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“Stage 1 of the policy introduced in July last year has failed to deliver an increase in the number of dual occupancies and duplexes being constructed. The policy has not worked because the supporting planning controls are missing,” added Mr Armitage.
Data from the NSW Government’s ‘Council League Table’ indicates that the average number of applications for new medium density developments is currently lower than it was in previous years.
In Greater Sydney, a total of 781 medium density development applications have been lodged this financial year to the end of January 2025. This is around 111 applications per month which is lower than it was in 2023/24 where the average was 116 applications per month. In 2022/23 the monthly average was 126 and in 2021/22 it was 173.
“Stage 2 of the Low and Mid-rise housing policy is welcomed. However, it is disappointing that this policy only applies in the 171 designated town centres and stations.
“This represents a significant scaling back from the initial announcement of the policy. It would have been far more beneficial to see these new controls applied across the state.
“There are over 340,000 lots in Sydney that could easily fit a duplex. If planning controls were adjusted, and if just a quarter of these were to be developed into dual occupancies, it would equate to 42,500 new dwellings that could be delivered within the next 12-24 months.
Mr Armitage stated that “the NSW Government needs to move away from allowing councils to set the development controls for dual occupancy developments.
“Builders in NSW stand ready to deliver more new housing right now. We just need the NSW Government to come to the party with the right policy settings to make this happen,” concluded Mr Armitage.
“The availability of skilled tradespeople has worsened across Australia as home building pipelines expand again,” stated HIA Senior Economist, Tom Devitt.
HIA provided comments on the revised methodology for the Australian Apprenticeship Priority List. The Australian Apprenticeship Priority List (AAPL) is an important tool to enable government and industry to focus and prioritise those industries most in need of assistance.
McT Design & Construction was named the 2025 HIA Northern Territory Home of the Year winner for a home featuring luxurious finishes, a thoughtful U-shaped design, smart automation, and seamless blend of style, comfort and practicality.
CWD – Construction With Destiny has been awarded the 2025 HIA Tasmanian Home of the Year for its Nebraska Residence – a coastal sanctuary that blends natural elegance with exceptional craftsmanship.