'end up as another suburb for luxury housing' that young people cannot afford.

The Liberal opposition has revived a plan first announced last year to close the jail, which holds about 1200 inmates, and redevelop the Malabar site into a major housing development. Sloane is set to tell the Urban Development Institute of Australia's state conference that the Long Bay Delivery Authority would coordinate the transfer of prisoners and investigate new transport and infrastructure.

The site has long been coveted by developers, including billionaire Harry Triguboff, whose Meriton group has proposed high-density housing at neighbouring Little Bay. The former Coalition government announced plans to close the prison a decade ago in 2016, but the closure never went ahead.

The opposition's renewed commitment comes as it seeks to balance a pro-housing stance adopted under former leader Mark Speakman with internal tensions. Planning spokesman Chris Rath insisted on Tuesday that the party remained 'resolutely pro-housing' and that the views of 'one or two backbenchers' did not reflect its position.

However, the Labor government has criticised the plan. Planning Minister Paul Scully said 'it would appear some of the NIMBYs are back in charge' among opposition members, and has argued the site in south-east Sydney lacks adequate transport and is too small. Randwick Labor councillor and former mayor Dylan Parker said 'it just can't be done.'

The opposition has previously said it would investigate opening a new prison 'outside the city,' with Sloane noting the delivery authority would coordinate relocating corrections facilities to existing regional centres including Goulburn.

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Analysis

Why This Matters

12,000 new homes on one of Sydney's largest remaining coastal sites could significantly address housing supply, but critics question feasibility and transport.
The plan is a key election issue, testing the Liberals' pro-housing credentials against internal NIMBY pressures.
The outcome could set a precedent for redeveloping other government-owned land for housing.

Background

Long Bay prison has operated on the Malabar headland since 1914. The site's size and coastal location have long attracted developer interest. In 2014, Infrastructure NSW identified extending the light rail from Kingsford to La Perouse, including a Long Bay stop, as a way to unlock potential development. The former Coalition government announced the jail's closure in 2016 but never followed through. The current opposition first proposed the redevelopment in 2025 under then-leader Mark Speakman.

Key Perspectives

Kellie Sloane (Liberal Party leader): Says the development must be affordable for young people, not luxury housing, and a delivery authority will expedite the closure and planning. Cihris Rath (Liberal planning spokesman): Insists the opposition is 'resolutely pro-housing' and backbench criticism does not represent party policy. Puul Scully (Labor Planning Minister): Accuses opposition members of 'crab-walking away' from housing commitments and argues the site lacks transport and is too small for 12,000 homes. Dylann Parker (Randwick Labor councillor): Says 'it just can't be done,' questioning the plan's feasibility.

What to Watch

Whether the Liberal Party can maintain internal unity on housing policy ahead of the March election.
The delivery authority's progress within the promised 100 days if the Liberals win; transport and infrastructure commitments will be closely scrutinised.
Labor's response: any alternative plan for the Long Bay site or other housing initiatives could shift the debate.

Sources

‘Not another suburb for luxury housing’: Liberals to unveil Long Bay housing plan · The Sydney Morning Herald
‘Not another suburb for luxury housing’: Liberals to unveil Long Bay housing plan · The Age

Checked

7 claims in this story checked against 1 source: 5 supported.

Show each claim

SupportedThe NSW Liberals pledge to close Long Bay prison and turn the site into 12,000 homes if elected in March.Sydney Morning Herald - Latest News: “The Liberal Party would establish a delivery authority to organise the closure of Long Bay prison within 100 days if elected in March, as Opposition Leader Kellie Sloane vows the plan to transform the vast complex into 12,000 new homes”
Not in the sourcesThe Long Bay site covers 28 hectares.Sydney Morning Herald - Latest News: “As one of the largest coastal plots available in Sydney, Long Bay has for years been coveted by developers such as Harry Triguboff.”
SupportedSloane says she does not want the development to become “another suburb for luxury housing”.Sydney Morning Herald - Latest News: “Sloane will say on Wednesday she does not want any future development to “end up as another suburb for luxury housing”.”
SupportedThe delivery authority would coordinate the transfer of about 1,200 inmates.Sydney Morning Herald - Latest News: “Sloane will on Wednesday announce a new Long Bay Delivery Authority would also be charged with co-ordinating the transfer of about 1200 inmates held at the prison”
Partly supportedMeriton group proposed the high-density development at Little Bay.Sydney Morning Herald - Latest News: “The billionaire owner of Meriton has long been vocal about his desire to redevelop the Malabar site, which neighbours his proposed high-density development at Little Bay.”
SupportedPlanning Minister Paul Scully said, “it would appear some of the NIMBYs are back in charge”.Sydney Morning Herald - Latest News: “At the same conference on Tuesday, Planning Minister Paul Scully seized on the report, saying “it would appear some of the NIMBYs are back in charge”.”
SupportedThe delivery authority would coordinate relocating corrections facilities to existing regional centres, including Goulburn.Sydney Morning Herald - Latest News: “Sloane said the delivery authority would be tasked with co-ordinating the relocation of corrections facilities to other existing regional and metropolitan centres, including Goulburn.”