Rezoning plan could unlock mixed-use boom in Currajong as planners eye 'urban village' transformationUpdated

Currajong is poised for its most significant planning shake-up in a decade, with Townsville City Council moving forward on a proposal to rezone industrial land along Kings Road into mixed-use precincts—a move that could unlock housing, retail and community spaces in a suburb long dominated by warehousing and light manufacturing.

The rezoning targets approximately 45 hectares across two discrete corridors between Fulham Road and the Stuart Highway, areas currently zoned industrial or general industrial under the Townsville City Plan. If approved at next month's council meeting, the changes would permit residential development of up to four storeys, alongside commercial, retail and office uses—a framework that planners argue could attract private investment while maintaining industrial buffer zones near existing operations.

The move reflects a wider pattern of urban densification pressures across Queensland's regional centres. With the state median hovering around $390,000 and Townsville's rental yields sustaining 6 per cent-plus returns, investor appetite for new supply remains strong. Nearby growth suburbs like Bohle Plains and Idalia have absorbed significant residential completions over the past three years, yet Currajong—separated from the CBD by just 4 kilometres—remains largely overlooked.

"This isn't about wholesale industrialisation removal," a planning officer noted in council papers. "It's about layering compatible uses to create an urban village feel while preserving manufacturing capacity where it's performing well." The proposal identifies several streetscape improvements, including widened pedestrian zones along Kings Road and potential for community anchor facilities—libraries, health services or cultural venues—to activate the precinct.

Local business groups have voiced cautious support, particularly around traffic management and retention of affordable light industrial rates for established operators. Some property owners with holdings in the target zones have already begun exploratory conversations with developers, though formal rezoning approval remains pending.

Comparable mixed-use rezoning projects in Toowoomba and Rockhampton have delivered modest residential uplift—typically 150–300 new dwellings over five years—plus modest retail and office leasing uptake. Townsville's military presence and growing ADF contractor base could amplify demand, particularly for executive rentals and small office space serving defence-adjacent firms.

A formal public submission period will run for four weeks following council's endorsement. Property valuers expect rezoning approval could see industrial land values shift between 15 and 40 per cent within 12 months, depending on site specifics and development feasibility.

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