A convict-era site where "uncontrollable" young women were sent to be reformed has been formally recognised as one of Australia's most significant heritage places.

Western Sydney's Parramatta Female Factory precinct has been added to the national heritage list – a decision that may prove a thorn in the side of the NSW government's property development arm, which wants to build 30-storey apartment blocks near the site.

Heritage campaigners (from left) Noela Vranich, Beth Mathews, Gay Hendriksen, Kerima-Gai Topp and Judith Dunn have long fought for the female factory precinct to be preserved. Credit:Geoff Jones

Environment Minister Josh Frydenberg on Tuesday said the listing would "allow the Australian community to stand witness to the lives and experiences of women and children who lived there".

The Female Factory precinct occupies a largely neglected, inaccessible three-hectare site next to the Parramatta CBD.