Updated | Government calls off compulsory acquisition of homes for Jannali commuter car park

Residents have won the battle to stop the compulsory acquisition of homes at Jannali for a commuter car park.

Transport for NSW called property owners this morning to say the acquisition notices were being withdrawn.

Sutherland Shire mayor Steve Simpson said residents were overjoyed.

"I went down there as soon as I heard, and they were out in the street celebrating, as they deserve to do," he said.

Cr Simpson said the council had not yet received any advice from the government.

Miranda MP Eleni Petinos confirmed Transport Minister Andrew Constance had agreed to cancel the home acquisitions in favour of an integrated development, including a commuter car park, on the council-owned car park behind the Jannali shopping centre.

"Minister Constance approved the change of location, the termination of the home acquisitions and directed Transport for NSW to finalise this process with the impacted residents," Ms Petinos said.

"I acknowledge that impacted residents have been through a lot.

"We only wanted to deliver a good outcome for all the residents of Jannali.

"Transport for NSW staff have contacted affected residents today about the next step in this process and will continue to support them in the weeks ahead.'

More to come