"The site at the former Castlederg PSNI Station, 5 Castlefin Road, Castlederg was trawled through the Public Sector Surplus Land Trawl on March 24, 2022. The Housing Executive expressed an interest to develop the site for social housing.
"Apex Housing Association were subsequently nominated to progress the site and are currently in the process of carrying out their own feasibility studies. Derry City & Strabane District Council have expressed an interest in a potential collaborative approach with Apex Housing for a housing led regeneration plan for the site," said the minister.
She was responding to a recent Assembly Question tabled by the West Tyrone MLA Maolíosa McHugh.
Ms. Hargey said meetings are planned to further examine the possibilities.
"Apex are keen to explore this opportunity further and are in the process of arranging meetings with DC&SD Council to discuss the potential for a joint approach.
"Within the context of the Community Plan the Housing Executive is also working with DC&SD Council to look at options for the redevelopment of the site, this will include the provision of social/affordable housing," said Ms. Hargey.