EnergyAustralia is selling land near its Tallawarra Power Station for development.
Within a fortnight 275 hectares will go on the market.
The area is about half the size of the Tallawarra site.
It does not include the power station.
The move comes almost a year after the NSW Planning Assessment Commission approved EnergyAustralia's concept plan to develop the Tallawarra land.
Thermal development manager Graham Dowers said EnergyAustralia's vision was always to see the area developed and rejuvenated with a balanced mix of zones for employment, residential, recreational and conservation uses.
EnergyAustralia has appointed Ari Petrovs and Matthew Ramsay of CBRE as the exclusive agent.
Mr Petrovs said it was good the planning process involved EnergyAustralia and the community so thoroughly and carefully working through everything.
"That planning path should increase interest," he said.
"There is also a retail opportunity and some industrial land but we are selling it as one land opportunity.
"It is a three precinct master plan with northern, central and southern lots.
"It will come onto the market within a fortnight and involve an eight-week expression-of-interest campaign."
Mr Petrovs said EnergyAustralia had 560 hectares at Tallawarra.
Of the 275 hectares for sale 130 hectares is developable land.
"We anticipate 1000 lots of residential which will be the primary driver of interest. We are looking for a single proponent."
Mr Dowers was confident the sale process would identify a suitable buyer to deliver the best outcome for the region.
He said EnergyAustralia was fundamentally an energy company and believed the future advancement of the concept plan and the needs of the region would be best served by a specialist property development company.
Mr Dowers said development of concept plan was a lengthy, complex process where EnergyAustralia had worked closely with Wollongong City Council, state government agencies and the community and involved many hours of stakeholder consultation.
"We are grateful to the many groups and individuals who put forward a view on our plans and we believe the approved concept will deliver a great result for the region," he said.
Mr Dowers said there would be further opportunities for community consultation once the land sale was complete and the project entered the detailed planning stage.