Billy's Lookout on market soon

McCloy Group managing director Brian Swaine said the name was "a nod to the highest peak on the site", which locals dubbed "Billy Goat Hill".

"This area enjoys panoramic 360-degree views of Lake Macquarie and surrounding bush," Mr Swaine said.

Mr Swaine said the project would boost much-needed housing supply in the area.

"The infrastructure costs are relatively inexpensive, so we can get land to the market at a cost-effective price," Mr Swaine said.

The land is just south of Teralba's existing settlement and near Booragul railway station and will include 18 hectares of open space, a childcare centre and park.

"We liked its location - it's close to the lake and recreation areas," Mr Swaine said. "There's no other major land releases on the western side of the lake from Cooranbong to the north.

"We thought it'd be very attractive for people who live on the western side of the lake to get a little bit closer to town."

Mr Swaine said 30 lots were under construction for the project's first stage, which was expected to be available for sale in the second quarter of this year.

"We haven't priced them at this stage," he said. "The first stage will be a bit higher because it has some nice lake views, but after that it will go back to meat and potato pricing - a bit under $200,000 probably."

The Newcastle Herald reported a year ago that Teralba residents accused Lake Macquarie City Council of a stuff-up that deprived their suburb of $6 million in infrastructure.

A bridge and roadworks were to be built to provide a second access to the McCloy development, but a council miscalculation meant it was scrapped.