2nd May 2025

In this Edition...

1. Election Campaign – Housing Supply dominates the agenda

Stop Press - NIMBY forces summonsed to Griffith

2. Latest Declarations from the Housing Delivery Authority

3. Paramatta Road - The open sewer for Sydney's traffic

...and much, much more.

4. Good news for developers from the L&E Court
5.  62-Storey Development Near a Hospital - a Smart Move to Address Housing Crisis
6. Council watch - Wollondilly Council
7. New South Wales Economy Lagging behind
8. $139M Industrial Estate Approved for Western Sydney Aerotropolis
9. Insightful Market Update with REA Economist, Angus Moore
10. Urban Taskforce in the news
11. Quotes of the election campaign
12. Urban Taskforce Women in property breakfast
13. Members in the news

1.Election Campaign – Housing Supply dominates the agenda

The course of the campaign has seen the scope of election outcome predictions shift from a Coalition minority government vs a Labor minority government, to now be between a Labor minority and a Labor majority.

For matters of concern to the Urban Taskforce and our members, both parties seem to have realised that the Commonwealth has a big role to play on housing and both have made significant commitments to housing related infrastructure.  The Coalition was first off the mark with a $5 billion commitment – but Albanese has more than matched this through the course of the campaign. 

The cutbacks in immigration and besmirching of full fee-paying international students was poor from both sides.  But this attack has been loudest from the Coalition, and it appears to have not gone down well in a number of migrant communities in urban marginal seats.

Both major parties made substantial campaign launch election promises valued at $10 billion-plus to support first home buyers. 

Prime Minister Albanese and Housing Minister O’Neil were more explicitly focussed on housing supply – which won more support from the commentariat, though their policy promises had a bias towards social housing and not the bigger picture problem with housing costs and supply more generally. 

Opposition leader Peter Dutton and Shadow Treasurer Angus Taylor relied on tax deductions for interest rate payments on mortgages for first home buyers.  But from the day of the announcement, it seemed that a longer lead time was needed to land this policy with first home buyers.  It seems that it was just too complicated for millennials and did not translate well to TikTok.

Allowing first home buying Australians to access their own Super has also proven largely unpopular, despite the best efforts of the Opposition’s spokesperson on home ownership, Andrew Bragg.

Labor’s Help to Buy scheme was made more relevant with big adjustments to both the house price thresholds and the income thresholds, but economists panned the idea as demand side stimulus which will push up home prices for the many while assisting only a few.

Nonetheless, assisting new home buyers does support the feasibility of housing projects and could well stimulate additional supply.

The election campaign saw billions of dollars committed from both sides of politics.  The task now, no matter the outcome tomorrow, is to hold the politicians to account.  The housing supply numbers are key, and housing development feasibility remains a massive concern. The Urban Taskforce is more determined than ever to make sure the new Federal Government takes real action to implement its promises and take further steps to drive housing supply and affordability forward.

This week, lots of noise...

Next week...

 NIMBY forces summonsed to Griffith

The latest opinion polls have revealed a last minute scare for the champion of the NIMBY community in the seat of Griffith but Captain NIMBY has responded to the clarion call from their leader and headed to Brisbane to save the day.

All eyes will be on the outcome in Brisbane as voters consider the relative merits of improving housing supply, affordability, the availability of housing for essential workers and family members against the pious virtue signalling economy killing prescriptions of the Green incumbent, Max Chandler-Mather.

The power of self-interest is strong in the inner south of Brisbane so Max is a good chance of holding on with the betting odds siding with him at this late stage.

2. Latest HDA declarations from Planning Minister Paul Scully

Paul Scully, this week, formally declared eight more HDA applications as state significant.

If approved, then delivered, these newly declared projects will bring 2,400 new homes to NSW, taking the tally of proposals that have been declared state significant through the HDA process up to 86, amounting to over 34,500 potential new homes.

With the Easter and ANZAC day break falling between the last HDA meeting and the Ministerial Declaration, it is not a big surprise that the number of EOIs declared State Significant dropped off – but there are plenty more applications in the pipeline and an ongoing need for this important pathway, so we will be looking for a return to previous efficiency levels asap.

The big challenge now for Kiersten Fishburn, David Gainsford and the HDA team will be gearing up their own resources to undertake the massive task of assessment and determination of these projects once the detailed DAs start rolling in.

With fortnightly HDA meetings still taking place and a higher-than-expected influx of expression of interest applications from the private sector, the HDA pathway has become a cause for cautious optimism for development proponents and those looking for a home to live in.  For the first time in a long time, many of our members can see some hope of these high-dwelling-yield projects being approved.

