The Secret City 2hrs North of Sydney - link to story here
‘Secret city’ just two hours from Sydney
Duncan Evans
15 August 2025·3-min read


City planning influencer and educator Sam Austin reveals a hidden city in Australian bushland. Picture: Instagram Like some Mayan mystery, a fully designed city lies hidden in the Australian bushland just two hours north of Sydney. Located in present-day North Arm Cove, just north of Newcastle in the Hunter Valley, the city includes a complex web of housing lots with plans for train and port terminals and administrative buildings. “And even crazier, it almost became the country’s capital,” urban planner Sam Austin revealed in a widely-watched social media post this week. “From a satellite photo, you might assume it’s just bushland. But hidden under the trees is a fully designed city.” The lost city, which was to be called Port Stephens City, was designed by legendary architect Walter Burley Griffin, the urban planner who designed Canberra. Mr Austin, speaking with NewsWire from Canada, said he spotted the outlines of Port Stephens City seven or eight years ago while “playing around with Google Maps”. “I was just playing around came across it and thought, ‘wow, what is this?” he said.
Mr Austin spoke about the hidden city in a widely-watched social media post this week. Picture: Instagram

The city was to be called Port Stephens City. Picture: Instagram “Why is there this weird subdivision patch hidden in the trees? I did some googling and discovered North Arm Cove and thought it was absolutely fascinating.” Canberra pulled investment away from Port Stephens City and it was never developed. The area, which sits within the Mid Coast Council area, is now a “paper subdivision”, meaning it has been legally divided into lots, but has never been physically developed with roads or power infrastructure. “It’s really fascinating. There are examples like this all over NSW,” Mr Austin told NewsWire. “They are called paper subdivisions. A lot of big paper subdivisions were made 100, 150 years ago, by various surveyors, with the intention of creating new towns across the country.”

North Arm Cove remains undeveloped. Picture: Instagram Mr Griffin envisioned a “garden city” for Port Stephens City, similar to Canberra’s design, typified by expanding concentric rings of development all connected via train. “You can see that really clearly in the Port Stephens city design,” Mr Austin said. “It has a very central rail terminal and then you can see a concentric circle design that extends out of it.” North Arm Cove has remained dormant for decades, but there is gathering interest in developing the area in light of the country’s sharpening housing crisis. But any development will likely be complex and expensive. There is no road, power or drainage infrastructure in North Arm Cove and the council has stated repeatedly it would be “prohibitively expensive” to build there.

The location of North Arm Cove, northeast of Newcastle. Picture: Google Maps It is not zoned for residential development, but a potential change in zoning to “environmental living” could crack open the door to more housing. There are about 4000 lots in North Arm Cove, with about 1000 of them owned by the council. Mr Austin also expressed some caution about new development in what he called “pristine bushland”. “I much prefer to see urban consolidation, or development around existing settlements, particularly given there is very strong ecological value in that area,” he said. “I do have some reservations on broad scale development in essentially pristine bushland, which is what it is.”

Help the North Arm Cove Rate Payers Association

Subject: The Development Potential of North Arm Cove

Dear Reader,

We hope this letter finds you in good health and high spirits. We are writing to express our belief in the great potential for development in the unique Paper-Sudivision region of North Arm Cove. Having studied the area extensively and considered the various possibilities, we are convinced that responsible development can bring numerous benefits to both the community and the broader region. Allow us to present our case for the development of North Arm Cove.

1. Economic Growth: Developing North Arm Cove presents an opportunity for economic growth, creating job opportunities and attracting investment. With thoughtful planning, new commercial establishments, tourism infrastructure, and housing developments can be established, leading to increased economic activity, income generation, and improved living standards for the local population.

2. Tourism and Recreation: North Arm Cove boasts breathtaking natural beauty as the northern peninsula of Port Stephens Bay with close proximity to beaches and waterways and the Newcastle Airport only 30 minutes away. With proper development, the area can become an attractive tourist destination, drawing visitors from far and wide. This, in turn, will drive the growth of local businesses such as hotels, restaurants, recreational facilities, and adventure tourism ventures.

3. Sustainable Development: Any proposed development in North Arm Cove must prioritise sustainability and environmental preservation. By adhering to sustainable development practices such as incorporating 'green' building techniques, protecting fragile ecosystems and implementing renewable energy solutions, we can ensure that development occurs in harmony with nature, minimizing its ecological impact.

4. Community Enhancement: Development in North Arm Cove can greatly benefit the existing community. Adequate infrastructure including improved roads, healthcare facilities, educational institutions, and recreational amenities, can be developed to enhance the quality of life for residents. Additionally, community engagement programs, cultural events, and the preservation of local heritage can foster a strong sense of pride and identity among residents.

5. Regional Collaboration: The development of North Arm Cove can serve as a catalyst for regional collaboration and cooperation. By working together with neighboring communities, local councils, and government agencies, a unified vision for the area can be established, ensuring that development plans align with broader regional objectives and long-term sustainability goals.

We understand that development decisions should be made after thorough consultation with the local community, considering their aspirations and concerns. An inclusive and transparent approach, involving public forums, surveys, and expert opinions, will help address potential challenges and ensure that the interests of all stakeholders are taken into account. Following the Paper-Subdivision guidelines set out by the NSW Planning Department is also critical to the success of development North Arm Cove.

In conclusion, North Arm Cove possesses immense potential for responsible and sustainable development. With careful planning, community engagement, and an unwavering commitment to preserving its natural beauty, we can create a thriving and vibrant region that benefits residents, visitors, and the broader community. We urge you to consider the possibilities that lie ahead and to explore the avenues for responsible development in North Arm Cove.

Thank you for your time and consideration. We look forward to witnessing the growth and positive transformation of this remarkable region.

Sincerely,
North Arm Cove Rate Payers Association Inc.
NACRPA
nacrpa@gmail.com

What has the North Arm Cove Rate Payers Association done so far?

• we have tried to work with MidCoast Council (MCC) as one of  the land owners in NAC - their answer is that they have no plans to do anything with their land in NAC - approx 1000 lots which they could activate
• we have tried to complain about our rates - MCC's answer is that the law says that all land owners have to pay rates, even with no direct service charge, and we make up 5% of the stakeholders?!
• we have actively participated in the Draft Rural Strategy MCC has been preparing, making up 65% of all submissions
• we have established stakeholders - non-urban land owners, village land owners, village residents, owners of surrounding acreage in NAC, Alathan Pty Ltd, Walker Corp, Council as a land owner, MCC as a planning authority, Local Aboriginal Land Council, neighbouring communities and businesses (Tea Gardens, Hawks Nest, Karuah, Pindimar and Carrington etc.), potential future land owners in NAC, Heritage authorities, Infrastructure providers, Planning and Development industry, research and innovation bodies, State Government - various departments - Planning, Housing Regional Development, Infrastructure, Employment, Innovation, Education...
• we have concluded that we don't want to wait another 10, 20, 30 years
• we have created a legal entity in order to further our interests and plans - which is why we formed the "North Arm Cove Rate Payers Association"
• we have established there is pathway for "paper subdivisions" like ours:
  1. develop a concept plan - the plan will include ways of dealing with costs and potential ownership issues during implementation of plan, including staging
  2. present plan to government - Planning Minister
  3. the plan is sent for evaluation to regional planning department (Hunter - Newcastle)
  4. if the evaluation is positive Minister appoints subdivision authority (basically a developer) who prepares more detailed plans, indicating effects on each individual land owner
  5. plan gets put to the vote and it has to obtain support of 60% of landowners (one vote irrespective of number of lots) that own 60% of the land
  6. if the plan gets the votes it gets executed
• we will partner with business to achieve rezoning, yet remain impartial and committed to our own goals
• we have identified that government has established shortcuts for plans like ours due to global changes taking place - climate, pandemics, technological evolution
• we have established that planning in NSW is going through reform
• we believe that this provides a window of opportunity for us to use some of these shortcuts, changes, to present NAC as a special case
• we need to promote our project and put NAC on the map 
• we agree that there is still more to do!