Strong opposition is mounting against Commonwealth plans to sell several high‑value defence properties, with community groups and prominent public figures warning the sites must be protected from private development.
At HMAS Penguin on Sydney’s Middle Head, locals argue the harbourside land home to pristine angophora (Sydney red gum) forest risks being transformed into yet another “millionaire’s row” if sold.
Long‑time campaigner Jill L’estrange says the area was saved once before, nearly 40 years ago, when a proposal for 30 luxury homes was blocked with the help of union leader Jack Mundey and future NSW premier Bob Carr. She says it is “ironic” that a Labor government is now considering selling it.
Former prime minister Paul Keating has also joined the growing chorus opposing the sale of HMAS Penguin, the 176‑year‑old Victoria Barracks in Paddington, and Spectacle Island off Balmain.
“Some of these properties are gems belonging to the national estate,” Mr Keating said. He argued that Defence holds these sites “in virtual trust on behalf of the nation,” noting they are no longer active military assets and therefore should not be treated as disposable property. “In an operating sense, they don’t belong to Defence to do anything with, including their sale.”
Community groups, heritage advocates and former leaders say selling the land would not only erase important historical and environmental assets but also set a dangerous precedent for the future of public land.



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