Northern Territory government proposes smaller suburban block sizes, sparking public debate

The Northern Territory government has divided public opinion with a proposal to reduce block sizes in suburban areas, paving the way for more homes on smaller plots of land.

The proposal will see the minimum block size in low-density residential zones such as Darwin's northern suburbs reduced from 800 to 450 square metres.

NT Lands, Planning and Environment Minister Josh Burgoyne this week confirmed an amendment to the Planning Act had been prepared based on the proposal.

"Exploring housing diversity, including smaller homes on smaller lots, will help boost housing supply and improve affordability," Mr Burgoyne said.

Deputy Opposition Leader Ed Smelt has pushed back on the approach, saying relying on the "ad hoc" decisions of home owners would fail to make a dent in housing supply.

"This government doesn't have a plan for affordability or growing our housing stock," Mr Smelt said.

Data from the National Housing Supply and Affordability Council indicated the NT was lagging behind other states and territories in meeting its obligations under the National Housing Accord, with a growing number of housing approvals and a diminishing number of completions over the past year.

Locals fear for liveability of suburbs

Top End residents have been quick to voice their concerns about the proposal, with many contacting ABC Radio Darwin this week to say they fear the changes could negatively impact the liveability of NT suburbs.

"I think it's insane," one caller said.

"If you want to live on a minuscule 450 square metre block, they're all out there already in the new suburbs, so why destroy those beautiful old suburbs with their beautiful gardens?"

Another caller said: "We live outside; when we have friends over, we entertain outside because we get that beautiful breeze through the garden — if we just build wall-to-wall houses, Darwin won't be that beautiful, tropical, liveable city anymore."

Mr Smelt, whose electoral division of Nightcliff is mostly zoned as low-density residential, said he had fielded similar concerns from his constituents.

"They love the larger blocks, the trees, the sea breeze, having space around them, that's why people choose to live here," he said.

A discussion paper published by the NT Planning Commission indicated that under the changes, home owners could build an additional dwelling on their block, demolish their home and build two new dwellings, or subdivide their house, so long as the new property adhered to the 450 square metre rule.

In response to the concerns, Mr Burgoyne emphasised that subdivision was entirely optional.

"Our government is creating new opportunities for Territorians who want to subdivide their land — no-one will be forced to subdivide their block," he said.

Darwin-based infrastructure planner Graeme Finch said while the plan had its benefits, there was a string of logistical challenges to consider in addition to local concerns about aesthetics and livability.

"I think we do need some densification in the older suburbs where we have commercial centres, but we need to do it in a managed way where we don't overload the existing infrastructure in terms of traffic volumes, power, water, and sewer," Mr Finch said.

Stakeholder organisations give conditional support

Industry bodies and advocacy groups have said the proposal was mostly positive.

"It's a great opportunity for small developers and families to develop and sell their blocks and provide much-needed work for our industry," Master Builders NT president Jim Eadie said.

He noted, however, it would take time for change to occur, and that there was a risk that electricity and water costs could deter some home owners from taking advantage of the changes.

"There's infrastructure costs that might be applicable with duplicating the blocks, because you're going to double the sewer, the power, and the water supply to each block," he said.

"The Power [and] Water authority and the NT government could provide some supports to incentivise those developments."

Chief executive of housing and homelessness body NT Shelter, Annie Taylor, said the social services sector supported the changes if they resulted in more affordable housing.

"We need to recognise that we don't just want to reinforce private market dynamics, which are not working for a lot of Territorians, particularly our key workers," Ms Taylor said.

Ms Taylor suggested the NT government should also adopt mechanisms such as mandatory inclusion zoning, which would see social and affordable housing developed alongside new builds.

"It's all well and good to build more housing, but it needs to be affordable for the people who live in it, otherwise our essential workforce will leave the NT," she said.

The proposal will be open for public exhibition for 28 days beginning on Friday, July 24, during which time Territorians will be able to give their feedback on the proposal.