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) 
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

Example of mid-rise housing

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
Council supports and encourages strategically located growth to deliver diverse housing for its growing community. Council has previously rezoned land to create capacity for 6,500 additional homes to respond to the current housing crisis.
Council continues to raise the following concerns and implications about the reforms:
- The changes add approximately 2,380 – 4,760 dwellings to Council’s development capacity without any additional investment in infrastructure to support the new homes.
- There has been no analysis about the impacts of the changes, such as on traffic, parking, and community facilities, which are vital for our communities.
- The reforms affect Council’s ability to ensure our communities will remain sustainable in the future with sufficient tree canopy to combat climate change and urban heat island effects.
- While the applications are subject to assessment, the new controls make it difficult for Council to protect the unique character of our local centres. This is exacerbated in heritage conservation areas, which are not excluded from the changes.
Councils submissions to date on the State Government housing reforms can be found here:
Next steps
Council will be arranging a community information session to assist residents in understanding the implications of the State Government’s reforms.
Details will be confirmed shortly.
If you have a particular development you want to pursue on your property and want advice as to whether it’s allowed and what rules apply, please contact Council’s Duty Planner on 9777 1000.
Development controls for dual occupancies in R2 zones within 800m walking distance of stations and centres*
|
Existing Council controls |
Low and mid-rise reforms |
Minimum lot size |
700m2 attached
900m2 detached
|
450m2
|
Minimum frontage |
15m
|
12m
|
Height |
8.5m |
9.5m |
Floor space ratio (FSR) |
Greater than or equal to 700m2 and
less than 800m2 0.41:1
Greater than or equal 800m2 0.4:1
|
0.65:1
|
Permissibility in R2 zone
|
Permitted in zone but excluded in heritage conservation areas(HCAs) |
Permitted in heritage conservation areas (HCAs) subject to assessment. |
*Note: A dual occupancy includes two dwellings on one lot.
**Stations and centres in Willoughby LGA inclusive of Chatswood Station and town centre, St Leonards Station, Artarmon Station, and Northbridge Plaza Shopping Centre.
Development controls for multi dwelling housing within 800m walking distance of stations and centres*
|
Existing Council controls in R2 zones |
Existing Council controls in R3 zones |
Low and mid-rise reforms |
Zoning permissibility |
Not permitted in R2 zones |
Permitted in R3 zones |
Permitted in R2, R3 and R4 zones, including heritage conservation areas.
|
Minimum lot size |
Prohibited in R2
|
1100m2 |
600m2 |
Minimum frontage |
Prohibited in R2 |
Minimum 27.0m |
12m |
Height |
Prohibited in R2 |
From 8.5m to 12m in R3 zones (site specific) |
9.5m |
Floor space ratio (FSR)
|
Prohibited in R2
|
From 0.7:1 to 1:1 in R3 zones (site specific)
|
Max 0.7:1 |
*Note: Multi dwelling housing includes three or more dwellings on one lot.
**Stations and centres in Willoughby LGA inclusive of Chatswood Station and town centre, St Leonards Station, Artarmon Station, and Northbridge Plaza Shopping Centre.
Development controls for multi dwelling terraces within 800m walking distance of stations and centres*
|
Existing Council controls in R2 zones |
Existing Council Controls in R3 zones |
Low and mid-rise reforms |
Zoning permissibility |
Not permitted in R2 zones |
Permitted in R3 zones
|
Permitted in R2, R3 and R4 zones, including heritage conservation areas subject to assessment.
|
Minimum lot size |
Prohibited in R2 |
1100m2 |
500m2 |
Minimum frontage |
Prohibited in R2 |
Minimum 27.0m
|
18m |
Height |
Prohibited in R2
|
From 8.5m to 12m in R3 zones (site specific)
|
9.5m |
Floor space ratio (FSR)
|
Prohibited in R2 |
From 0.7:1 to 1:1 in R3 zones (site specific)
|
Max 0.7:1 |
Subdivision |
N/A |
None |
(R1, R2, R3 only): Minimum 165m2 per lot, 6m width per lot.
|
Development controls for residential flat buildings in R2, R3 and R4 zones within 800m walking distance of stations and centres*
|
Existing Council controls (in R3 and R4 zones only) |
Low and mid-rise reforms
in R1 and R2 zones
|
Low and mid-rise reforms in R3 and R4 zones
(0-400m from station and centre)
|
Low and mid-rise reforms in R3 and R4 zones
(400m-800m from station and centre)
|
Minimum lot size |
Min 1100m2 |
Min 500m2 |
No minimum |
No minimum |
Height |
From 8.5m to 12m in R3 zones (site specific)
From 12m to 36m in R4 zones (site specific)
|
Max 9.5m
|
Max 22m
(max 6 storeys)
|
17.5m
(max 4 storeys)
|
Floor space ratio (FSR) |
From 0.7:1 to 1:1 in R3 zones (site specific)
From 1.5:1 to 2:1 in R4 zones (site specific)
|
Max 0.8:1
|
2.2:1
|
1.5:1 |
Frontage |
Minimum 27.0m
|
12m |
No minimum |
No minimum |
Development controls for shop top housing in R4 zones within 800m walking distance of stations and centres*
|
Existing Council Controls (in R4 zones only) |
Low and mid-rise reforms in R4 zones
(0-400m from station and centre)
|
Low and mid-rise reforms in R4 zones
(400m-800m from station and centre)
|
Minimum lot size |
No minimum |
No minimum |
No minimum |
Height |
From 12m to 36m in R4 zones
|
Max 24m |
17.5m |
Floor space ratio (FSR) |
From 1.5:1 to 2:1 in R4 zones
|
2.2:1 |
1.5:1 |
Frontage |
Minimum 27.0m
|
No minimum |
No minimum |
No – the reforms do not affect the types of development that can be approved without a Council assessment under the complying development pathway.
On 28 June 2024, the NSW Government announced Stage 1 of its Low and Mid-Rise Housing Policy, which proposed changes to controls restricting dual occupancies (duplexes) across NSW.
Stage 1 changes did not change Willoughby Council’s controls restricting dual occupancies (duplexes) to appropriate sites in R2 zones within the Willoughby local government area.
The changes introduced dual occupancies as permitted development to R2 zones in other Council areas where they were not previously permitted. These changes commence operation in affected Council areas 1 July 2025 (Willoughby Council is not affected).
The Transport Orientated Development (TOD) program
The NSW Government announced the Crows Nest Transport Orientated Development (TOD) involving:
- Tier 1 – involving 8 accelerated precincts (none within Willoughby LGA, with the closest being Crows Nest).
- Tier 2 – involving amended planning controls to 37 stations (none within Willoughby LGA, with the closest being Roseville).
With regards to the Willoughby Council local government area, the TOD program proposed changes to one site referred to as Lot 4B Herbert Street adjacent to the North Shore Hospital, and opposite St Leonards Station.

This site has been rezoned to mixed use (MU1) and the following planning controls were introduced for the site:
- Increased height to relative level (R.L.) 283 Australian Height Datum (A.H.D.) to facilitate a 62 storey building.
- Increased floor space ratio to 14.3:1, involving approximately 620m2 of non-residential land use and 46,300m2 residential land use.
- An affordable housing contribution rate of 15%.
The total number of dwellings that can potentially be constructed on this site is approximately 448.
The Crows Nest Transport Orientated Development (TOD) rezoning came into effect on 27 November 2024.
Information on the Transport Orientated Development (TOD) program is accessed Planning NSW website.