It's a significant milestone for the project, which includes plans for apartments, aged care homes and possibly offices or a hotel at the former Australian Forestry School site.

The amendment changes the land use for block 7, section 4 Yarralumla from community facility to mixed-use zoning.

The 11-hectare block of land, located off Banks Street, housed the Australian Forestry School between 1927 and 1964.

CSIRO sold the site in 2002 to Gunyar Pty Ltd which, together with Sydney-based developer Oakstand, will develop the block.

Under the amendment, the site can now be used for residential, aged care, social housing, commercial accommodation, community facilities and ancillary commercial uses.

Heritage buildings and structures on the site, such as the Australian Forestry School, the former museum, store, tennis courts and Forestry House, are to be retained and reused.

The amendment requires 60 per cent of the site to be retained as open space, three-quarters of which will be set aside for deep-root planting.

The majority of new buildings proposed must be located within the footprint of existing or demolished buildings and high levels of energy efficiency in the development will be required.

Buildings of up to three storeys will be permitted.

The developer will be required to seek the National Capital Authority's approval for proposed works and buildings.

The National Capital Authority released the draft amendment in November and invited the community to have their say.

The authority received 20 written submissions, including two from government entities.

Some minor changes were made as a result, including more detailed drawings to clarify setbacks and an amendment to the definition of an "attic" to align with the Territory Plan.

Federal Minister for Territories Kristy McBain said the amendment opened up more land for housing in inner Canberra.

"[Reimagining] this much-loved part of Canberra will forge a pipeline of work that will support local job opportunities, stimulate the territory's economy, and ensure the entire community can enjoy this space like never before," she said.

The amendment was also welcomed by federal member for Canberra Alicia Payne, who thanked the community for their input.

"There's a strong focus on retaining and enhancing the natural character and landscape setting of the area, and in ensuring that community facilities, such as the oval, and heritage buildings, such as the Australian Forestry School and former museum, are safeguarded for future generations," she said.

In May 2023, the federal environment department gave the project the green light, allowing the developer to clear no more than 0.22 hectares of golden sun moth habitat.