Cooroy Housing Project
One of the actions the Noosa Housing Strategy 2022 says council will investigate potential for housing on 62 Lake Macdonald Drive, Cooroy and undertake appropriate consultation with the local community.
This land was originally purchased by Council for a future expansion of the cemetery, but only a portion of it is needed for cemetery purposes. Preliminary site investigations in 2023 showed the site to be suitable for housing development, subject to remediation works. The site has since been divided into:
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64 Lake Macdonald Drive (Lot 2 on SP348613) being the balance. This balance lot has been approved to be subdivided into three large usable lots.
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Council was successful in securing $178,000 grant funding from the Australian Government’s Housing Support Program (Stream 1) for the initial master planning of the site.
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Council has secured $4,099,040 grant funding from the Queensland State Government’s Residential Activation Fund (round 1) to contribute to the civil and infrastructure works required for the project.
Background studies
An extensive range of background studies and site investigations has been conducted and determined the site is generally free from natural hazard constraints such as flooding and bushfire hazards and is suitable for housing and cemetery purposes, subject to remediation. There are minimal biodiversity values on the site.
The following investigations, reports and plans have been prepared to inform this project:
Subdivision
The first step in the subdivision process has been completed, that is the excision of just over 1 hectare of land for the expansion of the cemetery (Lot 100 on SP348613, being 62 Lake Macdonald Drive). Analysis has shown this to be sufficient to meet cemetery needs for many years to come.
This leaves a balance of over 2.5 hectares as 64 Lake Macdonald Drive (Lot 2 on SP348613).
The reconfiguration of Lot 2 into three large separate parcels, plus roadway, park and a bioretention basin, has been approved by Council.
The design includes a mostly 10-metre-wide landscaped buffer zone within the road reserve along the eastern boundary of the site, adjacent to the existing residential allotments. This will provide Dianella Court residents with substantial separation to any future land uses within proposed Lots 1-3.
Two 20-metre-wide open space areas for recreation and pedestrian connectivity are provided between the lots.
To view the development approval, including all reports, plans and documentation, use the Application Tracker. Enter application number RAL25/0004.
Site remediation
Prior to Council acquiring the land, the site was used as a landfill and a night soil disposal area up to the 1950s/60s. The former landfill is located beneath the plantation trees and downhill towards the gully, while the night soil area is towards Lake Macdonald Drive to the north of the gully.
Council must fully remediate the land before any future uses of the site can occur. Site remediation is highly regulated and is currently underway, being overseen by a suitably qualified specialist and a state registered contaminated land auditor.
Soil screening is used where possible to reduce disposal costs and to retain as much soil on site as possible.
The Council awarded the contract for remediation and civil works in July 2025. Remediation works have started and should be completed by the end of November 2025. For public safety, site fencing will exclude public access during this work.
Vegetation clearing & proposed landscaping
A significant sized slash pine and small hardwood plantation were located over some of the contaminated areas of the site. All trees have been removed except for a small stand of hardwood trees which have been retrained, as the land where they are located is not contaminated. The removed trees, where not contaminated, have been mulched and will be re-used on site.
The screening trees along the northern boundary of the cemetery have been retained along with some of the screening hedge along Lake Macdonald Drive.
New native tree plantings throughout the subdivision will offset the removal of the existing native trees and screen development from neighbouring houses.
Civil works
An Operational Works application was approved by Council. This approval covers earthworks, landscaping, roadworks, stormwater drainage and electrical/communication reticulation.
Covey Associates, leading Sunshine Coast Civil and Structural engineers of over 30 years, have designed these works.
All plans and documentation can be found through the Application Tracker. Enter approval number OPW25/0057.
Given the additional traffic from the proposed development at the Dianella Court and Lake Macdonald Drive intersection, an upgrade to this intersection is required and includes a dedicated right hand turn lane northeast bound (heading towards the Botanical gardens). A median strip and a new pedestrian refuge to the west of the intersection will make it safer for pedestrians and traffic using Lake Macdonald Drive, Dianella Court and Wilgee Court. New and relocated street lighting for the intersection will also be included.
The new road servicing the subdivision will be located before the first house in Dianella Court.
Council acknowledges any growth has wider traffic issues at the Elm/Diamond St and Myall/Elm St intersections. Theses intersections are State controlled, and Council has been advocating for upgrades.
A stormwater management plan and erosion and sediment control plan have been designed by a hydraulic engineer to ensure no worsening of overland flow at the site boundaries, and no adverse impacts on surrounding properties, including flood levels in the drainage reserve at the rear of some of the Dianella Court properties.
Proposed Lots 1 and 2 and the new road stormwater will be captured and treated naturally in a bioretention basin located near Lake Macdonald Drive. Any development on proposed Lot 3 will need to treat their own water, to be discharged into the nearby drainage reserve.
The site drainage will be addressed by an onsite road drainage system and bio-retention basin supported by an engineered stormwater management plan.
Development of Proposed Lot 1 for Social Housing
Proposed Lot 1 (3158m2 in area) is closest to Lake Macdonald Drive on the lower part of the site, or its northern slope. Council has agreed to sell proposed Lot 1 to Coast2Bay Housing Group, a Tier-1 registered community housing provider based on the Sunshine Coast.
Coast2Bay has secured a State Government grant to provide social housing on Lot 1. A development application has been lodged with Council for the impact assessment of 25 multiple dwelling units which includes public notification and public submissions. Coast2Bay have committed to open communication with the neighbouring community through the planning and development process and have already shared plans with neighbouring residents.
The one and two bedroom units will be designed to suit small households, including seniors and people with disabilities. Plans and documentation can be found through the Application Tracker. Enter application number MCU25/0085.
Community consultation
Council appreciates the community's keen interest in this project. In addition to direct meetings with councillors, consultation meetings have occurred with adjacent residents as follows:
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April 7, 2025 - Coast2Bay presented their social housing proposal to a group of cores nearby residents in Council Chambers. To view all reports, plans and documentation for this development, use the Application Tracker. Enter application number MCU25/0118.
Consultation and communication with residents will continue throughout the project, including with the core group of nearby residents and the broader community.
Proposed Lots 2 & 3
The future use of Lots 2 and 3 will be subject to further community engagement and could include open space, cultural heritage, housing, community uses, landscape and amenity.
Consideration and consultation on the future of these lots will occur after the completion of other housing feasibility projects in Noosa Heads and Tewantin. Therefore, consultation is unlikely to commence in 2025.