CSR Limited announced today that it has entered into an agreement to sell its 535 lot residential development site at Brendale, north of Brisbane, to Defence Housing Australia (DHA).

The project has been sold on deferred settlement terms with CSR receiving the proceeds in stages, commencing this financial year and concluding by August 2013.

"We are pleased to complete this transaction in line with our previous advice to the market," said Rob Sindel, managing director of CSR.

"The transaction is another good example of our strategy in our Property division to reduce project risk and monetise our property portfolio to maximise value," he said.

The Brendale site was a former quarry which DHA intends to re-develop for housing.

CSR owns an adjacent 54 hectares of industrial land at Brendale which is currently being developed.