newy.com.au – City of Newcastle will begin further geotechnical investigations next week as it prepares engineering designs for the long-term stabilisation of the New Lambton landslip site.
Boreholes up to 20 metres deep will be drilled within the landslip zone and near Victoria Street to provide updated information about ground conditions and help engineers determine the scale of work required.
The initial investigations are expected to take about six weeks. City of Newcastle has contacted owners of properties that may be affected, along with adjoining and other relevant nearby residents.
Periodic traffic interruptions are expected in Victoria Street during the work, while properties close to the drilling locations may experience minor noise.
City of Newcastle said continued monitoring had not detected any significant movement or trends indicating the landslip zone had increased in size.
However, the full area requiring stabilisation is yet to be determined and will be defined through the detailed engineering design process. Planning is expected to continue into 2027 as engineers consider the most appropriate measures for the site.
No construction timetable has been announced. City of Newcastle said it remained in discussions with the NSW Reconstruction Authority about the funding required for the stabilisation work, with the timing of an approved funding program still unknown.
The landslip occurred during the early hours of 23 May 2025, following intense rainfall around Russell Road, Baker Street, Victoria Street and Portland Place. Residents of 16 affected properties were evacuated and the site was declared a danger area, with homes, roads and underground water, sewerage, electricity, stormwater and telecommunications infrastructure damaged.
Further ground movement during heavy rain in the following months caused additional damage, including the collapse of homes within the affected area.
A peer-reviewed geotechnical report released in February 2026 described the event as the largest residential landslip recorded in Australia. It found 198 millimetres of rain fell on the night of the landslip and concluded it was caused by geological conditions and extreme weather, rather than former mining activity or another third party.
The report found isolated repairs would not be enough and that the site would require a coordinated whole-of-slope intervention. Preliminary estimates placed the cost of restoring the area to its pre-landslip condition at more than $130 million.
In May, City of Newcastle said it was working with the Reconstruction Authority on a broader funding package to allow affected properties to be demolished and compensate owners for the loss of their land. At that stage, demolition was considered unlikely to begin before early 2027.
The latest statement did not provide an updated timetable for those demolitions or the proposed compensation arrangements.






