LAVINGTON Oval will undergo its biggest redevelopment since the mid-1970s.
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Albury's premier sporting facility, which has hosted National Rugby League and A-League football matches for premiership points in the last two years, has secured $4 million in federal government funding.
Albury Council has also committed $3.5 million with a further $1 million being sought from the NSW Government which would bring the total investment to $8.5 million.
Member for Farrer and federal sports minister Sussan Ley announced the Lavington Oval upgrade had been successful in the National Stronger Region funding program.
The project has to be completed by 2019.
The two-part project will see multi-purpose playing fields and amenities built on neighbouring land the council purchased in 2012 and has been used for carparking on major event days.
There will also lighting up to 200 lux.
The Hartley Stand will undergo major improvements with an additional set of changerooms to meet national standards, replacement coaches boxes and media facilities, function room overlooking Lavington Oval, an extension of the grandstand along the northern wing, additional disability grandstand seating and better disabled access and upgrades of existing changerooms.
The grandstand extension will accommodate another 500 spectators.
Ms Ley said it was one of the biggest projects in the funding round.
"It is a fantastic effort by everyone who made the case for this important regional project," she said.
"It looks after our local teams very well, but it also gives us the opportunity to attract events of regional, state and national significance here on a more regular basis.
"The facilities here have served us well and the current changerooms and amenities are serviceable, but they will be a lot better when this is all done."
Lavington Panthers Cricket Club Sam Strelec also welcomed the successful funding announcement.
Mr Strelec said the creation of more sporting grounds at the eastern end of the ground would be particularly beneficial to venue users.
Earlier this year the club had to vacate the ground to allow ground staff to prepare for the AFL pre-season match between Port Adelaide and Richmond.
Lavington Panthers Football Club also had to find an alternate training venue when the NRL match for premiership points was locked in at late notice.
"It will be great for the Lavington community as a whole," he said.
Albury deputy mayor David Thurley said the federal funding would enable the project to be fast-tracked.
"This place is old and tired," he said.
"At the moment we can't really host those bigger sporting carnivals other areas do."
An original plan to create a regional sporting administration centre to be used by the Ovens and Murray Football-Netball League, AFL and Cricket NSW development staff within the redeveloped grandstand has been dumped.
Draft concept plans for the redevelopment are being drawn up by council staff.