Premier Nathan Rees and Blacktown mayor Charlie Lowles were at Nurragingy Reserve on Friday to announce council will enter a 50-year lease with the State Government.

The keenly awaited agreement includes a further 25-year lease option.

The 90-hectare Doonside reserve is owned by the Department of Planning.

The council's 20-year lease ended in 2007 and it has been negotiating with the State Government to have Nurragingy Reserve transferred into its long-term control for the past decade.

The news means families can enjoy free use of Nurragingy Reserve for generations to come.

``I was dreading the day someone would put up gates and start charging people to use the reserve,'' Mr Lowles said.

``The park belongs to Blacktown, so this is a great result.

``We can fulfil our dreams of what we want to do with the reserve and go ahead with our plans.

``It's been hard until now because we didn't know what the future held.''

Mr Rees described Nurragingy Reserve as western Sydney's jewel in the crown.

``Ultimately, this will be one of the very special places of western Sydney,'' he said.

The council will receive a $3 million grant and an extra $2 million for maintenance costs.

Funds will be spent to improve picnic facilities, roadworks and access to the reserve.

The lease means the council will soon start work on a Chinese garden in conjunction with the council's sister city Liaocheng in the Shandong Province. ``The gardens will be designed by the Chinese for the Chinese,'' Mr Lowles said.

``They have a deep affiliation with nature and serenity.''