Dept of Defence Land in Haberfield Is Being Auctioned Off After 20-Year Delay

After nearly two decades of bureaucratic delays, the Department of Defence is finally set to sell its long-held land in Sydney’s sought-after Inner West suburb of Haberfield.

The old Army Reserve Depot covers 19 000 square metres of land and has remained undeveloped since the Department of Defence first tried to sell the land at $18.2 million for 21 lots before the sale was blocked by council officials who raised flooding concerns. 

Four of the original buyers have retained their deposits, meaning only 17 lots will go for sale this year. 

The original sales ranged from $742,000 to $945,000.

One of the original buyers has decided to sell their lot, enlisting McGrath Estate Agents, the Department of Defence’s appointed selling agent, to broker the sale, as reported by ABC News. 

McGrath CEO John McGrath has called this sale “one of the most unique and exciting offerings” in his 40-year career. 

The site at Hawthorne Parade (with entry from Darragh Lane) comprises 17 level lots ranging in size from 500 sqm to 1,044 sqm, totalling 10,760 sqm on offer.

With McGrath national general manager of sales and auctioneer Troy Malcolm overseeing the action, bids for the lots are expected to range from $1.6m to $2.85m at the auction scheduled for March 27. 

“Haberfield is a coveted residential precinct and the opportunity to buy prime vacant land like this has rarely been available to buyers wanting to build their dream homes,” John McGrath said.

Haberfield: ‘The Garden Suburb’

Known as ‘The Garden Suburb,’ Haberfield is a heritage-listed area that has preserved its parks, tree-lined streets, and beautiful Federation-era houses with gardens.

A 2020 profile of the suburb highlights its prime location, just a short distance from the CBD, along with its spacious, low-density housing blocks. 

Also, the 2023 Estimated Resident Population for Haberfield is 6681, with a population density of 2,788 persons per square km. The median house price in the ‘Garden Suburb’ is around $2.685 million, with a recent decrease of 9% and a 37% increase in buyer demand, according to Real Estate property data. 

The Department of Defence’s appointed sales agent commenced an auction campaign on 11 February 2025, which will run for a 6 week period. 

Inspection times for the lot are: 

• Saturday: 9:00 AM to 10:30 AM
• Sunday: 10am to 12.00pm
• Wednesday: 10.00am to 11.30am

The auction is scheduled to occur on the 27 March at 6.00pm Level 2/19 Harris Street, Pyrmont.