Almost 1000 letters claiming the shire "has been slated for a new Third World refugee settlement" have been sent out by three candidates standing for the anti-immigration Australia First Party.

Another candidate, Darrin Hodges, a former member of Australia First who is the NSW chairman of the Australian Protectionist Party, has tried to link high-rise developments with an influx of Asian immigrants.

"To ensure that the Sutherland Shire remains a safe, peaceful and harmonious community of Australian heritage, it is important to prevent overdevelopment," Mr Hodges said in a candidate information sheet submitted to the NSW Electoral Commission.

"Building large blocks of units encourages 'Asianisation' (for example, see Strathfield and Burwood)."

The IT consultant, 42, from Engadine, also wrote that he would oppose permits for mosques, sex shops and "any developments that undermine Australia's traditional and family values".

This is despite admitting to the Herald he had once been contracted to maintain the server of a company selling adult products over the internet.

Mr Hodges said Sutherland Shire should be a place for white Australians.

"It's the birthplace of the nation. Europeans discovered and built this country and I can't see any reason why the shire or any other part of Australia should not remain predominantly European."

Australia First's three candidates, Karl Glas, John Newton and Marleen Rapp, said in their letter to residents that Sutherland Shire council had proclaimed the region a "refugee welcome zone".

"If this scenario was played out, there would come the crime, the violence, the sexual assault and the undermining of our identity to an extent that would dwarf those other problems of just a few years back," their letter states.

Mr Glas denied his party was engaging in race politics. "The media try to ramp us up as an uber racist party, which is simply not the case."

He said local environmental issues, such as sandmining at Kurnell, were his party's primary concerns.

The Mayor of Sutherland, David Redmond, who is standing for Community First, said residents had moved on from the riots and would not be attracted to xenophobic messages.

"I don't believe they even represent a minority view in our Sutherland Shire," Mr Redmond said. "I would also expect that after the election you will find that will have been the case."

Australia First has 14 candidates standing in four other council areas: Blacktown, Newcastle City, Coffs Harbour and Hawkesbury.