Regional Development Victoria

From flood prone land to future homes

30/06/2026

An aerial image of a wetlands, grass, roads and houses.

From flood prone land to future homes in less than a year - the Elliminyt Wetlands project shows how smart water management can create lasting benefits for the community.

The project has transformed a 40-year-old drainage site into a thriving wetland. Its ponds and wetland areas store and filter stormwater before it flows into local waterways.

By redeveloping around 7 hectares of flood-prone land, the project has unlocked almost 10 times that amount to deliver:

  • new housing opportunities
  • more green, open space
  • cleaner water and wildlife habitats
  • greater protection from flooding
  • planting
  • boardwalks
  • car-parking.

The new infrastructure allows stormwater to be captured and treated to deliver new residential housing and cleaner waterways for Deans Creek and Lake Colac.

Around 17 jobs were supported, with local construction workers and suppliers engaged to bring the wetlands to life.

The project will help pave the way for Colac’s expected population growth of 7,000 people by 2050.

It also builds on our support for council's Colac Deans Creek Growth Corridor Outline Development Plan.

The plan supports future housing and growth for the Deans Creek area, including:

  • flooding
  • drainage
  • roads
  • open space.

We’re also supporting affordable worker housing at Colac Area Health, where 16 new units are being built for local healthcare workers.

The project is backed by our $3 million investment and $1.45 million from Colac Otway Shire Council.