An increasing pressure is found on public sector organisations both to be efficient and innovative. Recently ambidexterity has found its ground in the public sector showing significant impact on firm performance. Combined with the increasing pressure from society for conducting sustainable business, we aimed at investigating how structural ambidexterity in regard to sustainability relates to sustainability performance, and how this relationship is moderated by centralisation and connectedness. A quantitative method has been used where the Swedish municipal housing organisations were surveyed. 141 different municipal housing organisations participated in the survey. A content analysis was also done with the help of the TBL to measure the organisations sustainability performance. The results from the dissertation showed that ambidextrous sustainability leads to sustainability performance. No moderating effect from centralisation and connectedness was found on the relationship between ambidextrous sustainability and sustainability performance. This dissertation sets the ground for a new concept of ambidextrous sustainability. Furthermore, contributing to strategic public management as well as further expanding on the stakeholder approach and the moderating effect of stakeholders. The dissertation also contributes methodologically by measuring sustainability performance with the TBL through a content analysis as well as how to measure ambidextrous sustainability.