Second dwellings approved in two weeks under new rules

Since the government committed in 2023 to build 800,000 homes over the next decade, plans for high-rise buildings across Melbourne’s developed suburbs have attracted the most attention as the state has sought to reach its target of 70 per cent of homes developed in established areas.

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The tallest height limits introduced through various policy proposals have been based around main roads, railway stations and the site of future stations on the Suburban Rail Loop.

A key part of this ambition has also been the unlocking of townhouses and low-rise apartments in a wider footprint around these hubs, with height limits tapering off for properties the further they are from transport connections.

To support this increase in density, the government has pledged to speed up townhouses and low-rise apartments up to three stories with a new “deemed to comply” code that will limit the rights of locals to appeal if designs meet key standards.

Allan’s announcement on Thursday will build on this commitment by streamlining the process of subdividing and building homes on sites large enough to do so.

Planning Minister Sonya Kilkenny said the fast turnaround would boost supply in a way that was still sensitive to the difference between each street.

“For many people, the biggest housing opportunity is right behind them – in their own backyard,” she said. “That’s an opportunity for someone else, too – a young family, a first home buyer or a downsizer.”

The government has already made it possible to build granny flats and small second homes on a block without a planning permit.

This change, introduced in December 2023, has delivered more than 500 small second homes since it was introduced.

Responding to the activity centre maps, opposition housing spokesman Richard Riordan said onerous property taxes were still hampering affordability.

“The single biggest barrier to buying a house is affordability,” he said. “This is a problem the Allan Labor government refuses to address, with 45 per cent of the cost of a new home being made up of taxes, charges and regulations.

“The Liberals and Nationals will help improve affordability by abolishing stamp duty on homes worth up to $1 million for first-time buyers, giving young Victorians a fair shot at home ownership.”

Shadow treasurer James Newbury, who has criticised higher-density plans within his electorate of Brighton, said the government’s activity centres plans risked destroying local character.

“Jacinta Allan is trying to turn Bayside into the Gold Coast. No one asked for that,” he said.

“I don’t think broader Melbourne wants to turn Bayside into the Gold Coast, but that’s what the government’s planning to do.

“We don’t want to have uniform suburbs across our city with massive high-rise towers simply because the premier has picked those certain suburbs to house the entirety of her population growth.”

Newbury said Victoria’s 79 councils had come up with their own plans for housing hubs that were sensitive to community needs, and that these would deliver more homes than the government’s plans.

“This is just an attack on suburbs she doesn’t like,” he said.