Image: Tom Rumble via Unsplash
The NSW government has announced plans to launch a fast-track housing process early next year, called the Housing Delivery Authority, to approve large development proposals without requiring approval from local councils.
The Housing Delivery Authority will be a new state-led approval pathway that aims aims to streamline the approval process for major residential projects, cutting approval times and accelerating new housing delivery by removing the need for council approval.
About The Housing Delivery Authority
The Housing Delivery Authority will operate independently within the Department of Planning, Housing and Infrastructure (DPHI). Their mandate to fast-track major development projects across the state will include significant authority to review projects valued at over $60 million (typically 100 or more homes) in Greater Sydney and a cost of approximately $30 million (typically 40 or more homes) in regional NSW.
The HDA will include the Secretary of the Premier’s Department Simon Draper, the Secretary of the Department of Planning Kiersten Fishburn and the Chief Executive Officer of Infrastructure NSW, Tom Gellibrand.
Premier Chris Minns acknowledged the significant proposed reforms, declaring that the severity of the housing crisis required immediate action.
“For over a decade in NSW, governments have made it harder to build the homes we need, not easier – but this cannot continue if we want to be a city that young people can afford to live in,” Minns said.
“NSW needs significant new housing supply near existing infrastructure but at the same time too many well-located areas in Sydney have put too many barriers up for too long,” Minns said.
Rental Prices Remain High
This push for housing reform comes at a time when rental prices remain high across the state. According to data from Rent.com.au, the median weekly rent for apartments in Sydney in October was $700, while houses averaged $860 per week. The cost per room was $375.
In comparison, the median rent for apartments in Melbourne was significantly lower at $550 per week, with houses averaging $600 per week. Brisbane’s rental market showed similar trends, with apartments at a median of $600 per week and houses at $635 per week.
Additionally, in Sydney annual apartment rents increased by $50, reflecting a broader trend seen in other major cities such as Adelaide and Melbourne.
With Housing Delivery Authority, govt projects +172k Greater Sydney homes by 2029
According to the NSW Government, Greater Sydney’s housing supply is projected to increase by 172,900 homes over the six years leading up to 2028–29, averaging an additional 28,800 dwellings per year.
This forecast, based on data as of December 2023, is updated annually to account for new planning reforms and provides a baseline estimate for future housing growth.
Under the new fast-track housing pathway, the Minister for Planning and Public Spaces will continue to be the consent authority for projects.
Housing has been the largest cost-of-living pressure and there is currently a disconnect between the state’s housing needs and the current planning system’s ability to deliver.
Under this pathway, projects will be selected through an expression of interest (EOI) process with set criteria and assessed on merit, allowing for flexibility in planning controls and zoning changes needed for development applications.
These reforms will reduce the burden on councils by limiting the number of large, complex development applications they must assess each year, allowing them to focus on smaller projects.
Key initiatives of the rezoning process
The measures build on a series of transformative reforms aimed at simplifying the planning system and boosting housing supply. Some key initiatives include:
- The largest ever rezoning in NSW history
- $450 million to build new apartments for essential workers including nurses, paramedics, teachers, allied health care workers, police officers and firefighters.
- A land audit of vacant government owned land that will unlock 30,000 homes including 8,400 public homes built by the government.
Minister for Planning and Public Spaces Paul Scully said, “These latest reforms mean the State is taking control of major housing projects so that they have the attention they deserve and get through the assessment process much faster.”
“The NSW Government will do whatever it takes to build a better future for NSW so young people, families and workers have somewhere to live,” Minister Scully added.
The housing reform is set to take effect in early 2025 following a brief consultation with stakeholders.
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