The strip along King Street - sometimes known as Griffins or Kully Bay - features as a "key project" in Destination Wollongong's new development plan.

Using a densely packed illustration entitled the Griffins Bay Masterplan, the tourism body suggested it could become a hub of housing, commercial opportunities, seniors' living and marine-based tourism.

To be known as King Street Wharf, the waterfront development would "provide for a prosperous local economy", cost more than $100 million and create more than 100 direct jobs.

It would follow precedents set by Darling Harbour, Honeysuckle and the Cairns waterfront and could be developed under a "long-term leasehold structure".

The land slated for development has been at the centre of a recent tussle between Wollongong City Council and the NSW government since the dismantling of the Lake Illawarra Authority.

In May, the government transferred the 32 hectares to its Government Property portfolio and, earlier this month, flagged plans to redevelop it into a residential, retail and commercial precinct.

Several councillors raised concerns about the government's plans - with Labor's Ann Martin labelling them an "act of bastardry" and saying they would take away vital public space in the low socio-economic suburbs of Berkeley and Warrawong.

At Monday night's council meeting, some councillors also indicated the land was prone to flooding and said it would be negatively affected by the effects of climate change.