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08 9792 7000

info@bunbury.wa.gov.au

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Holywell Street Development (Old Punchbowl)

The City of Bunbury is proposing to enter a joint venture to develop the former Punchbowl caravan park site (Lot 211 and Lot 501 Holywell Street, South Bunbury), providing increased housing supply including permanent residential and short-term accommodation use.

A business plan for this major land transaction is now open for public comment for six weeks. We want to hear from you. This page explains the proposal, why it matters, and how to have your say.

Project timeline

Start
01/01/2010
Site listed for sale – no offers received
01/01/2010
Land investigation and development agreement entered into with LandCorp to address site constraints
01/01/2017
Geotechnical investigation undertaken
01/01/2020
Registration of Interest process – a joint venture proposal was received
01/01/2024
Further assessment confirmed ground conditions are manageable
01/01/2026
Council resolved to commence the major land transaction process
01/05/2026
Business plan advertised for public comment
01/06/2026

Punchbowl, South Bunbury – Major Land Transaction June 2026  

The City of Bunbury is proposing to enter a joint venture to develop the former Punchbowl caravan park site (Lot 211 and Lot 501 Holywell Street, South Bunbury), providing increased housing supply including potential for permanent residential and short-term accommodation use.

A business plan for this major land transaction is now open for public comment for six weeks. We want to hear from you. This page explains the proposal, why it matters, and how to have your say. 

Right now, we’re asking whether the City should enter a joint venture to develop this site. The details of the development itself will come later, with another chance to comment. This is step one. 

Have your say

Public comment is open from 30 June to 11 August 2026. 

The business plan for the proposed major land transaction is available for public inspection and the community is invited to make submissions. 

  • View the business plan: Here or at the City’s Administration Centre, 4 Stephen Street, Bunbury 
  • Make a submission: Email info@bunbury.wa.gov.au  
  • Submissions close: 4pm, Tuesday 11 August 2026 

All submissions will be presented to Council for consideration before any final decision is made. 

About the proposal 

The Punchbowl site is a 2+ hectare (20,688m²) City-owned parcel of freehold land in South Bunbury, comprising the former Punchbowl caravan park. It has been vacant for over almost a quarter of a century. 

Following a comprehensive review of its landholdings – and in response to long-standing community calls to activate this vacant site – the City identified Punchbowl as having strong potential to support residential development and contribute to Bunbury’s housing supply. 

At its meeting on 19 May 2026, Council resolved to commence the process of a major land transaction – a proposed joint venture to develop the site into a residential housing estate. 

Under a joint venture model, the City contributes the land, the development partner undertakes the planning, subdivision, construction and sale, and both parties share in the returns, with the specific terms to be determined as the agreement is finalised. This approach allows the City to retain an ongoing interest in the development and influence the outcome, rather than simply selling the land outright. 

Why this matters 

Bunbury is experiencing a housing shortage. The City has been working to activate this significant site for over 15 years. Developing Punchbowl will: 

  • Contribute new homes to support Bunbury’s housing supply
  • Activate a site that has sat vacant for almost a quarter of a century 
  • Generate local jobs during construction 
  • Deliver ongoing rates revenue for the community 
  • Put underutilised City-owned land to productive use 
  • Proceeds from the transaction will be directed to the City’s Strategic Land Management Reserve for future strategic projects. 

This proposal aligns with the City’s Local Housing Strategy, which guides how Bunbury accommodates future growth and identifies the importance of increasing housing supply and diversity in well-located, established areas. 

What this stage is, and isn’t 

It’s important to understand what the community is being asked to comment on at this stage. 

This stage IS about:  

  • The City’s proposed decision to enter a joint venture arrangement.  
  • The business plan, prepared under Section 3.59 of the Local Government Act, assesses the financial implications, the effect on services and the community, and the City’s capacity to manage the transaction. 
  • Whether this arrangement should proceed. 

This stage is NOT about 

  • The detailed design of the development. No contract has been signed and no development plans have been finalised.  
  • How many homes, the layout or the built form. 
  • These specifics come later, at the development planning stage. 

There will be a further opportunity to comment. 

