Two towers and 150 apartments: Contentious Castlecrag development explained

Castlecrag locals are going full throttle in their campaign to prevent an 11-storey development in their isolated coastal suburb. 

What happened: In August last year, private equity firm Conquest lodged a State Significant Development to rebuild a former shopping centre on 100 Edinburgh Road with two 11-storey towers on top.

The $106m mixed-use development has not proven popular with some local residents, heritage groups and Willoughby City Council, who claim the towers would damage the heritage character of the area.

The site was approved in 2024 for a smaller, 38-dwelling development under a previous owner. However, the project never came to fruition, and Conquest bought the land for $68 million in 2025 before submitting the current DA for 150 dwellings.

• When asked why it hadn't moved forward with the original 38-apartment development, Conquest told the Lorikeet that “sticking to a 38-home model would be a missed opportunity to provide the 'missing middle' housing that local families are crying out for”.

Community opposition to the project revolves around Castlecrag’s heritage significance as a suburb designed by modernist American architect Walter Burley Griffin, who also drew up the plans for Canberra. 

Some locals believe this should quarantine Castlecrag from high density building projects such as the Conquest towers. This would help retain the suburb’s character, but burden other North Shore suburbs with creating enough dwellings to meet state targets.

Context: The Minns Government is ramping up housing supply by loosening planning restrictions for more mid-rise apartment blocks, removing control from local councils and fast-tracking large-scale projects through the Housing Delivery Authority.

New South Wales is party to the National Housing Accord, which is an agreement between all levels of government and industry bodies to build 1.2 million new, well-located homes by 2029. 

• “Well-located” is the key phrase: these homes can’t be built out in the sticks, they need to be near existing transport, amenities and jobs. 

As the proposal for Castlecrag has been lodged as a State Significant Development, the decision for approval lies with the state government. Willoughby City Council can have its say, like everyone else, but that is all.

The proposal is currently on public exhibition until May 7. You can make a submission on it via the state planning website.