A car wrecks outside the town of Grantham in South East Queensland, Australia, Wednesday, Jan. 12, 2011. The small town was hit by flash flooding causing mass destruction. Deadly floodwaters that have cut a swath across northeastern Australia flowed onto the streets of Brisbane, the nation’s third-largest city, forcing people to flee suburbs and skyscrapers. (AP Photo)

AAP

Most residents of the flood devastated Queensland town of Grantham will move to higher ground under a land swap plan.

About 70 to 80 per cent of residents are expected to move to a new 378 hectare site the Lockyer Valley Council has acquired for the purpose.

Residents will be able to swap their flood prone properties for parcels of land on higher ground.

Mayor Steve Jones told journalists of the plan in Grantham on Thursday. The new site is adjacent to the existing township, but outside the flood zone.

He said the council would invest $30 million to $40 million to develop the site over a number of years under a new community master plan.

Earlier, Mr Jones told the Brisbane Times he expected 70 to 80 per cent of the town’s residents to move.

“Those people whose buildings weren’t really damaged will probably stay,” he said.

“What we’re doing is we’re actually building a master-planned community on the hill there so there will be blocks for sale to the public as well.”

The mayor hopes the new community plan will also attract new residents.