That said, even those projects in the State Significant Development assessment pathway will not secure planning approvals until mid-2026, at the very earliest.  And none of them will be built unless the problems with project feasibility are overcome.  That means Governments at all levels reducing fees, taxes and charges, reducing building, design and planning regulation, as well as supporting local and state infrastructure with funding (and removing the burden from new property buyers by lowering infrastructure charges).

3. Paramatta Road: The open sewer for Sydney's traffic

Parramatta Road in its heyday, circa 1980. Source: Martay Bitun via Facebook

Urban Taskforce Chief Executive, Tom Forrest spoke with the Daily Telegraph on the need for significant increases in height and density along Parramatta Road to make redevelopment and restoration possible.

It was good to see an apparent shift in mood from the Canada Bay Council Mayor, Michael Megna’s, and his new focus on the renewal of Parramatta Road corridor to deliver housing. With Planning Minister Paul Scully apparently on board, perhaps there is some hope for renewal.

We need to ensure that the uplift is significant enough to pay for the purchaser of the land, buy out the existing businesses (which often have a turnover much larger than is immediately apparent) and build new businesses and housing to meet all the modern rules of planning, design and building codes.

For example, for a pub, the loss of revenue must be taken into account when new height and density is proposed, otherwise the site doesn’t change.  This is exactly what has happened along Parramatta Road for 40 years.

With the WestConnex tunnel relieving traffic along Parramatta Road, and the new metro stations planned to be delivered in 2032, there is certainly no reason to kick the can down the road and wait for yet another light rail project (which we know takes many years to deliver).

It’s time we bit the bullet and made some changes of substance to renew this traffic drain-pipe.

The uplift should come within a 250m – 300m corridor either side of the Parramatta Road.

Genuine heritage sites should be protected within the corridor. But we must eschew the sterilising of otherwise feasible sites through the superficial listing of quasi-heritage protections which act as a weapon against sensible and feasible development.

Please note, the below link may be paywall protected

4.  Good news for developers from the L&E Court

Anthony Whealy, Partner (left) and James Oldnkow, Special Council (right), from Mills Oakley

A recent ruling by the Land and Environment Court of NSW in Gunnamatta Bay Holdings Pty Ltd v Sutherland Shire Council has clarified the assessment process for development applications (DAs) that comply with key development standards under a Local Environmental Plan (LEP).

Anthony Whealy, Partner and James Oldknow, Special Counsel at Mills Oakley penned an insightful report explaining the ruling and highlighted exactly why this is a positive decision for developers.

The Court determined that when a DA meets all relevant numerical standards in the LEP, such as height and floor space ratio, consent authorities must presume that the objectives of those standards, including those related to the "desired future character" of the area, are satisfied. This applies even in the absence of a specific desired future character statement for the site.

This decision provides greater certainty for developers and consultants, indicating that numerical compliance with LEP standards should suffice without requiring additional justification regarding the objectives of those standards.

This approach should streamline the DA assessment process and reduce the potential for subjective interpretations by councils.

Whealy and Oldknow are careful to advise that compliance does not equal automatic approval, however it will be “much more difficult for councils or planning panels to refuse compliant developments”.

In summary, the ruling reinforces that meeting LEP numerical standards is sufficient for satisfying their objectives, thereby offering developers a clearer and more predictable framework for DA assessments. The Mills Oakley report is well worth a read.

5.  62-Storey Development Near a Hospital - a Smart Move to Address Housing Crisis

The state government has invited developer offers on a 3,300 square metres vacant block between St Leonards train station and the Royal North Shore Hospital campus. The section of land resides in the Crows Nest TOD Accelerated Precinct area and has been proposed to house a 62-storey apartment tower.

The NSW Government’s decision to progress the sale for high-density residential development, while met with criticism from NIMBY groups, is precisely the kind of bold action Sydney needs to address its deepening housing crisis.

So why is the government the big uplift on its own sites while pandering to North-Shore NIMBY councils like Ku-ring-gai?

The proposed development would see hundreds of apartments delivered on part of the hospital’s Herbert Street campus, right next to a major road artery to the CBD, St Leonards Train station and health infrastructure. However some in the community had hoped the site would be used for future hospital expansion, the NSW Labor Government has taken a pragmatic approach that prioritises housing supply while maintaining healthcare capacity.

Premier Chris Minns and Planning Minister Paul Scully have both stood by the project, emphasising the urgent need to deliver more housing in well-located areas. Importantly, the development includes a requirement for 10 to 15 per cent affordable housing - ensuring key workers such as nurses, paramedics and teachers can afford to live near their jobs.

“This is exactly where you want to see density,” Minister Scully said. “Close to transport, close to jobs, close to hospitals.”

