Middle Ring
The tables summarise the potential outcomes of each planning measure across generalised Australian housing market geographies. They should help in giving priority to approaches that can be investigated for implementation at local or regional levels, but are not a prescription for particular jurisdictions to follow.
Each table is a guide to the potential effectiveness of the mechanisms available for the middle ring. Use the key to determine which mechanisms are suitable for use in the middle ring.
Each table heading is a link that will take you to more information about the potential effectiveness or impact of the mechanism
Land supply programs
Barrier reduction strategies
Protective mechanisms
Affordable housing planning incentives
Negotiated agreements
Mandatory requirements
|
Key |
|
High |
Mechanism is generally associated with high potential impact on affordable goals |
|
Moderate |
Mechanism may have a positive impact on affordability goals, depending on local market |
|
Low |
Mechanism may be worth further investigation, depending on local market considerations |
|
Land supply programs – Middle ring |
|
Mechanism |
Considerations |
Potential Impact |
|
Development incentives and penalties –
Incentives |
Higher land values should support. Depends on location if no strong resident objection to incentives that increase yields likely take up |
High |
|
Systemic land development enhancements |
If supply blocked due to process issues |
Moderate |
|
Government land banking |
If land secured at lower prices, to facilitate steady release in response to need |
Moderate |
|
Development incentives and penalties –
Penalties |
Most likely holding costs will drive development but may be effective where speculative land holding is a risk |
Moderate |
|
Betterment capture |
Depending on level of value uplift |
Moderate |
|
Zoning for affordable housing
(This category does not address inclusionary zoning) |
If applied to public land or as a proportion of large redevelopment sites in single ownership |
Low |
|
Barrier reduction strategies – Middle ring |
|
Mechanism |
Considerations |
Potential Impact |
|
Planning controls – enabling, encouraging or requiring a mix of housing types |
Where there is significant capacity for new housing development, intensification, or adaptation of existing housing to meet changing needs |
High |
|
Building controls – removing unnecessary requirements |
Within established areas with unnecessarily restrictive controls on housing development |
High |
|
Covenants – eliminating exclusionary requirements on title |
In relation to redevelopment projects or master-planned estates
|
High |
|
Protective mechanism – Middle ring |
|
Mechanism |
Considerations |
Potential Impact |
|
Impact mitigation conditions |
Where remaining low housing cost stock is at risk, housing need is high, and few alternative low-cost housing sources exist |
High |
|
Social impact assessment requirement |
To assess housing impacts of all major developments |
High |
|
Controls to protect low-cost housing supply |
When a specific type of housing is at risk |
High |
|
Planning incentives – Middle ring |
|
Mechanism |
Considerations |
Potential Impact |
|
Graduated standards |
Affordable housing development by the private/
non-profit sector more viable |
High |
|
Planning process incentives |
Fast-track planning gives certainty and saves money
|
High |
|
Planning bonuses |
Depending on scale of development and value of bonus |
Moderate |
|
Negotiated agreements – Middle ring |
|
Mechanism |
Considerations |
Potential Impact |
|
Negotiated agreement for affordable housing |
Adjusted to local market conditions and potential of site to maximise affordable housing contribution |
High |
|
Mandatory requirements – Middle ring |
|
Mechanism |
Considerations |
Potential Impact |
|
Mandatory contribution, (fixed amount, by threshold) |
Particularly if contribution relates to lower-cost home ownership/purchase by social housing provider, as lower land value makes cost recovery more viable
|
High |
|
Mandatory contribution (negotiated amount) |
Negotiation more resource intensive but can maximize contribution in relation to opportunities of site
|
Moderate |
|
Onsite contribution |
Way to achieve access to land for affordable housing and tenure mix |
Moderate |
|
Offsite/cash contribution in lieu |
Means of securing resources for local affordable housing fund. Useful alternative if housing not suitable for affordable sector |
Moderate |
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Last modified: Sunday, 5 February 2012