The City of Canterbury Bankstown and WSU have identified a 2500-square-metre site between council’s administration building and the Bankstown Library and Knowledge Centre.

The site is close to the railway station, bus interchange, TAFE College and eateries.

"This decision is a massive win for Canterbury-Bankstown, local youth and university," Cr Asfour said. "In fact, it is an historic moment for us.”

Cr Asfour said council and the university would look to enter into a Heads of Agreement, regarding the lease of the land and commercial aspects.

He said it would be council’s intention to lease the land for 99 years at peppercorn rent and, in return, receive public parking and retail and shop space as a source for rental income.

Under the present zoning, the site could accommodate a building of up to 16 storeys, or height of 53 metres, with a floor space ratio of 4.5:1.

WSU could be looking to accommodate up to 7000 students in the facility, which would rival the size of its existing Parramatta City campus.

WSU Vice-Chancellor, Professor Barney Glover, said the decision represented a major intensification of the institution’s long standing presence in Bankstown and Milperra.

"By developing a technology-rich, modern facility embedded in the heart of the Bankstown CBD, we are significantly improving accessibility to higher education,” he said.

“Western Sydney University’s teaching and research program also brings considerable economic and community benefit.”