Design plans for a new town square are being accelerated after the Queensland Government pledged $4 million for the project.
The funding will be used in conjunction with the Sunshine Coast Council to create a new town square in Caloundra at the corner of Bulcock Street and Otranto Avenue, adjacent to the new Library+ that opened in September.
It’s part of a broader $12.8 million project delivered in partnership with the council and Queensland Government’s Department of Local Government that will open up the city centre to create a pedestrian link, more green space and a welcoming public precinct.
Member for Caloundra Kendall Morton said she was “excited to be delivering a town centre that the whole region can be proud of”.
“The $4 million town centre precinct, located adjacent to the recently upgraded library, will become a vibrant hub of activity at the heart of the Caloundra CBD,” she said.
“It is so important for the Caloundra business community and the people of Caloundra to have community spaces to enjoy.”

The council has appointed consultancy firm Urbis, which designed the new Library+ Caloundra, as lead consultant to develop detailed design for the proposed new town square.
The town square design includes green open spaces, lighting, improved pathways and pedestrian friendly streetscapes on Omrah and Otranto avenues, connecting the new town square to the main street.
Detailed design has started and is expected to be completed over the next 12 months, with construction of the new town square starting from mid-2026. It’s anticipated to be completed by mid-2027.
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Mayor Rosanna Natoli said the works would supercharge Caloundra’s transformation into a dynamic civic and cultural hub.
“The Caloundra Community and Creative Hub will create a public space precinct which will knit together The Events Centre, new Library+, Caloundra Regional Gallery and town square through to Bulcock Street and beyond,” Cr Natoli said.
“This is another exciting step forward in creating a walkable heart for Caloundra – a place where people come to meet, learn and relax.”
Council CEO John Baker said the project represented a major milestone in the broader Caloundra Centre Activation Project.
“By connecting key destinations and improving public spaces, we’re creating the kind of lively, people-centric town centre that attracts new business, investment and community life,” Mr Baker said.
“We are achieving this by planning for our future with the new town square, Library+ and delivering infrastructure such as Caloundra Transport Corridor Upgrade that will also help attract business into the town.”