Posted on July 23, 2024 by Katie Mortimer and Bianca Crapis 1

Proposed changes to streamline development assessment in TOD Accelerated Precincts

The NSW Government recently identified 8 ‘Transport Oriented Development accelerated precincts’, being priority high growth areas for accelerated rezoning.

Draft rezoning proposals are presently being publicly exhibited for 7 of the 8 precincts with rezoning expected to be finalised by late 2024. The areas are in Bankstown, Bays West, Bella Vista, Crows Nest, Homebush, Hornsby, Kellyville and Macquarie Park.

In conjunction, the Department of Planning, Housing and Infrastructure (DPHI) recently published an Explanation of Intended Effect (EIE) explaining proposed policy changes intended to streamline development assessment in the TOD accelerated precincts.

The EIE proposes:

• Establishing a new, temporary state significant development category for residential development valued over $60 million that is located within the 8 TOD accelerated precincts. The pathway is proposed to remain in place until November 2027.

• Exempting the TOD accelerated precincts from the in-fill affordable housing bonuses under Chapter 2 of the Housing SEPP (see our post on those provisions here).
  • As FSR and height bonuses provided by Chapter 2 of the Housing SEPP are proportional to the affordable housing provided by a development, this exemption would allow proponents to seek additional height and/or FSR without a requirement to provide affordable housing (that would otherwise apply).

• Exempting the TOD accelerated precincts from the low and mid-rise housing reforms, which expanded permissibility of housing types in station and town centre precincts as well as providing related planning controls (see our post on those reforms here).
  • The EIE states this is intended to ‘ensure the most appropriate outcomes for the areas identified in both the [low and mid-rise housing reforms] and the accelerated TOD rezonings… The intention is to reduce duplication and maximise housing potential for lots identified in both …‘. The low and mid-rise housing reforms propose non-refusal standards for particular development, which would not apply in the TOD accelerated precincts.

• Exempting local and regionally significant development within the TOD accelerated precincts from certain concurrence and referral requirements that are not considered ‘high-risk’.
  • DPHI is presently developing risk criteria to determine which concurrence and referrals could be switched off in the TOD accelerated precincts, and seeking feedback from stakeholders, councils, agencies and the development sector. The intention is to ‘switch off’ concurrences and referrals that duplicate considerations carried out at a rezoning stage, or that are irrelevant. This proposal is clearly directed at reducing DA assessment timeframes – the EIE states that delayed concurrences and referrals can add up to an additional 55 days to assessment timeframes.

• Creating an alternative design excellence pathway for developments in the TOD accelerated precincts that would have otherwise required a design competition.
  • The NSW Government Architect is developing that pathway – the EIE foreshadows it being a design review process. Again, this proposal is directed to reducing timeframes for the preparation and assessment of DAs. The need to undertake a design competition lengthens preparation time, as a proposal with detailed supporting documents cannot be put forward until the design is settled via the competition.

The EIE is being publicly exhibited until 9 August and is available here: Pathway changes to support Transport Oriented Development, Explanation of Intended Effect

The draft rezoning proposals for 7 of the 8 TOD accelerated precincts are available here: Transport Oriented Development – Accelerated Precincts.

Read our earlier post on the TOD amendments to the Housing SEPP here.

Please leave a comment or contact Katie Mortimer on 8235 9716 or Bianca Crapis on 8235 9728 if you want to discuss.