Regional - Low Growth

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 regional low growth area. Use the key to determine which mechanisms are suitable for use in the regional low growth area.

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 – Regional (low growth)
Mechanism	Considerations	Potential Impact
Development incentives and penalties – Penalties	To ensure development proceeds in efficient sequence	Moderate
Development incentives and penalties – Incentives	Land values may not support take up of incentives which increase yields E.g. density bonuses or reduction in car parking may not be effective	Moderate
Betterment capture	If rezoning to residential or rural residential creates significant value uplift	Moderate
Systemic land development enhancements	If lower growth due to systemic planning problems at local or regional area	Moderate
Government land banking	If high demand projected in future	Low
Zoning for affordable housing (This category does not address inclusionary zoning)	If required as a proportion of public land but not usually indicated in areas of low growth	Low

Barrier reduction strategies – Regional (low growth)
Mechanism	Considerations	Potential Impact
Planning controls – enabling, encouraging or requiring a mix of housing types	Potentially important to ensure that new housing development meets diverse population needs	High
Covenants – eliminating exclusionary requirements on title	In situations where master-planned estates developed on greenfields sites	High
Building controls – removing unnecessary requirements	Where housing diversity is constrained by unnecessarily restrictive planning controls	Moderate

Protective mechanism – Regional (low growth)
Mechanism	Considerations	Potential Impact
Impact mitigation conditions	If caravan parks and manufactured home estates under threat of redevelopment	High
Social impact assessment requirement	To assess impacts of major developments associated with need for employee housing	High
Controls to protect low-cost housing supply	If existing low-cost housing is at risk and alternatives not available	Moderate

Planning incentives – Regional (low growth)
Mechanism	Considerations	Potential Impact
Planning process incentives	Encourages some affordable housing development if process fast and approval likely	Moderate
Graduated standards	If graduated standards significantly reduce land or building costs	Low
Planning bonuses	If bonus creates significant value (usually difficult in markets where land costs are relatively low)	Low

Negotiated agreements – Regional (low growth)

Mechanism

Considerations

Potential Impact

Negotiated agreement for affordable housing

Where rezoning variation is valuable, offers leverage for negotiated affordable housing

Moderate

Mandatory requirements – Regional (low growth)
Mechanism	Considerations	Potential Impact
Mandatory contribution, (fixed amount, by threshold)	Only in scenarios where development able to sustain significant contribution amount, may seem a deterrent to housing development in low growth, lower value contexts	Low
Mandatory contribution (negotiated amount)	Only if site able to sustain a contribution, may seem a deterrent to housing development	Low
Onsite contribution	Only if site able to sustain a contribution, and location is appropriate for affordable housing	Low
Offsite/cash contribution in lieu	If site able to sustain a contribution for affordable housing	Low

Top of page

Last modified: Sunday, 5 February 2012