Chief Minister Jon Stanhope's announcement, the second in two months, comes after a survey of Canberra builders savaged the strategy.

Despite the Government's record 4339 blocks released in the past financial year, 75 per cent of the building firms surveyed were unsatisfied with land supply.

They say land prices have sky-rocketed by 15 per cent because of pent-up demand.

A huge demand on planning and civil engineering meant they could not get on to blocks to build for 18 months.

The Government's introduction of private land developers into the market to carve up super lots, and direct sales to big developers, has failed to meet demand.

Builders are pointing to a huge land ballot at the new Gungahlin suburb of Bonner which recently drew 563 responses, more than twice the 243 blocks available.

The extra 1000 dwellings include:

Increasing the Forde joint venture from 100 to 218 dwellings;

Increasing the Woden East joint venture release from 100 to 179 dwelling sites;

300 new sites for supportive housing in locations throughout Canberra; and

Bringing forward a site for 500 units on the Flemington Road in North Canberra.

Find more on this story in today's Canberra Times.