[+] New Age of Planning Dawns in Byron Shire

Earth energies and ley lines point to it as a place of spiritual significance in Australia but will the psychic potential of Byron Shire be enough to solve future housing problems? Byron Bay was the hottest place to live—and meet celebrities—in 2021 with house prices surpassing Sydney during the regional pandemic boom. There was a tidal wave of population growth as 2688 people moved to the area in five years—nearly half of the growth forecast to happen over 20 years. And as the 2020 housing strategy and rezonings had never been endorsed by the NSW government, a refresh was sought while the region grappled with life during and after the pandemic, as well as devastating fires and floods. In March, 2024, the Byron Shire Residential Strategy to 2041 finally saw the light of day and a new age of planning was welcomed. A big part of the strategy is maintaining community diversity and social cohesion, the very fabric that makes Byron Shire the magical place it is. The four policies are: providing land; improving housing choice through innovation and diversity; reflecting character and community; and fixing the imbalance caused by excessive holiday accommodation. The plan says 4522 homes need to be built in the Byron Shire during the next 20 years, a substantial increase on the previous strategy’s target of 3700 homes. Innovative housing types are part of that future and include micro lots of 50 to 200sq m, which can make up 10-25 per cent of new release subdivisions, according to the new strategy. ▲ An example of a higher-density block that could be built in Byron Shire based on the Landcom Density Guidelines as per the 2041 residential strategy. There is also space for intentional communities—a voluntary residential community designed to have a high degree of social cohesion and teamwork—and other alternative housing as well as new locations for land releases. Byron Shire mayor Michael Lyon says the shire currently has an oversupply of large homes with small households but an undersupply of smaller options. “We are definitely trying to push the boundary a little bit and include things like micro lots, the character, and having a mix of density in the area,” Lyon tells The Urban Developer . “It’s not all just monoculture and one idea, so that’s following some of the newer theories around town planning. “What is unusual as well in our strategy is that we have over-subscribed. I don’t think many councils take that gamble, building more than they are actually required to. “If you set a target, that’s a good way to only get halfway to that target. If you want to reach a certain number in my view, you want to identify extra opportunities.” Other changes included removing borderline flood prone land, creating a bigger precinct at Saddle Road, Mullumbimby in the north of the shire, and the inclusion of two land parcels in Bangalow identified in the NSW resilient land strategy. Lot 22 Mullumbimby was removed for the plan and while the council purchased the hospital in that town for $1, an unforeseen $5-million asbestos remediation needs to be carried out “One of the biggest problems that I see in this housing supply is there’s no real competition and developers can just drip feed developments out to make the most profits,” Lyon says. “If you have more who are capable, then the developers who bring the best deal to the table will get prioritised for infrastructure. “So it’s playing them off against each other and creating competition in that space.” Meanwhile, there were 2639 unoccupied homes—15.4 per cent of housing in the shire—on Census night, something that is “most undesirable in a housing crisis” according to the strategy. Short-term rental accommodation also accounts for 1307 homes, according to the Australian Housing and Urban Research Institute datasets for the Byron Bay SA2 area. ▲ More than 21 per cent of households in Byron earn $3000 or more a week but its homeless population is the highest in the NSW. However, a cap on short-term rental will come into play in September that could reduce the ratio of holiday letting to long-term rental, a problem identified in 2019. In the shire’s housing market, the average monthly listings across the North Coast has dropped from 14,000 a decade ago to 6500 per month last year. While the changes to the planning strategy are welcome, some planners and real estate agents in the region say they’re preparing for a perfect storm. McGrath Lennox Head principal Nick Bordin says ready-to-go development sites need to be activated and that there are too many delays in the planning process. “Developers are ready to start work but in many cases aren’t able to get construction certificates to create the lots that are already approved,” Bordin says. “The timeframe for already approved subdivisions to get to the point of starting construction is years, and the wait for anything new is even longer.” ▲ Byron is young or young-at-heart—its median age reduced from 44 to 43 in the census period with the majority living in detached homes. Byron Shire Real Estate principal Todd Buckland says more than one developer has a waiting list of buyers ready to purchase land. “Even developers who have checked every box required and gone above and beyond statutory requirements to ensure their project is environmentally sound are facing setbacks,” Buckland says. “The Northern Regional Planning Panel and Byron Shire Council are responsible for issuing approvals, but even after that process has been completed there have been instances of further hold-ups. “In some cases, we are seeing projects originally gazetted for development 10 years ago being stonewalled. “The reality is, the longer we have to wait for new development, the more land values increase and some people may miss their opportunity to remain a resident of the Byron Shire.” The Byron Shire mayor says it is about maintaining standards and that the shire is shaking off the anti-development or even obstructionist reputation of old. “There are always forces acting against speed, but if you compare us to our neighbours, we’ve got a much better reputation with the development industry in terms of how easy our staff are to work with,” Lyon says. “There’s always extra things that we need to take on board with planning regulations and community expectations—we need to set a high bar for development. “We’ve had a bad reputation in the past which I think has improved. “Our relationship with the state government has improved out of sight; we are no longer seen as the basket case and that opens up opportunities around funding and grants.” NDC town planner Damian Chapelle says the housing crisis is a perfect storm created by high demand and low supply. “Council reports show land prices have risen 76 per cent over the past five years, which has certainly exacerbated housing stress, but this is not the root cause of the problem,” Chapelle says. “Put simply, we are in this position due to a severe imbalance between housing demand and supply. “There has been a huge influx of residents, while new land release and housing density hasn’t kept pace with growth.” The current population of 36,510 is expected to grow 1.5 per cent a year, with an average of 2.44 people per household. The target of 4522 new homes would provide space for 11,033 people, so with around 550 people moving to the Byron Shire each year the numbers just add up. You are currently experiencing The Urban Developer Plus (TUD+), our premium membership for property professionals. Click here to learn more.

[+] New Age of Planning Dawns in Byron Shire

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