Canberra Services Club to rise from the ashes at new Manuka site

The Canberra Services Club has found a new home almost four years after flames ripped through its Manuka premises.

The ACT Government announced the new services club would be built on the site of a childcare centre in Manuka as part of a mixed-use development with Defence Housing Australia (DHA).

The MOCCA childcare centre would be moved to a new purpose-built facility in Forrest.

Chief Minister Andrew Barr said it was part of an upgrade and renewal of services in the inner south.

"What we have now is a very useful and productive way forward," he said.

"It will not only see a new site for the Services Club but we also see an expanded childcare facility and significant new sporting facilities for Telopea Park school."

The Canberra Services Club burnt down in 2011 just after Anzac Day commemorations were held at the site.

The number of organisations involved in the land developments made negotiations lengthy and complex.

But club president Dennis Gellatly welcomed the latest news.

"We've been keen to rebuild," he said.

"The proposal to work with DHA and the ACT Government on a new site in Manuka is a real positive step and one that I think will really advance the Manuka landscape."

The club has agreed to surrender its lease on the former site next to Manuka Oval.

Mr Barr said that would open up further development of the key sporting location.

"This will allow the next phase of development at Manuka Oval that will increase capacity at the venue, spectator amenity and certainly make the precinct better," he said.

The Land Development Agency (LDA) will provide $800,000 towards the development of new sporting facilities for the nearby primary school.