One of Paddington’s most significant landmarks is set to change hands after more than a century and a half of military service, as the Commonwealth moves to sell Victoria Barracks on Petrie Terrace as part of a sweeping national property divestment.
Read: Revitalisation Prospects Raised for Victoria Barracks in Petrie Terrace
The historic site, located just one kilometre from Brisbane’s CBD, is among more than 60 Defence properties across Australia earmarked for divestment following a multi-year audit of the department’s 3 million hectare estate. The nationwide sell-off is expected to raise approximately $3 billion, with Victoria Barracks sites in Brisbane, Sydney and Melbourne alone accounting for $1.3 billion of that total.
Defence Minister Richard Marles released the audit findings on 4 February, agreeing to recommendations to divest surplus and costly properties that serve no strategic military value. The decision will see Australian Defence Force personnel including Reserves relocated to Gallipoli Barracks, 8km away, whilst Australian Public Service personnel will move to office accommodation in the Brisbane CBD.
For local residents, the announcement revives long-standing conversations about the future of this largely inaccessible heritage precinct, positioned strategically between Roma Street station and Suncorp Stadium.
The Australian Institute of Architects has welcomed the sale but emphasised the critical need for rigorous design governance to protect the site’s heritage and cultural significance. Caroline Stalker, Queensland Chapter President, described it as a once-in-a-generation opportunity to deliver genuine public benefit.
Stalker said in a statement that the sale creates a rare chance to give something back to the public realm, calling for transparent processes, strong cultural and heritage safeguards, and design-led planning that prioritises streets, parks, culture and community uses alongside any housing or commercial components.
Victoria Barracks Brisbane is listed on the Commonwealth Heritage Register and includes 17 heritage-listed buildings, a parade ground, sandstone boundary walls, and a historic tennis court. The site also houses the Army Museum of South East Queensland, which currently offers limited public access through guided tours on three Wednesdays each month from 9:30am to 12:15pm.
The future of the museum remains uncertain, with Defence indicating it may relocate to Gallipoli Barracks or potentially remain on site depending on negotiations with future owners.
Any redevelopment will be subject to strict protections under the Environment Protection and Biodiversity Conservation Act 1999, which requires the Commonwealth to preserve the heritage values of listed properties. The Department of Defence has committed to exploring options including adaptive reuse of heritage buildings, retention of facades, partnerships with heritage organisations, and archival recording.
National President of the Australian Institute of Architects, Adam Haddow, has called for the establishment of a Federal Architect position to provide consistent design leadership across Commonwealth property transitions of this scale. Haddow said that when the Commonwealth reshapes city-defining precincts, it must do so with the same rigour expected of any major public project.
The sale process will be managed by the Department of Finance, though officials acknowledge some properties may take years to sell given the complexity of heritage requirements and potential remediation needs. The Commonwealth expects to save approximately $100 million annually in maintenance costs for ageing and underutilised facilities across the portfolio.
Net proceeds of about $1.8 billion after relocation costs and expenses will be reinvested in Defence capabilities.
A Landmark With Deep Roots
Victoria Barracks has been an integral part of Brisbane’s landscape for more than 160 years. The site predominantly provides office space to support capability management, service delivery and museum functions, and has accommodated various Defence operations throughout its long history.
The barracks experienced significant use during both World Wars, playing important administrative and logistical roles. In recent years, the Commonwealth has undertaken significant maintenance and remediation works across the heritage buildings, including a full roof and drainage system replacement, remediation of rising and lateral damp, mortar joint repairs, timber restoration, repainting, fire safety upgrades, and replacement of electrical infrastructure. Several heritage retaining walls have required attention due to age and construction methods.
Read: A Trip Down Memory Lane at the Petrie Terrace Heritage Trail
What Happens Next
The sale timeline remains unclear, though the complexity of heritage obligations and the scale of the divestment program suggest the process could extend over several years. For Paddington residents who have long glimpsed the historic buildings from Petrie Terrace, the next chapter of Victoria Barracks presents both opportunity and uncertainty about how this landmark piece of the suburb’s heritage will be integrated into the community’s future.
Published 6-February-2026