This should be true for every site surrounding rail stations, not just those owned by the government. The project represents smart urban planning; placing homes where infrastructure already exists. Sydney’s housing shortfall won’t be solved by ribbon-cutting marginal projects in outer suburbs alone. We need to make use of government-owned land to deliver high-density, well-connected housing.

Concerns that the project compromises future hospital expansion are overstated. Hospital’s operations remain unaffected, and the NSW Government retains oversight over how the development integrates with long-term health planning.

If Sydney is to remain a liveable, inclusive and in any way affordable city, difficult decisions like this must be embraced and spread widely. Unlocking surplus or under-utilised public land and working with the private sector is not just sensible—it is essential.

6.  Council watch - Wollondilly Council

Planning Blocked in Appin Despite Strategic Support, Raising Alarm on Housing Delays

Wollondilly Shire Council’s decision to block a Planning Proposal for the Appin Part 2 Precinct has raised fresh concerns that infrastructure delays and rigid interpretations of “site-specific merit” are becoming roadblocks to urgently needed housing supply.

Despite the proposal aligning with the State’s strategic planning framework, Council refused to progress it to Gateway determination, citing unresolved infrastructure issues. The rejection risks delaying the rezoning of land that could contribute meaningfully to Sydney’s housing pipeline.

The proponent had sought to rezone land from rural to urban, retaining conservation areas, and delivering new homes within the broader Greater Macarthur Growth Area. But Council argues existing dwelling caps and unresolved planning mechanisms—like a finalised Development Control Plan, water servicing strategy, and transport plans—make the proposal premature.

While we are concerned about Council’s all-to-willing-to-block attitude to housing supply, the need for water infrastructure for Appin and South Macarther is real.  Sydney Water needs financial support to deliver the water infrastructure which will unlock 15,000 plus new homes in this region.  All eyes will be on Daniel Mookhey as he prepares the 2025/26 State Budget.

As housing supply across Sydney remains in crisis, Appin’s blocked proposal highlights the need for more flexible and coordinated planning to prevent bottlenecks and bring forward homes where strategic merit already exists.

7.  New South Wales Economy Lagging behind

Western Australia has claimed the top spot for the first time in over a decade, driven by strong retail spending, low unemployment, and robust population growth. South Australia and Queensland follow closely, benefiting from booming construction sectors and housing markets.

In contrast, NSW's economic momentum has slowed significantly. NSW ranks equal bottom of the states in retail spending, equipment investment, and housing starts, hindered, the report finds, by higher borrowing costs and a sluggish housing market.

But it should be no surprise that New South Wales has seen a drop off in these areas. The all-time-high rental and mortgage costs seen in Sydney far exceed other cities. Higher housing costs inflicts pain on the back pockets of NSW punters as disposable income is reduced and less retail spending can occur.

The report's findings suggest that NSW should implements strategies to stimulate economic activity and investment. The Report's findings lend weight to Urban Taskforce calls for government reform to drive housing supply to relive supply pressures on housing and regulate escalating prices. This is yet another warning sign of the urgency of the housing affordability crisis and the need for regulatory reform that prioritises the delivery of houses in the short, middle and long terms.

8.  $139M Industrial Estate Approved for Western Sydney Aerotropolis

Image from Barings Australia’s website, 2025.

Barings Australia has had their $139 million industrial estate in the Western Sydney Aerotropolis greenlit by the NSW Government, marking a significant step in the region's development. The 19.4-hectare Barings Luddenham Industrial Park will feature seven buildings, offering over 63,500 square metres of warehousing space, ranging from 1,000 to 30,000 square metres. Additional amenities include an onsite café, office spaces, landscaped areas and infrastructure to support logistics operations.

This project is expected to create more than 600 jobs, with 390 positions during construction and 250 ongoing roles upon completion. Construction is slated to begin mid-2025, aiming for the first warehouse to be operational by December 2026.

Deputy Premier and Minister for Western Sydney Prue Car emphasised the project's role in job creation and regional growth, stating, "This investment is not just about warehouses, it's about jobs, opportunity, and building a thriving future right here in the Aerotropolis."

The approval aligns with the state government's commitment to fostering economic development in Western Sydney, with over $14 billion in private development applications currently in the pipeline for the Aerotropolis, projected to create 120,000 jobs.

It is positive to see Barings Australia acting as a frontrunner, driving industries, like aerospace, logistics, and advanced manufacturing,​ into the Aerotropolis area years before enabling infrastructure to service the upcoming Western Sydney International (Nancy-Bird Walton) Airport is delivered.

