Long-awaited Sydney Plan set to ‘deliver more homes’

A FOCUS on housing delivery and development feasibility have been welcomed by property advocacy groups after the release of the NSW Government’s Sydney Plan.

The Sydney Plan is a 20-year framework the government said “will deliver more homes, more jobs and better-coordinated infrastructure”.

It has been prompted by projections that population in the state’s capital will grow from 5.3 million people today to 6.6 million by 2046.

“For too long, housing supply and jobs growth have not kept pace with Sydney’s population,” NSW planning minister Paul Scully said.

“It has left communities without homes, transport and services they need.

“The Sydney Plan brings these decisions together for the first time, so that growth, housing and infrastructure are planned as one, not left to chance or dealt with in silos,” Scully said.

Urban Taskforce CEO Tom Forrest said the Sydney Plan recognises development feasibility as being critical to housing supply.

“There is explicit recognition of the importance of providing infrastructure to support new housing supply,” Forrest said.

“However, Urban Taskforce asserts that infrastructure constraints remain one of the key bottlenecks for housing supply and the Government needs to explore ways of working with the private sector to deliver this infrastructure.

“The Sydney Plan sets a minimum target of 800,000 new homes and 950,000 more jobs over the next 20 years, with a vision for Greater Sydney of ‘houses in the East and jobs in the West’.

“The 20-year, 800,000 new housing completions target for Sydney recognises the lack of new housing supply and the increasing lack of affordability in NSW.

“It also seeks to overcome the shortage in housing supply of almost 100,000 which has developed over the past 15 years.

“Since the abolition of the Greater Cities Commission, we have been waiting for this new plan.

“Now, at long last, we have a new set of strategic plans. The focus on feasibility represents a paradigm shift for Sydney’s planners.”

Property Council NSW executive director Katie Stevenson said the final plans showed the NSW Government had listened to industry concerns about the need to move beyond theoretical housing capacity and to focus on what can genuinely be delivered, and when.

“One of the most significant changes is the recognition that housing capacity only matters if it is feasible and deliverable. We have consistently argued that homes only count when they are built,” Stevenson said. 

“The commitment to maintain a long-term pipeline of feasible housing capacity and develop future housing targets beyond the current Housing Accord period is an important step forward.” 

Stevenson said the plans established a stronger framework for managing growth, with a focus on housing supply, employment, infrastructure, industrial lands and investment certainty.  

“Businesses investing billions of dollars in housing, industrial and commercial property and infrastructure need a clear view of the long-term future of Sydney,” she said.

“They need confidence about where major infrastructure will be delivered, how emerging centres will grow, and how government agencies will align behind a single vision. 

“Sydney’s future prosperity depends on attracting investment, growing productive employment centres, protecting industrial land, delivering infrastructure on time and ensuring businesses have the confidence to invest for the long term.  

“The Property Council also welcomes the release of the NSW State Land Use Plan, which provides a more consistent strategic

“Importantly, the Plan recognises that planning is not simply about housing supply. They are also about productivity, economic growth and the competitiveness of NSW.”

Housing Industry Association NSW executive director Brad Armitage said it was important for Sydney to have a strong framework to shape its future direction.

“The Plan provides for greater housing diversity and more choice, which reflects the needs and aspirations of the community, and makes provision for a range of housing types,” Armitage said.

“Greenfield development continues to be an integral part of the housing mix and it is essential that there is a clear pipeline of new land releases.

“Although, the Plan does not identify any new land, it is vital that planning for longer-term greenfield development areas beyond the current precincts starts now.

“Feasibility must also continue to be front and centre as this is critical to getting keys in doors.”