GLADSTONE Regional Council has decided to keep its options open regarding a prime parcel of land near Agnes Water main beach.

The 7150sqm block next to Tom Jeffery Park is owned by council who leases it to Beachouses Body Corporate.

However, Beachouses' existing 21-year lease is due to expire on June 30. The GRC officer's recommendation is to advise it will enter a new three-year lease over the lot so council can undertake a strategic review of the land to identify its future use.

The land was created as part of the subdivision to create Beachouses and was transferred to council as freehold land to be held in trust for the purpose of beach protection.

Beachouses' residents have exclusive use of the lot as it is fenced off from the general public, but new arrangements could open the land to the public.

Gladstone Region councillor Kahn Goodluck said he was happy to support the officer's recommendation of a three-year lease as it kept options open for the growing Agnes Water community.

"We've got issues in Agnes around beach access and future growth," he said.

"It's our biggest tourism beach, and there's no guarantee we're going to opt to take that land and do something with it, but it's prudent for us to do an assessment and have a strategic look as to whether we can incorporate that land back into council's assets and make it available for the general public."

There is scope for the land to be used as an extension to Tom Jeffery Park, which was recently upgraded to the tune of $1.2m with $981,000 coming via Works For Queensland funding.

"We've got to look at the costs associated with that," Cr Goodluck said. "Our staff will bring back a report to look at all the costs and different options so we can make a comprehensive decision with what we want to do with that land for future generations."