Planning Minister, Paul Scully, highlighted the strategic importance of such developments, noting that they lay "the foundations for a Western Sydney that's more connected, more vibrant, and offers more opportunity than ever before."

This industrial estate is among the first major projects approved within the Aerotropolis, signalling the commencement of a new era of economic activity and infrastructure development in the region.

*Please note, the below links may be paywall protected

9.  Insightful Market Update with REA Economist, Angus Moore

Pictured left to right: Chris Orr, Director of Residential at Savills, Tom Forrest, CEO Urban Taskforce, Sandra Peachy, National Head Residential Development Valuations at Savills, Angus Moore, REA Economist and David Tanevski, Honorary Secretary Treasurer, Urban Taskforce.

Urban Taskforce members were welcomed this week into the Savills offices for an exclusive market briefing by REA Group Economist Angus Moore. With a background at the Reserve Bank of Australia and the Commonwealth Treasury, Angus brought a wealth of expertise in housing economics, data analysis, and public policy.

Members were taken through a comprehensive overview of the NSW property market, including key insights on broader macro-economic conditions, down to a micro analysis on housing prices, construction approvals, and rental market trends in Sydney, NSW and across Australia. Angus also shared forecasts for the year ahead, offering valuable context for what developers can expect through 2025.

The outlook for the Australian economy appears cautiously positive—lower inflation, projected cuts to mortgage rates, historically low unemployment, and slow but steady GDP growth. However, Angus also cautioned that ongoing uncertainty in US economic and trade policy may yet impact global and domestic conditions and at the least, uncertainty is negative.

10. Urban Taskforce in the News 

11. Quotes of the election campaign

It’s been a big campaign for housing promises:

12. Urban Taskforce Women in Property Breakfast

This year the Urban Taskforce is privileged to feature Jennifer Westacott AO as special Guest Speaker at the 2025 Women in Property breakfast. We invite you to come along and be inspired by a person who has led in every aspect of her career: across academia, as a planning administrator and a business community leader; as the Director General of Planning in the mid-2000s and as a leading private sector consultant.

Additionally, Jennifer was the CEO of the Business Council of Australia and a powerful voice for the business community for 12 years (2011-2023). Jennifer currently holds the position of Chancellor of Western Sydney University and Chair of the Bradfield Development Authority (Wow!).

Jennifer will be joined by two outstanding property sector leaders and Urban Taskforce members, Christina Renner, General Counsel at Winten Property Group and Stephanie Partridge, General Manager of Development NSW, at Goodman Group. Both are widely respected in their respective fields as policy leaders with practical experience.

The breakfast will be emceed by Felicity Rourke, Partner at Allens. Our Women in Property annual event is always a highlight in the Urban Taskforce calendar, as we are repeatedly inspired by the experiences and tales of our guests. All four are leaders in their fields, and the breakfast is one not to be missed

13. Members in the news

*Please note these articles may be paywall protected

“…High-profile developer Traders in Purple has joined the ranks of those making the most of housing reforms in NSW, scooping up two North Shore sites. The developer has acquired a 5900sqm site fronting Pymble Golf Course at 46-50 Cowan Road, St Ives, and has finalised the acquisition of 8-24 Nicholson Street at Wollstonecraft ...read more... 

To read more, click here:                  The Urban Developer, 22 April

"…Billbergia is adding affordable housing to its Chatswood project as it joins developers making the most of NSW incentives. The prolific developer’s updated proposals, which were initially filed with Willoughby Council in early 2024, are now on exhibition via the State Significant Development pathway. The project, planned for a site at 849, 853, and 859 Pacific Highway and 2 and 8 Wilson Street, consists of a dual-tower built form.…read more...

To read more, click here:                       The Urban Developer, 27 April

"…Respected builder-developer DASCO has unveiled its highly anticipated Danks St District, set to become the largest and most design-focused residential and retail village in the heart of Waterloo. DASCO secured the large disused 1.7-hectare site on the corner of Bourke, Young, and McEvoy Streets in 2023. They have now launched the first stage of the precinct. The precinct comprises the delivery of six new residential buildings, and later the restoration of two heritage-listed structures: the 1922 Pumping Station and the 1935 Valve House.​..read more...

To read more, click here:                Urban.com, 28 April

"…Dexus Real Estate Partnership, an opportunistic strategy managed by Dexus, has formed a partnership with Australian property developer Thirdi to develop a A$300m residential project in Sydney. The joint venture will develop a 178-unit resort-style retirement village on a one-hectare site at the Merewether Golf Club in Newcastle…
Development approval has been obtained, and enabling works are under way, with construction due to start later this year and completion expected by late 2027… read more
...read more...

To read more, click here:                IPE Real Assests, 28 April

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