ACT Minister for Planning and Sustainable Development, Chris Steel, announced the approval of Major Plan Amendment 04 to the Territory Plan, paving the way for more “missing middle” housing developments in existing residential areas.
The reforms are designed to allow more multi-occupancy housing, town houses, terraces, and low-rise apartments to be built across Canberra.
The reforms apply to Suburban (RZ1) and Suburban Core (RZ2) residential zones, which make up the majority of residential blocks in the ACT.
Under the changes, height limits on RZ1 blocks will remain at two storeys plus an attic, while missing middle developments of up to three storeys plus an attic will be permitted in RZ2 areas, typically located closer to shopping centres and amenities.
Subdivision and block consolidation will also be permitted in both zones.
“For too long, the planning system has effectively prevented building anything in-between high-rise apartments or a freestanding house on most blocks in Canberra,” Steel said.
“These reforms address a major gap in Canberra’s housing stock, and will enable more homes, and housing choice for Canberrans.”
The government said the reforms would play a key role in supporting its target of enabling 30,000 new homes by 2030, while encouraging housing supply in established suburbs connected to services and infrastructure.
The Property Council of Australia welcomed the approval, with Property Council ACT executive director Ashlee Berry calling the move “encouraging”.
“This is about restoring balance to Canberra’s housing system. For too long, the planning rules have forced a choice between a freestanding house or a large apartment, with very little in between,” she said.
“When the settings are workable, these are exactly the projects that our local industry wants to deliver. That’s good for supply, good for local jobs, and good for competition.
“These reforms will also help to expand options for young people and key workers trying to enter the market, growing families and older Canberrans looking to rightsize while staying in or close to their community.”
The ACT government is not the only government looking to open up “missing middle” housing developments in residential areas. Earlier this year, the Western Australian government broadened the scope of its stamp duty concession scheme to eligible apartments, town houses, villas, units, duplexes, or triplexes.
“Enabling the missing middle will restore balance and will unlock the supply of low-rise homes that will fit gently into Canberra’s existing streets and neighbourhoods,” Steel added.
“Whether you are a first home buyer looking to break into the market, a growing family needing more space, or an older Canberran wanting to age in the community that you love, these changes will provide more choice at every stage of life.”
[Related: WA unveils $250m guarantee to unlock housing supply]
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