How Water Shaped Zetland and Waterloo into Sydney’s Industrial Powerhouses

zetland and waterloo
Zetland in 1909 (Photo credit: City of Sydney Archives)

Not many people realise that the presence of abundant and reliable water sources that flow through the region contributed greatly to the development of Zetland and Waterloo as part of Sydney’s industrial heartland.


Read: Uncovering The History Of Green Square: From Industrial Land To Thriving Urban Hub


The Gadigal people of the Eora nation are recognised as the original custodians of the land. Their ancestral connection to this area can be traced back to a time when freshwater creeks and wetlands dominated the natural landscape, which drew them to this region.

Residential and industrial areas of Waterloo, Zetland and Alexandria can be seen in the far distance, c. 1930s (Photo credit: City of Sydney Archives)

It was the early 19th century when capitalists recognised the tremendous potential of the Green Square area. In 1810, they identified its ample water supply as an ideal power source for mills and factories. 

Once a wetland, this area has evolved into one of the industrial heartlands of the city, teeming with factories and mills that powered Sydney’s growth.

The steady flow of water became the lifeblood of industry, enabling the generation of steam power for milling cloth and grinding grain. This precious resource opened doors to economic growth, attracting entrepreneurs and sparking the industrial revolution in Sydney.

By the 1900s, Green Square underwent a remarkable transformation, evolving into Australia’s largest industrial hub. With a staggering number of over 500 factories and a bustling workforce comprising over 22,000 individuals, it cemented its reputation as a thriving centre of industry and productivity.

Aerial photograph of Waterloo and Zetland, 1964 (Photo credit: City of Sydney Archives)

As the city expanded, water became a scarce commodity. Understanding the significance of the area’s water supply, tunnels were constructed to channel water into dams, ensuring a reliable source of drinking water for the burgeoning population. 

Lords Dam, among the largest in the region, acted as a critical reservoir, supplying the city with water.


Read: Paddington Greenway Project Ditched Despite $300K Already Spent


Today, Green Square, one of Australia’s largest urban renewal projects, has revitalised Zetland, Beaconsfield, Waterloo, Alexandria, and Rosebery. This ambitious endeavour marks Sydney’s first new town centre in over a century, offering an array of world-class community amenities that redefine modern living.

Published 9-May-2023