Nicklin Way, Third Avenue extension, new intersection
The Queensland Government, in partnership with Sunshine Coast Council (Council), has finalised the design for the Caloundra Transport Corridor Upgrade, including the Nicklin Way, Third Avenue extension.
The design reflects community feedback while balancing infrastructure needs with environmental preservation and sustainability.
The upgrade aims to improve access into Caloundra's CBD with the primary goals of reducing congestion, improving traffic flow, enhancing road access, promoting active transport, and contributing to the regional economy and growth.
The project is being delivered in 2 sections:
- Section 1 – Omrah Avenue to Arthur Street – is being delivered and funded by Council
- Section 2 – Nicklin Way, Third Avenue extension – is being delivered by Council and is jointly funded by the Queensland Government and Council.
Benefits
- Returns local roads
- Improves network efficiency
- Increases traffic flow
- Reduces peak hour congestion
- Better road access
- Reduces travel time
- Contributes to economy
- Contributes to regional growth
- Better active transport
Key features
The design for Section 2 includes:
- 4-way signalised intersection connecting Nicklin Way and Third Avenue
- 4 lanes (2 lanes in each direction) from Nicklin Way to Arthur Street
- compliant pedestrian crossings at intersections
- underpass at West Terrace for safer active transport movements
- new separated bike and pedestrian pathways to improve active transport access to Caloundra
- alignment north of Energex high voltage poles.
Funding
This project is part of the Queensland Government's Caloundra Congestion Busting Plan.
The project is funded by the Queensland Government and Sunshine Coast Council.
Investment ID: 3582510
Current status
The final design for the Caloundra Transport Corridor Upgrade – including the Nicklin Way, Third Avenue extension – was released in May 2025.
Construction is expected to commence this year.
Consultation
The Caloundra Transport Corridor Upgrade has been informed by more than a decade of community engagement, including consultation on transport studies, planning schemes and concept designs. A Stakeholder Interest Group, established in 2022, also played an important role by helping to refine the design—particularly around retaining vegetation, enhancing active transport facilities and maintaining connections to local parks.
The project team will continue to keep the community informed as the project progresses.
Environment
The project has undergone extensive environmental assessment. It was referred under the Environment Protection and Biodiversity Conservation Act 1999 (EPBC Act) due to potential impacts on Matters of National Environmental Significance. The design aims to avoid, minimise or offset impacts, with outcomes to be managed through construction and operational environmental management plans. EPBC approval is required ahead of main construction works.
Section 2 Nicklin Way, Third Avenue extension location map
