07/10/2014 - 12:23

Urban infill rate falls to 28%

07/10/2014 - 12:23
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Perth's established suburbs accounted for just 28 per cent of all urban land development in 2012, well below the long-term 'infill' target of 47 per cent, prompting calls for regulatory reform from the Property Council of Australia.

Perth's established suburbs accounted for just 28 per cent of all urban land development in 2012, well below the long-term 'infill' target of 47 per cent, prompting calls for regulatory reform from the Property Council of Australia.

The WA Planning Commission's urban growth monitor revealed a decline in the net infill rate from 32 per cent in 2011 to 28 per cent in 2012.

That figure represents the most recent statistics released to date.

The WAPC report said the prevailing form of urban development in the Perth and Peel region continued to be low-density greenfields projects.

It said that historically the infill rate has hovered around 32 per cent.

“In 2011 and 2012, developments yielding one dwelling per lot accounted for about 60 per cent of all new infill dwellings,” the WAPC report stated.

“This indicates that the shift to larger scale infill projects has yet to occur, while access to finance and market conditions has constrained the appetite for investment in these types of projects.

"Over time, as large scale infill projects are introduced and structure planning progressed, it is anticipated that projects with higher dwelling yields per lot will make up an increasing proportion of all infill developments." 

Results from the urban growth monitor identified about 850 hectares per annum were consumed by subdivision in the Perth metropolitan and Peel regions between 1993 and 2012.

That figure fell to 625ha in 2011, with the WA Planning Commission suggesting the GFC was responsible for this decline.

Property Council of Australia executive director Joe Lenzo said Perth’s infill development strategy needed to be amended if it was to achieve the targeted 47 per cent infill rate by 2031.

He said one of the main things holding back infill development in Perth was the outdated strata title system and the lack of community titles.

“We’ve been waiting for changes to the strata act now for quite a long time and it has been reviewed by the government over the last 24 months and there are recommendations for change, but they have not been fulfilled,” Mr Lenzo said.

“It’s very much a red tape issue, which most of the other states have already agreed to overcome.’’

He said community titles would encourage larger scale precinct-style infill housing development to occur.

“This includes more mixed use development around suburban centres and strategic infrastructure investments like train stations,” Mr Lenzo said.

“Regulatory reform like the introduction of community titles will complement other key ingredients to boosting infill development like the provision of infrastructure.”

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