A flow-on effect from the NSW Government’s transport-oriented housing manifesto has led to a number of Sydney councils arguing that they should be excluded from new zoning rules around commercial hubs which will increase housing numbers in their LGA.

The Department of Planning, Homes and Infrastructure says it is working alongside these councils to determine capacity options around each of its town centres, indicating that not all will be exempt from development. 

The new density rules set by the state government now allow multi-residential precincts in close proximity to railway stations and within 800 metres of any E2 commercial centre-zoned land, as well as E1 local centre and MU1 mixed-use land, providing there are is a “wide range of goods and services”. It is not yet confirmed as to whether suburbs with smaller supermarkets qualify.

As a result, places like Randwick’s Maroubra Junction, the Hills’ North Rocks and the suburb of Mosman qualify under the rules despite not being in close proximity to railway stations. While Randwick Council is asking for its E1 zones to be excluded, it anticipates that its 2041 housing targets could be doubled under the new reforms if they were forced to comply.

Canada Bay Council says it hopes the state government will exclude its E1 centres from the new reform, believing them to be unsuitable for increased density. Its submission says that “Permitting four-to-six-storey apartment buildings, either within these small neighbourhood centres or within the vicinity of these centres, is inconsistent with the existing and desired future character of these places.”

Sutherland Shire Council has 51 locations it wants excluded from the new reform. It cites Bangor as a “problematic” suburb that has struggled as a low density-zoned suburb with a shopping mall on Menai Road.

Submissions have now closed as the government looks forward to delivering the state budget, which will no doubt provide funds to deliver an anticipated 110,000 new homes by 2030.