Maximising Your Value: What NSW’s Low and Mid-Rise Housing Reforms Mean for Property Owners
The NSW Government’s Low and Mid-Rise Housing Policy represents one of the most significant rezoning initiatives in recent history. Designed to accelerate housing supply, it allows for a greater variety of residential development in well connected locations. From 28 February 2025 dual occupancies, terraces, townhouses, apartments and shop top housing will be permissible within 800 metres of town centres and transport hubs across Greater Sydney, Central Coast, Lower Hunter, Newcastle and Illawarra-Shoalhaven.
A Broader Impact than Transport Oriented Development (TOD)
While TOD rezonings have targeted specific precincts, this reform has a far wider reach, 171 separate locations have been rezoned. Each 800 metre radius translates to around 200 hectares of land, meaning something like 24,000 hectares of land will have increased development potential.
To put that in perspective, if Sydney’s average lot size is 800 square metres, around 300,000 properties are affected. For property owners, this could mean a substantial uplift in value. However, the impact will vary based on location within the rezoned area, existing land use and zoning changes. Some properties will see significant new development potential while others may experience more modest changes.
Why Property Owners Should Act Now
Rezoning alone does not generate money for the property owner, knowing how to leverage it does. Property owners who take the time to analyse their options now will be in a stronger position to capitalise on this opportunity before the market becomes saturated with new development sites.
Several factors need to be carefully considered:
What is your property’s real development potential? The details of the policy, such as lot size minimums, height limits and floor space ratios, will determine what can be built on your land.
Should you sell individually or combine with neighbours? Often grouping properties together can unlock much greater value, but what might appear on face value to be equitable price sharing must be carefully considered because often property owners combining with their neighbours give away value to their neighbours without knowing it.
Are you maximising your property’s worth? General advice from agents or developers is no substitute for expert advice and a smart, tailored strategy. Developers aim to acquire sites at the lowest possible price, every dollar they save is one that a landowner loses.
The Risks of Waiting
A significant risk for property owners is failing to take informed action. While rezoning presents new opportunities, the market will eventually adjust. Early movers who secure strategic advice will be best placed to realise the full value of their land. Conversely, waiting too long could mean selling into an oversupplied market, reducing bargaining power.
Getting the Right Advice
At Augusta Advisors, we specialise in helping property owners navigate and capitalise on rezoning opportunities. Our team provides in-depth analysis to determine the optimal approach, whether that’s selling, holding, development partnership or developing. With an agile professional approach, we ensure our clients make informed, strategic decisions that maximise value.
Our client base is growing rapidly because our advice is grounded in real world experience, backed by dozens of successful negotiations with hard nosed developers. We understand the intricacies of property value maximisation, transactions and development, and work tirelessly to ensure our clients achieve the best possible outcomes.
If your property is in one of the newly rezoned locations, now is the time to act. Contact us today to explore your best options.