Credit: Kate Trysh via Unsplash
Transport for NSW (TfNSW) is seeking an out-of-home operator to run and manage 96 roadside advertising assets across metro and regional NSW, in a deal that places heavy emphasis on converting static billboards into digital screens, AdNews can reveal.
The portfolio includes 62 static billboards and 34 digital sites.
TfNSW is offering the successful supplier the chance to upgrade static panels into digital formats over the life of the contract, with longer operating terms attached to converted assets.
The Request for Proposal outlines a model focused on revenue growth, infrastructure investment and ongoing redevelopment of roadside advertising assets.
TfNSW has structured the terms so that longer tenure is tied to capital investment.
Contract length will vary depending on asset type and whether upgrades occur.
Digital billboards will be awarded five-year terms with a two-year extension option and static sites will carry shorter three-year terms, also with a two-year extension.
However, if a static billboard is converted to digital, the contract extends to seven years, plus a further two-year option.
In practice, this gives operators a clear financial incentive to fund planning, approvals and construction required to shift older roadside assets into digital formats.
The winning supplier will take on full operational responsibility for the 96-site portfolio, from planning approvals through to maintenance and advertising sales.
That includes securing development approvals from the Department of Planning and Environment for upgrades, designing and building new digital billboard infrastructure, and ensuring all sites meet safety, planning and advertising compliance standards.
The operator will also be required to report performance data to TfNSW, deliver annual growth in advertising revenue, and propose changes to how the network is marketed and operated.
TfNSW says it wants the assets positioned as premium out-of-home inventory in the Australian market, signalling an expectation that the portfolio will be actively developed rather than simply maintained.
The tender also includes mandatory requirements covering Aboriginal procurement policy commitments, compliance with NSW Government shorter payment terms, and participation by small and medium enterprises.
The successful bidder will need to provide quarterly reporting on these obligations across the life of the contract.
TfNSW also expects bidders to show how they will improve sustainability outcomes in both infrastructure delivery and ongoing advertising operations, although the document does not define specific environmental targets.
The tender is part of TfNSW’s broader approach of splitting roadside advertising into separate portfolios rather than awarding statewide control of all billboard assets to a single supplier.
That structure means multiple out-of-home operators typically compete for different packages of assets across NSW, with contracts awarded on a portfolio-by-portfolio basis depending on capability, price and proposed investment.
The outcome of the process will determine who operates this specific 96-site roadside network, including whether existing inventory is upgraded into a more digitally focused format over the coming contract period.
The tender closes on July 8 with TfNSW expecting to finalise its decision by Q4 2026.
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