UTAS wins lower house approval to sell land for $500m STEM precinct, state contribution unclear
UTAS has won lower house approval to sell prime Sandy Bay land to help fund an ambitious $500m STEM precinct – but critics warn the plan could collapse without $100m in state support.
Legislation enabling the University of Tasmania to sell land at Sandy Bay as part of an ambitious plan to fund a $500m STEM precinct has passed the lower house, despite concerns the state government may not provide financial support for the project.
The University of Tasmania (Protection of Land) Bill 2025 passed the House of Assembly last Wednesday with the backing of the Opposition.
The bill, which still needs to be debated by the Legislative Council, would amend the University of Tasmania Act to prevent the land comprising the Sandy Bay campus from being “disposed of” without parliamentary approval.
However, the Liberals have tweaked the proposed legislation to exempt two parcels of land above Churchill Ave, which the bill would rezone to inner residential, allowing the university to sell more than 20 hectares of land for housing development.
UTAS is hoping the state government agrees to purchase the land for $100m so it can use the proceeds to help fund a new $500m science, technology, engineering, and mathematics (STEM) precinct at Sandy Bay. It is asking for $400m in federal funding for the project.
A business case prepared by Deloitte said the precinct would foster the next generation of highly skilled workers in industries such as renewable energy, technology, manufacturing, and agriculture.
Labor planning spokesman Dean Winter told parliament last week that the rezoning would allow the development of up to 2000 new homes.
While Mr Winter welcomed the move, he said the government had broken an election promise to prevent UTAS from selling the land for new housing.
Greens deputy leader Vica Bayley said the party did not support “parliamentary rezones” and suggested the university had been “forced to abandon the proper planning process” because the government was “unwilling or unable” to contribute $100m to the STEM project.
Innovation, Science and Digital Economy Minister Madeleine Ogilvie, who introduced the bill to parliament, was contacted for comment.
She told the lower house last week that the legislation “strikes the right balance, protecting the public interest, respecting the university’s role as an education provider, and enabling the university to advance its STEM precinct at Sandy Bay”.
Save UTAS spokesman Mike Foster said there was “zero chance” of the Tasmanian government purchasing the Sandy Bay land and cast doubt on the likelihood of the Commonwealth providing funding support for the STEM precinct.
“You have to have a new plan – and that new plan needs to be self-funded. You can’t rely on money coming [from external sources], and you can’t allow the years to tick away while students … are preferring to go to the mainland,” he said.
A UTAS spokeswoman said the university welcomed the passage of the bill through the lower house and described it as “an important step towards securing the future of science and engineering education in Tasmania”.
Originally published as UTAS wins lower house approval to sell land for $500m STEM precinct, state contribution unclear
