The $37 million development will ease the pressure on a sport bursting at the seams, but Canberra's south has already been identified as an area that needs more facilities.
Basketball ACT chief executive Nicole Bowles hoped the expansion of the Belconnen Basketball Stadium would be finished within four or five years.
ACT Sports Minister Yvette Berry and Treasurer Chris Steel made the pre-budget announcement at the stadium on Thursday morning with the $37.5 million cost part of the 2026-27 funding.
It's welcome news for not only basketball, but all other indoor sports in the capital as it will not only increase the number of basketball courts but also potentially free up multisport facilities.
Sports facilities have been a hot topic in Canberra in recent months with ground closures adding to a ground-shortage crisis.
Basketball has been trying to expand the Belconnen stadium for 15 years and will now finally get three extra indoor courts and be able to create an 1800-seat show court.
The show court will allow the stadium to host national and international tournaments.
Basketball's player numbers have surged after COVID-19, growing by 83 per cent to more than 14,000 since 2022.
Bowles said it was the biggest investment in community indoor sport in more than 30 years.
"It will assist in the pressure once it's built and online, but we can see that year-on-year we're having significant increases into participation in the sport," she said.
"So the goal, as always, is that once it's built or before it's built, we're continuing to have conversations about where is the next project coming online to continue making the sport sustainable into the future.
"We know that facilities down south are needed, and so we've not stopped that conversation with the government and with community about the fact that you know the Woden corridor needs an indoor stadium for the community sports.
"So that's the next project, along with Gungahlin, and then obviously making sure that the Tuggeranong facility is up to standard as well."
That pressure won't be easing for a few years though.
While the ACT government didn't have a timeframe for the development, Bowles hoped it would be finished by about 2030.
"If it could come online in the next four to five years, that's what we're planning to," Bowles said.
"Anything forward of that is incredible to have online."
Basketball ACT considered selling the land at one point because it had paid $600,000 in rates on a vacant lot next door to the Belconnen stadium.
Part of the planning process will be to minimise the disruption to availability of the existing courts when the extension is embedded into the existing structure.
Steel recognised the need for more indoor facilities in Canberra's south.
"When you make an investment of this size, you want to guarantee that the facilities will be well used," he said.
"I think we can guarantee that in basketball because it's a game that is played day and night, and throughout the year in two seasons.
"But also we're seeing growing take-up of this sport throughout Canberra.
"There is further planning work that's also going on on the southside, and we'll be consulting the community down there over the next month about the community and recreational facilities that they need as the population continues to grow.
"There will need to be an investment made through multiple budgets and supporting more facilities, and we've heard clearly from the Canberra community that they want to see more indoor recreational facilities."
The cost of a long-awaited development project in a north Canberra suburb has been revealed in the ACT's next budget.
After 15 years trying to get government funding, dealing with packed courts from morning till night every weekend, Belconnen Basketball Stadium has been greenlit for a "game-changing" redevelopment.
The $37.5 million project will see the number of indoor courts increased from four to seven, including a convertible show court, with the improved facilities to accommodate the rapidly growing sport in the capital and attract visitors to the ACT.
The convertible show court will have retractable seating for up to 1800 spectators, enabling Canberra to host higher-level competitions.
Additional change rooms and toilet facilities for players, officials, and spectators, increased car parking and installation of solar panels and batteries will also be included in the 2026-27 budget funding.
Basketball ACT signed a heads of agreement with the ACT government for the multimillion-dollar project in April 2025.
The project to involve the site's vacant block of land next door to the current Belconnen Stadium was promised in the 2024 election.
The same year the ACT government had to walk away from the ill-fated $29 million Home of Football in Throsby, after Capital Football was unable to commit to its funding commitment of $4.5 million.
The Canberra Times revealed in 2023 Basketball ACT had spent almost $600,000 in rates, prompting them to consider selling the land, and bringing its stadium issue to the spotlight again.
The project being given the go-ahead is a big win for Canberra sport with the availability and condition of facilities causing a strain on almost every code, including basketball.
An ACT government spokesperson said basketball was one of Canberra's most popular and fastest-growing sports with more than 14,000 registered participants across the Territory.
"However, the surge in interest has made it challenging for social and competitive teams to find courts for games and training," the spokesperson said.
"The right infrastructure is essential to develop the next great local talent to follow in the footsteps of the likes of Patty Mills and Lauren Jackson. The expanded facility will also create more opportunities for people to stay active."
Basketball ACT chief executive Nicole Bowles said it had been a long-term ambition to develop and extend Belconnen Basketball Stadium.
"This announcement from the ACT government is truly game-changing and will help address the ongoing demand of basketball in the ACT," she said.
"We are thrilled to be able to provide a modern home for the ACT basketball community where we can continue to grow. Our success as a sport and community relies on facilities and sets up for future success.
"I would like to acknowledge the contribution and work of many from the basketball community who have advocated, supported, and developed facility and business models for investment into increasing the footprint at Belconnen."
Planning work on the Belconnen Basketball Stadium redevelopment will continue in the second half of this year, with construction timelines to be confirmed as the project progresses through planning and procurement.
Treasurer Chris Steel said the government had seen basketball become increasingly popular in Canberra and the new stadium is expected to attract visitors to the capital too.
"Through this major expansion, we will see a 75 per cent increase in the number of courts, allowing greater access for current players as well as encouraging more people to take up the sport," he said.
"The new show court will also give Canberra the opportunity to host major tournaments and bring visitors to Canberra."
