Costco will establish a store in Boolaroo with the NSW government to announce land sales to the retail giant and residential developer Green Capital Group on Friday.
Property Minister Melinda Pavey will confirm deals with the two parties at a press conference at the Cockle Creek precinct this morning.
The land sales come less than a year after the government took ownership of the remediated smelter site via a compulsory acquisition process.
Costco's store will be its first outside Sydney and only its fourth in NSW.
Green Capital Group will subdivide its massive lot, which extends from Munibung Road to First Street, for residential development.
Minister Pavey said the two projects were expected to inject $300 million into the local economy and would create hundreds of jobs.
"The fact that Costco is choosing Cockle Creek as the location for its first regional operation in NSW is a major coup and that allows for hundreds of new jobs and ongoing economic stimulus," she said.
"The Green Capital residential development will also deliver much needed new homes, creating more than 500 new dwellings as part of a multi-staged development, and contributing approximately 400 FTE [full-time equivalent] jobs during construction."
Costco is expected to lodge a development application with Lake Macquarie council as soon as today.
Costco Wholesale Australia country manager Patrick Noone said the company wanted to open the store "as soon as possible".
"Costco sees this region as dynamic and fast-growing and we believe that we can bring great value in relation to a wide range of products and services to the area," he said
"We are now looking forward to commencing with the approvals process so we can commence construction.
"Our goal is to get on the ground as soon as possible, so that we can start serving the community."
Green Capital Group has eyed its parcel of land for years and director Darren van Aardt said he was pleased to have finally inked an agreement.
"Today's announcement is a significant achievement and we are very glad to be progressing our plans to bring hundreds of homes to the Lake Macquarie area," he said. "We have been invested in this opportunity for some time, and so we are really excited to now move forward."
Lake Macquarie MP Greg Piper said he was "delighted" development was progressing at the site after it failed to eventuate under the former administrator.
"I'm delighted that Costco and Green Capital have chosen Cockle Creek as the place to expand their regional operations, a move that will see Costco generate approximately 80 FTE jobs during construction and up to 225 ongoing local jobs," he said.
The path has effectively been cleared for Costco and other retailers at the Cockle Creek precinct after the recent rezoning of land.
The government fast-tracked the rezoning after Lake Macquarie council initiated the process late last year.
While you're with us, did you know the Newcastle Herald offers breaking news alerts, daily email newsletters and more? Keep up to date with all the local news - sign up here
IN THE NEWS: