The NSW Government housing reforms and their impact on Willoughby

Council held 2 community information sessions on the NSW Government's low and mid-rise housing reforms and the impact on Willoughby in March 2025. The purpose was to help community members understand the nature of the changes, which came into effect on Friday 28 February 2025. 

Download session presentation(PDF, 2MB) ReadSpeaker
Watch the webinar on YouTube

Stage 2 of the NSW State Government’s Low and Mid-Rise Housing Policy commenced on 28 February 2025.

This completes the low and mid-rise housing reform program first announced in December 2023, with Stage 1 implemented in June 2024.

What is 'low and mid-rise housing'?

Example of low-rise housing

Examples of low-rise housing - dual occupancy, terrace and manor house

Example of mid-rise housing

Examples of mid-rise housing - 3 storey and 4-6 storey

These reforms allow applications for dual occupancies, manor homes (low-rise apartments), terraces, townhouses, apartments, and shop top housing on more land in areas close to centres throughout Sydney.

Where do the reforms apply?

The NSW Government has designated 171 town centers and stations across metropolitan Sydney, the Central Coast, Illawarra-Shoalhaven, and Hunter regions for changes to development controls.

Within the Willoughby local government area, the following areas are affected (see Figure 1 below):

  • Chatswood – 800m walking distance from the CBD area.
  • Roseville – parts of Willoughby LGA within 800m walking distance of Roseville Station.
  • Artarmon – 800m walking distance from the station.
  • St Leonards – parts of Naremburn and Herbert Street in Willoughby LGA, within 800m walking distance of St Leonards.
  • Northbridge – 800m walking distance from the Sailors Bay Rd retail area.

Below is an indicative map provided by the Department of Planning, Housing and Infrastructure (DPHI) showing areas affected by the reforms. 



Figure 1: The Low and Mid-Rise Housing Policy Indicative Map can be viewed in more detail on the DPHI website

What do the reforms allow?

Within the affected areas listed above, the following changes will take effect:

  • Applications can be made for dual occupancies on smaller lots than Council would have otherwise allowed, including in heritage conservation areas.
  • Applications can be made for terraces, townhouses, villa developments and low-rise residential flat buildings on certain sized lots in R1 and R2 zoned areas.
  • Applications can be made for residential flat buildings on certain sized lots in R3 and R4 zoned areas.

While these planning reforms introduced by the NSW Government increase the permissibility of certain development types within the Willoughby LGA, it is important to note that this change does not automatically grant approval for proposed developments. Applications will still be subject to assessment against relevant design and planning requirements.

Although the housing reforms permit dual occupancies and multi dwelling housing within heritage conservation areas, these are subject to a Council assessment. Willoughby Council’s Development Control Plan (WDCP) shall continue to guide assessment of development applications.

Having regard to conservation areas, the heritage controls within WDCP will continue to be used to ensure future development is consistent with the character, scale and historical significance of the conservation area. 

Information on the Low and Mid-Rise Housing Policy is accessed on the Planning NSW website

The NSW State Government has also published a Tree Canopy Guide for Low and Mid Rise Housing, which will need to be considered when these applications are assessed.

The NSW Government development controls for dual occupancies, multi dwelling housing (townhouses), terraces, residential flat buildings (apartments), and shop top housing are provided in detail below. 

Frequently asked questions