Once contract terms are negotiated, a detailed development plan will be prepared and the community will have another opportunity to provide feedback on the specifics of the development. This current six-week period relates to the principle of entering the joint venture. 

A site 15 years in the making 

The City has been working to activate the Punchbowl site for over a decade: 

  • 2010 – 2011: Site listed for sale – no offers received 
  • 2017: Land investigation and development agreement entered into with LandCorp to address site constraints 
  • 2020: Geotechnical investigation undertaken 
  • 2024: Registration of Interest process – a joint venture proposal was received 
  • 2026: Further assessment confirmed ground conditions are manageable 
  • May 2026: Council resolved to commence the major land transaction process 
  • June – August 2026: Business plan advertised for public comment 

This timeline reflects the genuine complexity of activating a site of this size and history. The City has worked methodically over many years to reach this point. 

The site 

Location Lot 211 (26 Holywell Street) and Lot 501 (14 Holywell Street), South Bunbury 
Size 20,688m² (2.07 hectares) 
Ownership City of Bunbury – freehold 
Zoning Tourism (permits residential and short-stay accommodation) 
Former use Caravan park (vacant for almost a quarter of a century) 
Current status Business plan open for public comment 

Ground conditions 

A geotechnical investigation has been undertaken on the site. It identified that parts of the site contain organic material and a peat layer that will require remediation before development –common considerations for low-lying coastal sites. The investigation confirmed these ground conditions are manageable through established engineering treatments. Site remediation will be addressed as part of the development process requirements.

Part of the City’s broader land program 

Punchbowl is one of several strategic City-owned sites being progressed to support housing and growth in Bunbury. Full details on the City’s broader land program here

Contact 

For enquiries, contact the City’s Economic Development Team on 9792 7000 or info@bunbury.wa.gov.au  

This page will be updated throughout the advertising period. Last updated: 30.06.2026

Frequently Asked Questions

  • The City is proposing to enter a joint venture with a private sector development partner to develop the former Punchbowl caravan park site into a residential housing estate. This six-week comment period relates to the Citys decision to enter that joint venture arrangement.

  • Following the Registration of Interest process, the City has been progressing a proposed joint venture with the Scott Park Group (part of Sumitomo Forestry Australia), an experienced Western Australian residential developer. No contract has been signed – any final contractual arrangement will return to Council for approval before execution. 

  • The detailed development (including the number, size and type of dwellingswill be determined during the development planning stage, which follows contract negotiation. The community will have a further opportunity to comment on those specifics at that time. 

  • The specific housing mix, including any affordable housing component, will be determined at the development planning stage rather than as part of this current proposal. The City’s draft Council Plan includes consideration of its strategic land contributing to affordable housing outcomes, and this will be considered as the development progresses. The development is also designed to deliver housing diversity – a range of lot sizes and housing types that provide options across different price points. There will be a further opportunity for community input when the development plans are prepared. 

  • This proposal is for a residential development delivered through a joint venture with a private sector partner – it is not a social housing project. Social housing is funded and delivered by the State Government through agencies such as the Department of Communities. However, increasing overall housing supply, as this development will, helps ease pressure across the entire housing market – including at the more affordable end. The City also continues to advocate to the State Government for increased investment in social and affordable housing in Bunbury. 

  • Detailed vegetation assessment will form part of the due diligence and development planning stage. Any future development will be subject to standard planning and environmental assessment processes, and the community will be able to comment on the development plans at the next stage. 

  • A joint venture allows the City to retain an ongoing interest in the development, influence the outcome, and share in the development value – rather than accepting a single upfront payment. It also enables the timely delivery of housing. 

  • Proceeds will be directed to the Citys Strategic Land Management Reserve for future strategic projects that benefit the community. 

  • No. This six-week period is for community comment on the proposed joint venture. All submissions will be presented to Council. Any future contractual arrangement will also return to Council for approval before it is executed. A detailed development plan will follow, with further community consultation. 

  • Submissions can be made in writing to the Chief Executive Officer, City of Bunbury, PO Box 21, Bunbury WA 6230, delivered to the Administration Centre at 4 Stephen Street, or emailed to info@bunbury.wa.gov.au 

    Submissions close at 4pm on Tuesday 11 August 2026.