NSW DPE is providing clarity on the much-talked-about 30% bonus FSR and height for projects that incorporate affordable and social housing dwellings. The key changes proposed include:

•  residential development with a capital investment value of more than $75 million will be eligible for a new state significant development pathway, provided it includes at least 15% of the total gross floor area as affordable housing, and
• amendments to the existing in-fill affordable housing provisions under the Housing SEPP to introduce a new FSR and height bonus of 30% for residential developments with at least 15% of the total gross floor area provided as affordable housing.

Capital investment value means all the costs necessary to establish and operate a project.

Projects that don’t achieve a capital value of $75 million can still benefit from the height and FSR bonus provisions via amendments to the Housing SEPP. The only difference is that these projects won’t benefit from the SSD pathway.

The bonuses will apply to the same land that the current infill affordable provisions under the Housing SEPP apply to. This includes accessible land – i.e. land within 800 metres from a train or light rail station in Greater Sydney and Newcastle.

Affordable housing dwellings will need to be managed by a registered community housing provider for the purpose of housing eligible low-to-moderate income households. The rent charged to these households cannot be more than 30% of their income.

For DAs lodged but not determined before the new SSD pathway is introduced are not identified as SSD. The relevant council or planning panel will remain as the consent authority. 

All social and affordable dwellings will be exempt from payment of any State housing and infrastructure contributions. However, the same projects will not be exempt from local contribution levies. 

The pathway will not change the requirement for architectural design competitions and SSD projects will be subject to consideration by the State Design Review Panel. 

No changes to car parking rates are proposed.