Thousands of extra homes will be built in and around Woolloongabba under a new plan to transform more than 100 hectares of land in Brisbane’s inner-south.

Approval of an updated Priority Development Area (PDA) scheme was announced by Deputy Premier Jarrod Bleijie on Thursday.

Up to 16,000 new homes will be permitted within the 106-hectare area – up from about 14,000 proposed for the area under the previous Labor government.

The PDA covers parts of Woolloongabba, East Brisbane, Kangaroo Point, and South Brisbane.

The initial proposal announced in May last year allowed developers to circumvent council planning laws.

Homes will be built on the site now occupied by the Gabba stadium, which will be demolished after the 2032 Olympic Games under the LNP government’s decision to build a new stadium at Victoria Park.

A new 17,000 seat entertainment arena will be built opposite as part of a new entertainment precinct also announced on Thursday, completely transforming the suburb.

Bleijie reported only three residential development applications were lodged under the previous Labor scheme, and said his amendments would cut red tape.

“Industry has told us repeatedly that it can deliver more housing in Woolloongabba by removing onerous conditions and better responding to market constraints,” he said in a statement.

“This plan will support a more flexible, performance-based approach to housing and infrastructure delivery that is in step with the area’s growth – delivering the right infrastructure, at the right times in line with local needs.”

Bleijie said the scheme capitalised on the area’s proximity to the CBD, Kangaroo Point, Southbank, major hospitals and the new Cross River Rail station.

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