Defence Estates and the Homes & Communities Agency have asked for bids from developers for 148ha of land outside Aldershot where they want to see 4,500 homes, community facilities, schools, local centres and leisure facilities.
The land has been released as part of the strategic defence review and developers will have to take account of heritage features and listed buildings.
"The Council welcomes the opportunity that the Aldershot urban extension brings to create a vibrant, pleasant and sustainable place to live," said Rushmoor Borough Council leader Peter Moyle.
"I believe it will be a major asset to the local community and help stimulate continued economic growth and regeneration."
The Council has adopted a supplementary planning document built on the basis of an enquiry by design process in 2005.
Developers must submit their interest to the HCA by 15 April.
