Historic sites offloaded in billion-dollar defence sale
Dozens of properties owned by the Australian military, including the historic Victoria Barracks in Sydney and Melbourne, will be sold in the coming years, raising billions of dollars to reinvest in the country’s defence.
The federal government agreed to sell 64 sites across the country, totaling just under $2 billion and saving taxpayers $100 million a year in maintenance costs for aging facilities.
The sale followed an audit of Australian defense land; This area forms a vast network of hundreds of properties across the country, covering approximately 3.8 million hectares.
The independent review found some areas were lying empty or unfit for use due to rusted and derelict buildings, black mold and chemical contamination.
Sites to be sold include Sydney’s Victoria Barracks; A complex founded in 1840 and located in the eastern suburbs not far from the city centre.
There are 450 to 650 people in the barracks and they will be placed in other defense areas.
Melbourne’s Victoria Barracks, another heritage-listed site whose oldest buildings date back to 1850, will also be sold.
The site played an important role in both world wars.
In total, the defense property review recommended the sale of 68 properties, three of which have already been transferred.
The government decided to sell only part of the other three facilities.
A site that used to be a diving training area at Pittwater on Sydney’s northern beaches has been proposed for sale, but will be retained as it houses a “critical capability” that cannot be easily relocated.
All areas reserved for sale will be transferred to the Finance Department, which will take responsibility for finding buyers.
But government officials believe it will likely take years for some properties to be sold.
Buyers are likely to include state and territory governments as well as private landowners.
Proceeds from the sale, which is estimated to reach approximately $1.8 billion, will be reinvested into ADF.
Defense Minister Richard Marles said it would be a “significant and challenging reform” but would leave Australia better off in the long term.
“For the Australian Defense Force to be able to protect our nation and keep Australians safe, it must have a defense facility that meets its operational and capability needs,” he said.
“This has not been the case for years, with many defense sites sitting empty, decaying, underutilized and costing millions of dollars to maintain,” he said in a statement.
