Outer 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 outer ring. Use the key to determine which mechanisms are suitable for use in the outer 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 - Outer ring / designated growth area
Mechanism	Considerations	Potential Impact
Systemic land development enhancements	May ensure release strategies respond to supply	High
Government land banking	If land secured at lower prices, to facilitate steady release in response to need	High
Development incentives and penalties – Penalties	To discourage speculative land holding	High
Betterment capture	Large scale rezoning from rural to residential = significant value uplift	High
Development incentives and penalties – Incentives	Dependent on land values Need to consider whether certain incentives e.g. reduction car parking can be supported given service levels	Moderate
Zoning for affordable housing (This category does not address inclusionary zoning)	If required as a proportion of large new release sites in private ownership or to public land.	Moderate

Barrier reduction strategies - Outer ring / designated growth area
Mechanism	Considerations	Potential Impact
Planning controls – enabling, encouraging or requiring a mix of housing types	To achieve opportunities for diverse housing types at different price scales, within new development areas	High
Building controls – removing unnecessary requirements	To ensure that planning controls in new release areas do not add unnecessarily to the costs of housing production	High
Covenants – eliminating exclusionary requirements on title	Addresses exclusionary covenants in master-planned estates in new release areas	High

Protective mechanism - Outer ring / designated growth area
Mechanism	Considerations	Potential Impact
Impact mitigation conditions	In areas where low-cost housing such as caravan parks and manufactured home estates subject to redevelopment pressure	High
Social impact assessment requirement	Alternative to specific controls where caravan parks or manufactured home estates are at risk	High
Controls to protect low-cost housing supply	When a specific type of housing is at risk	High

Planning incentives - Outer ring / designated growth area
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	Supports lower-cost housing for private rental or home ownership	Moderate

Negotiated agreements - Outer ring / designated growth area

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 - Outer ring / designated growth area
Mechanism	Considerations	Potential Impact
Mandatory contribution, (fixed amount, by threshold)	If mandatory contributions are known in advance, can be accommodated in land price & offset by value increase with rezoning. Can use cost home purchase by social housing provider, as lower land value makes cost recovery viable	High
Mandatory contribution (negotiated amount)	Negotiation more resource intensive but can maximise 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

Top of page

Last modified: Sunday, 5 February 2012