Plan would 'dezone' medium density land

A part of the Peninsula would be "dezoned" from medium density residential to low density residential, under Gosford's new draft Local Environment Plan, according to the Peninsula Chamber of Commerce.

"Gosford Council has recently resolved to forward the new draft planning scheme to the Department of Planning for review prior to public exhibition with large areas of medium density land in Umina Beach and Woy Woy being dezoned from medium density to low density residential," said Chamber president Mr Matthew Wales.

"The dezoning may seriously affect the value of the land and restrict its future development potential if the new planning controls come into affect.

"Much of the old 2(b) - Medium Density land between Barrenjoey Rd and Ocean Beach Rd is proposed to be scaled back to low density residential.

"The new zoning will permit single residential dwellings and, at best, dual occupancies.

"However, residential flat buildings will be prohibited even if lots can be consolidated.

"For those land owners in these areas, this will substantially reduce the development potential of the properties in some cases and have an impact on property values.

"Even though the issue of lot sizes and fragmented development was discussed in the Peninsula Urban Directions Strategy, there was no suggestion at that time that council was planning to wind back zonings on the pretext of encouraging better development outcomes."

Mr Wales said that contrary to the council's view that this would encourage best practice in the design of low density housing, the dezoning had the potential to restrict housing supply and place affordable housing further from the reach of those who need it.

"One of the potential impacts of the dezoning will be to create a shortage of affordable housing as the supply of suitable medium density land is restricted," Mr Wales said.

"It may also force up the cost of those properties that still have the higher density zone as the supply of this land dries up.

"Council is also encouraging 'garden apartments' with sub-basement parking in an effort to improve design outcomes.

"However, this ignores the fact that this type of development is very costly and does not suit a substantial proportion of the Peninsula market.

"This product is untested in the market and it would be a brave developer to be first cab off the rank.

"Despite the consultation during the Peninsula Urban Directions Strategy process, the lack of discussion leading up to the Draft Local Environmental Plan has left the industry wondering how council could be so far apart from the needs of the housing market."

Press release, 4 Jun 2008 Matthew Wales, Peninsula Chamber of Commerce