Tamworth Regional Council working with Crown Lands to identify new housing development opportunities

Tamworth Regional Council (TRC) has prioritised four parcels of land in North Tamworth, adjacent to the hospital and on Forest Road near the landfill, for a "range of housing options".

Hoping to quicken the process, council has signed a Memorandum of Understanding to work with Tamworth Local Aboriginal Lands Council (LALC), Crown Lands, and Land and Housing Corporation NSW to unlock land for future development.

Tamworth mayor Russell Webb said developments would not take place on council-owned land purchased for health service expansions.

"Council bought 124 hectares of land up behind the hospital some time ago, but there is a huge amount of land up there," he said.

"The land we're talking about for future housing is adjoining the land we bought for the health precinct to grow."

Council's director of liveable communities, Gina Vereker said there will be a collaborative approach to housing, but new developments won't go up quickly.

"This will not be a quick process. The land will probably need to be rezoned, some of it will need to be reclassified and that takes 12 months," she said.

"I'm thinking it could be two to three years before we actually see some housing there.

"Obviously the government is supporting us so hopefully we'll be able to shortcut the process, but it's a bit early to tell."

She said the developments would include a "range of housing options" and "around 1000 dwellings".

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"We want housing diversity, so it's affordable housing but also smaller sized houses, one and two bedrooms," she said.

"We will look at social housing as well, and we're talking to the organisations that provide that housing, which is where the LALC is involved.

"In terms of the hospital we'll try to avoid areas that really need to be protected for future hospital expansion.

"There's a big parcel of land there, so we will be able to provide housing, and make sure we have room for medical services."

Reserving the land around the health precinct for future growth was an issue raised by councillors at Tuesday night's meeting.

Cr Helen Tickle said despite some land being allocated, "significant land" is still needed.

"We must be very mindful no matter what the development may be, that it does not infringe on that area," she said.

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