Secondary Dwellings in NSW: A Planning Law Perspective

The rise of secondary dwellings, colloquially known as granny flats, represents a significant development in New South Wales' residential landscape. As housing affordability continues to challenge many NSW residents, these structures have emerged as a viable solution for multi-generational living and rental income generation. However, their implementation requires careful navigation of the regulatory framework.

Under the State Environmental Planning Policy (Housing) 2021, secondary dwellings enjoy certain streamlined approval pathways, provided they meet specific development standards. The policy allows for secondary dwellings on lots where a principal dwelling is permissible, subject to compliance with prescribed size and setback requirements.

A crucial consideration is the maximum permitted floor area. The legislation stipulates that secondary dwellings must not exceed either 60 square metres or 60% of the principal dwelling's total floor area, whichever is greater. This requirement often presents challenges for property owners, particularly on smaller lots where spatial optimisation becomes critical.

Site coverage and landscaping requirements remain applicable, even under the complying development pathway. Property owners must ensure that the combined footprint of all structures does not exceed the maximum permissible site coverage under the relevant Local Environmental Plan (LEP). Furthermore, the preservation of private open space and deep soil zones must be considered in the site planning process.

Another significant consideration is the servicing requirements. Secondary dwellings must demonstrate adequate connection to essential services, including water, electricity, and sewerage. In some cases, particularly in rural areas or older suburbs, this may necessitate infrastructure upgrades, which can impact project feasibility.

While the SEPP provides one medium of approval, some applications may have to go through an application under the relevant LEP. Individual councils may impose additional development controls through their Development Control Plans (DCPs) for applications made via the LEP (Development Application) pathway. These might include specific requirements for privacy, solar access, and parking provision.

It's worth noting that secondary dwellings approved under the SEPP cannot be subdivided or sold separately from the principal dwelling. This restriction forms part of the core policy objective to maintain the integral relationship between primary and secondary dwellings while facilitating housing diversity.

Recent amendments to the planning framework have introduced greater flexibility in design outcomes, particularly concerning internal configurations and accessibility requirements. However, these changes must be balanced against broader planning considerations, including heritage conservation in applicable areas and local character preservation.

The interplay between state policies, local controls, and site-specific constraints requires careful consideration to achieve compliant and optimal outcomes. The evolution of secondary dwelling provisions reflects a broader policy shift toward housing diversity and affordability. As urban consolidation continues to drive planning policy, the role of secondary dwellings in meeting housing needs while maintaining suburban character remains significant.

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