Military families face being evicted from Sydney’s historic Victoria Barracks by the end of the year as the federal government’s push to sell the historic site sparks mounting concerns over the use of public land, heritage and Defence Force morale.
Critics of the proposed sale warn plans to relocate up to 12 families, including children, are being rushed, without arrangements to secure alternative accommodation alongside the hundreds of other personnel who live, work and serve at the Paddington site.
The concerns have united a group of politicians, business leaders, sporting identities and senior military figures under the Save Victoria Barracks Alliance, which will hold a public rally on Sunday urging Prime Minister Anthony Albanese to keep the site in public hands.
Former prime minister John Howard said he would speak at the rally on Sunday to demonstrate the “depths of community resentment” over the proposal.
The rally follows the government’s decision to include Victoria Barracks among 67 Defence properties earmarked for full or partial sale after an independent review of ageing and underused military assets. The program aims to raise up to $3 billion for other Defence priorities.
The demonstration also comes after a separate rally this month when hundreds turned out at Balmoral to oppose the partial sale of the HMAS Penguin.
But critics question whether the financial benefits justify selling a site that remains operational and has played a central role in Australian military history for 178 years.
As of December 2025, up to 250 permanent Australian Defence Force personnel were based at the barracks, alongside 50-100 public servants, 150-200 reservists and 50-100 cadets.
The site also houses the Headquarters Forces Command, Headquarters 2nd Health Brigade, offices, a museum, cadet training facilities and residential accommodation.
Defence has proposed moving administrative personnel to Defence Plaza Sydney, about two kilometres away, while cadets could relocate to Randwick Barracks or community facilities and schools. However, the department has not publicly detailed the intended location of every operational unit or affected military household.
Uncertainty has been compounded by conflicting signals over the timetable. In September, a Defence planning order requiring personnel to leave by December 19 was rescinded, with the department describing it as having been “erroneously” issued after details emerged publicly.
Defence later said relocations would begin in the fourth quarter of the year, subject to workforce and operational requirements, and that no final decisions had been made about where personnel would be based.
A Defence spokesperson said in a statement a consultation process had begun, with most personnel expected to move off-site before the end of 2026.
“The transition and divestment of Victoria Barracks Sydney will be managed carefully and sensitively, supporting our people, families and the broader Defence community while preserving its heritage, history and legacy,” the spokesperson said.
Defence Minister Richard Marles has signalled the government wants to move quickly. Questioned last month, he said he expected Defence would leave the affected sites “as soon as possible”.
Liberal Senator Jess Collins, who is chairing a Senate inquiry into the planned sales, said serving personnel were unable to publicly express their views despite growing concern about the consequences.
“The army has been gagged. The Defence Force cannot speak up about it,” Collins said.
Retired vice-admiral Vince Williams, president of RSL NSW, which represents 33,000 former and serving Defence personnel, criticised plans to relocate personnel before suitable replacement accommodation had been secured.
“It’s appalling, kicking people out in a hurry and sticking them into an office tower in Pitt Street, or into bunk beds in Randwick Barracks without having replacement full-time accommodation sorted out beforehand,” he said.
“It’s the message it’s sending that is terrible for morale.”
The alliance has attracted support from state and federal politicians crossing party lines, as well as business and sporting figures.
Marjorie O’Neill, the NSW Labor member for Coogee, has described Victoria Barracks as the army’s “spiritual home”. Independent federal MP for Wentworth Allegra Spender said community sentiment favoured retaining the site in public hands.
“This is not something that needs to be turned into a boutique hotel or a wedding venue,” she said.
Former Wallabies captain Simon Poidevin, whose grandfather served at the barracks during World War I, said finding replacement housing in the expensive eastern suburbs at short notice was a serious concern.
“They’ve got kids and families, they’re active members of surf clubs and sporting groups and they’re now asking where will they go,” he said.
“They love working here. They’re proud to work here. They don’t want to go and work in a soulless city building which has no connection to the Defence Force.”
The financial case for the sale has also come under scrutiny. Defence has declined to disclose estimates of the expected proceeds, telling the Senate inquiry that releasing the figures could “diminish” the Commonwealth’s negotiating position in achieving market value.
The Department of Finance, which is coordinating the sales program, told the inquiry that spending on external advisers had totalled $2.72 million as of August 31, including $1.66m in management fees paid to KPMG as its strategic industry partner.
Organisers of Sunday’s rally say the event could attract thousands. Originally planned outside the barracks’ main gates, the demonstration has been relocated to Moore Park near Kippax Lake on advice from NSW Police about crowd size and public safety.
Howard on Wednesday said he would “strongly oppose” any attempt to sell off the site.
“Like many in the community I resent the Albanese government’s indifference to our proud national and military history in proposing the sale of sites which are part of that history,” Howard said in a statement.
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