Regional Developers Update | Local Government Updates

Welcome to the Local Government Updates from UDIA NSW.

The UDIA releases monthly regional developer updates for the Western Sydney, Hunter & Central Coast, and Illawarra & Shoalhaven regions. The regional developers update is a must read for developers in the regions providing key policy and market insights.

Next month we will launch a new Western Sydney Developers’ Update (Newsletter).

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Western Sydney

  • The draft Wollondilly Contributions Plan is on exhibition until 5 February.
  • Read here

  • Amendments to CP No. 15 Box Hill Precinct Amendment ‘B’ are on exhibition until 7 February.
  • Read here.

  • Masterplan for Castle Hill Showground is on exhibition until 14 February.
  • Read here

  • Penrith City Council will explore how to tackle Sydney’s urban heat dilemma by bringing key stakeholders and leading professionals together in a Cooling the City Masterclass on 18 February.
  • Book here.

  • Riverstone Town Centre Planning Proposal is on exhibition until 21 February.
  • Read here.

  • Amendments to Campbelltown (Sustainable City) DCP are on exhibition until 21 February.
  • Read here.

  • Liverpool City Council’s Social Impact Assessment Policy is on exhibition until 29 February.
  • Read here.

Hunter & Central Coast

  • Newcastle Draft Western Corridor Contributions Plan (s7.11) is on exhibition until 31 January.
  • Read here.

  • Lake Macquarie Draft Housing Strategy is currently on exhibition until 3 February.
  • Read here.

  • Cessnock Draft LSPS exhibition period has been extended to 28 February and dwelling entitlement commitments have been removed from consideration.
  • Read here.

  • Newcastle Draft LSPS is expected to be exhibited from 10 February until 9 March.
  • Port Stephens Draft LSPS and Draft Housing Strategy are expected to be exhibited together starting 20 February, subject to approval at the February council meeting.
  • Maitland Draft LSPS is expected in April.

Illawarra & Shoalhaven

  • Shoalhaven City Council has extended the exhibition of the planning proposal for the Planning Proposal – Ulladulla CBD (Southern Part) Building Height and Zoning Amendment (PP030) until 28 February.
  • Shellharbour City Council’s Open Space and Recreations Needs Study and Strategy are on exhibition until 26 February.
  • Read here.

  • Shoalhaven City Council Coastal Management Plan – Stage 1 Scoping Study is on exhibition until 14 February.
  • Read here.

  • Shoalhaven City Council is seeking early input on the Vision, Planning Priorities and Actions for their Shoalhaven Local Strategic Planning Statement (the LSPS itself is expected to be exhibited later this year). You can complete the survey from 3 February until 13 March.

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Five-year housing forecasts announced in unfavourable conditions

Friday 24 January 2020 (Sydney, Australia) – The newly released Department of Planning, Industry and Environment (DPIE) five-year housing forecasts for Greater Sydney were announced amid the lowest development approvals rates since 2013.

The new housing projections are forecasting an 8 per cent increase in dwellings over the next five years to 2023/24, bringing the total number of new dwellings to 191,050. In a period of falling completions and plummeting approval rates, the industry will struggle to continue the trajectory of the previous five years.

“Historically strong supply can’t be sustained in an environment of declining housing approvals,” said chief executive of the Urban Development Institute of Australia (UDIA) NSW, Steve Mann.

“There are considerable hurdles restricting our ability to meet these forecasts, including increased levies and charges, and stalling investment. It makes the likelihood of meeting the Department’s 2023 commitments very challenging.”

Approvals in the year to November 2019 were down 41 per cent off the peak, to 34,765 dwellings in Greater Sydney. The industry will require significant support from government to meet these forecasts.

“There needs to be serious policy changes in order to meet these targets. The uncertainty around infrastructure contributions will be a huge barrier throughout 2020 if it is not resolved.”

The contributions required under s7.11 (formerly s.94), were capped for ten years in order to provide economic stimulation across the industry after the last downturn. The impending removal of this cap on 1 July 2020 is making industry wary about future forecasts.

UDIA NSW is also concerned that these forecasts fall short of the Greater Sydney Commission (GSC) targets for the South District and Western City.

“If the 2019-2024 rates of housing supply were to continue to 2036, the South District would be 6,160 under the GSC dwellings target and the Western City will fall 3,000 dwellings short of the GSC target,” said Mr Mann.

“Western Sydney is our future, but it won’t grow overnight. We need to put better measures in place now to accommodate our future population growth.”

– ENDS –

Media Contact: Mia Kwok 0435 361 697

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Developers fight Newcastle council’s effort to increase subdivision payments

Originally published in The Newcastle Herald, 13 December 2019.

The property industry has criticised City of Newcastle’s push to more than double developer contributions in the city’s western corridor.

Councillors voted on Tuesday to place on public exhibition a contributions plan for housing developments at Minmi and Fletcher which would raise the contributions from $13,646.75 to $30,274.30 per block.

The council also voted to ask the Planning Minister to increase a $20,000 cap on contributions to $30,000. The government introduced the cap in 2012 to stimulate development and improve housing affordability.

The contributions would pay for $92 million in road and community infrastructure projects to support the addition of 3132 homes in the western corridor.

The new policy would replace a 2014 contributions plan which identified $37.95 million in required infrastructure spending for the same number of dwellings.

The chairman of the Hunter chapter of the Urban Development Institute of Australia, Geoff Rock, said the council’s move to more than double the contributions was a “surprise” in light of the 2014 plan.

“The fact it could more than double overnight is a concern,” he said.

Continue reading at The Newcastle Herald.