NSW - New Medium Density Housing codes

Discussion in 'Development' started by property_geek, 18th Apr, 2018.

Join Australia's most dynamic and respected property investment community
Tags:
  1. property_geek

    property_geek Well-Known Member

    Joined:
    31st Jul, 2015
    Posts:
    239
    Location:
    Australia
    There have been lots of noise in media about new housing codes to be introduced from 6 July, 2018

    As far I understand the only advantage is, this will speed-up approval process from current 71 days via DA to 21 days via CDC.

    New codes won't override any rules set in LEP. This means there is nothing that can be achieved via CDC(from 6 april 2018) that can not be achieved via council (DA) .

    So, in a nutshell it will save a developer 50 days worth of holding cost of existing property. That's pretty much it.

    Is my understanding correct?
     
  2. The_Billy

    The_Billy Well-Known Member

    Joined:
    19th Mar, 2018
    Posts:
    154
    Location:
    Sydney
    property_geek likes this.
  3. Rowan

    Rowan Well-Known Member

    Joined:
    14th Nov, 2016
    Posts:
    93
    Location:
    Sydney
    I'm not an expert but it's a bit more extensive that that

    - the minimum lot size if not specified in the LEP of the Council, you can refer to the minimum in the CDC which is quite generous
    - Frontage requirements override the LEP (which is what the article referenced above is referring to when it comes to benefiting narrow blocks)
    - different requirements for duplexes, terraces, manor houses etc. is very useful

    As to the benefits of avoiding a DA, I'd imagine it's a lot more than processing time difference between lodging a CDC vs DA. The amount of people and time to engage with for a DA e.g. Architects, Town Planners, Builders etc. also adds to the cost savings. Keen to hear someone who's been through both a CDC and DA to comment on this cost saving.
     
    property_geek likes this.
  4. Something_Wrong

    Something_Wrong Well-Known Member

    Joined:
    19th Jun, 2015
    Posts:
    358
    Location:
    Sydney
    Speaking to my architect this will be a bit of a game changer for my local area (Ryde NSW) currently if your block is less than 20mtr frontage you cannot build a duplex.

    Once this legislation passes you can build a Duplex on frontage from 15m as long as it is a CDC development and Ryde Council cannot do anything about it. Will change the area mostly for the worse as more duplex's will add to pressures on the Waste Systems and roads.
     
    property_geek likes this.
  5. Loverenting

    Loverenting Well-Known Member

    Joined:
    16th Nov, 2016
    Posts:
    159
    Location:
    Sydney
    My understanding is that local councils still have control over lot sizes qualifying for dual occupancy but not frontage requirements. Though it's interesting to see if councils start taking reviews to bring their prerogative DA requirements closer to CDC.
     
  6. Anthony416

    Anthony416 Well-Known Member

    Joined:
    14th Dec, 2015
    Posts:
    538
    Location:
    Sydney
    I think most of the information here is correct however it is a comprehensive document and the devil is in the detail...unlike the allowance for Secondary Dwellings in the current SEPP (which may allow them even if the LEP prohibits them) for Dual Occs, Manors and Terraces, they must be permitted in zone to take advantage of the new legislation.
    The current LEPs do not have a definition for Manors and are to be amended to include the definition.
     
  7. gach2

    gach2 Well-Known Member

    Joined:
    29th Jun, 2015
    Posts:
    1,922
    Location:
    sydney
    Spent the last week studying the new proposed SEPP, still going into finer details

    Some positives are most design controls in the SEPP can overide council (width, setbacks, floor space ratio etc).

    Another positive is that these rules will be standard over NSW and having a dual occ approved in 10-14 days is amazing. Most Sydney councils take around 6 months. My first project with Holyroyd council took 2 years and i vowed I was never going to take on any projects there though thanks to the SEPP i will look back into it.

    I was a bit confused with whats allowable and whats not. The SEPP seems to be that council LEP will set the minimum land size for the site to be allowed for that type of development but where not specified to use what the SEPP min land size is mentioned. So my understanding of that was if the development is not acceptable in the LEP it would now be acceptable under the SEPP and to use the lot size provided in SEPP as minimum.

    Though the design guide says the type of development must be permissible by the LEP

    Havent properly interpreted the subdivision section but on face value do see a bit of positives
     
  8. Rowan

    Rowan Well-Known Member

    Joined:
    14th Nov, 2016
    Posts:
    93
    Location:
    Sydney
    Hi Gach,

    Not sure if this answers your question but for Dual Occupancies, if it is not acceptable based on lot size in the LEP then it will also not be acceptable based on lot size in the SEPP as you must use the greater lot size requirement of the two.

    I've had a read of the subdivision section. It sounds like a torrens subdivision of a dual occupancy is granted as long as the dual occupancy is built as part of the SEPP provided it meats the additional requirements such as being 60% of the minimum subdivision lot size specified in the LEP. For example in Lane Cove, the minimum lot size is 550m2 which means you need a minimum lot size 1100m2 for a subdivision. However if you build a dual occupancy using the SEPP, it is possible to subdivide provided it is 60% of 1100m2 = 660m2 which is a major benefit. Is my interpretation more or less correct?
     
  9. gach2

    gach2 Well-Known Member

    Joined:
    29th Jun, 2015
    Posts:
    1,922
    Location:
    sydney
    Sorry Rowan
    Did read the documents again and saw the clause that mentioned it must be permissible in that zone on the lep.

    For subdivision you seem to be right. Only argument would be where the LEP states minimum lot size for dual occupancy is less than the minimum lot size for that address. Eg minimum lot size is 450m2 but for dual occupancies min lot of each lot is 250m2. Could it be argued that its 60% of 250m2 which is 150m2 which according to SEPP make 200m2 (must be over) the minimum lot size?

    Subdivision rule seems to have positives in Blacktown council. Current only dual occs on 600m2 corner blocks with each facing different streets and on 300m2 may be subdivided. Under SEPP R2 zoned may have subdivided duplexs on 540m2 blocks (500m2 for attached dual occupancies and 450m2 min lot size). Also Penrith council have many dual occupancies on strata titles but soon would be allowed under torrens under SEPP. Plus private open space seem to be quiet ok on SEPP unlike what most councils state.