PM announces new housing as developers walk away from Eyre

Prime Minister Anthony Albanese is in Adelaide spruiking new housing in the midst of news that the developers are walking away from a 1900-home site in the northern suburbs.

Sep 29, 2026, updated Sep 29, 2026
Prime Minister Anthony Albanese and Premier Peter Malinauskas have announced a 400 home development at the Hampstead Barracks. Photo: Rory Dowdell/InDaily
Prime Minister Anthony Albanese and Premier Peter Malinauskas have announced a 400 home development at the Hampstead Barracks. Photo: Rory Dowdell/InDaily

Up to 400 new homes and community facilities will be fast-tracked for development at one of Adelaide’s former Army training sites.

Prime Minister Anthony Albanese announced the plans to transform Hampstead Barracks alongside Premier Peter Malinauskas on Tuesday, saying there was “no more important infrastructure than housing”.

The development is part of the federal government’s plans to fully or partly sell 67 military sites in the country in a move described as the “largest Defence estate divestment in Australian history”.

The sale is expected to bring in $1.8 billion for the Defence budget and save taxpayers another $100 million a year in maintenance costs. Reservists and cadets currently using the site will have alternative accommodation found.

Early plans for the Hampstead Barracks feature a mix of apartment buildings alongside two and three-storey townhouses surrounding a large public park.

“We did a Defence audit that showed that there were a range of Defence assets which weren’t being fully utilised and which made more sense to be used for Australia’s national interest,” Albanese said.

“It’s this infill development that’s so important. A mix of densities here on this site, but providing a great benefit for South Australia.

“Four-hundred homes for South Australians located in an area that’s close to public transport, that’s just six-kilometres from the city, will have a fantastic quality of life.”

The announcement follows news that residential property developer AVJennings would be walking away from one of the state’s major northern suburbs housing estates.

Renewal SA will now take the lead for the next phase in developing the 1900-home project at Eyre.

Renewal SA chief executive Shane Wingard said the agency would continue delivering housing and community at Eyre and the transition would not impact existing purchasers.

“Our team is experienced in facilitating housing delivery in the northern suburbs and we are confident we can bridge any gaps and maintain momentum on the project while a long-term strategy for the site is determined,” Wingard said.

Close to 750 homes have been completed to date, with Renewal SA promising future arrangements would maintain the vision for “high-quality” and “affordable housing”.

The Hampstead Barracks will be transformed into a mixed-use development with up to 400 homes. Photo: supplied.

The Hampstead Barracks are more than 70 years old, with military units including Air Force Cadets first occupying the site in 1953. Assessments into suitable alternative sites to relocate Hampstead Barracks personnel, which includes administration staff, cadets and Australian Defence Force Reservists, is currently underway.

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In addition, the federal and state government would look to progress plans to develop housing at the 12.81-hectare Keswick Barracks, with the defence workforce planning to vacate the site by 2030.

The state government has since begun considering the future development and masterplanning of the site.

Premier Peter Malinauskas said the Hampstead and Keswick Barracks would be prime sites for housing developments.

“We’re at full employment, and we’ve got a lot more work that is coming our way, which means we need more workers. But you can’t have more workers without more homes,” Malinauskas said.

“When the Commonwealth announced that it was conducting a review of sites like this one, we wanted to be first out of the blocks.

“Our city is growing up and out, but strategic infill locations like this one means good mixed-use development.”

Malinauskas said the state government’s $500 million Housing Fast-Track Fund would support the acquisition of prime land to deliver houses sooner.

“I’m very grateful for the fact that we found in the federal government an active partner just to get things done and get supply on the road here, because without increasing supply, you’re not making a difference,” he said.

SA Greens leader Robert Simms has renewed calls for the state government to establish a publicly-owned builder following AVJennings abandoning the Eyre project.

“We’re in the middle of a housing crisis. We can’t keep putting our housing supply in the hands of private developers whose priorities can change,” Simms said.

“Renewal SA has had more than a decade to get this project moving, yet hundreds of planned homes are still on the drawing board.

“South Australians need homes, not housing projects that take decades to get off the ground. It’s time to put South Australians back in the driver’s seat when it comes to building the homes we need.”

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