Marshall Mount landowners say delays in the delivery of development lands for housing in the Illawarra must be addressed by more efficient rezoning processes.
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Although new houses in West Dapto are reportedly being snapped up quickly, a massive funding shortfall for vital infrastructure is stopping Wollongong City Council from rezoning land to build more homes.
In April, councillors highlighted the growing housing affordability crisis facing Illawarra residents, voting to lobby the NSW Government to take action to stop the “unacceptable shortage”.
The council has estimated basic infrastructure for the area will cost more than $1.1 billion over the next 50 years.
It had previously been revealed that with a government-imposed cap of $30,000 on how much the council can charge developers to unlock each block of land, the council would need to find an extra $428 million.
Colleen Heininger and John Bisley are two landowners within Stage 5 of the West Dapto Urban Release Area (Yallah/Marshall Mount),
“State planning has given Wollongong City Council seven Gateway extensions of time to complete the rezoning of this land release for 4200 homes,” they said. “It is still not rezoned.” They said this was a frustrating process.
Mrs Heininger said a lack of supply was largely caused by available land coming on to the market too slowly.
“To me the core reason, at least in the Illawarra, for the rising costs of homes is the unavailability of blocks and homes coming on to the market quickly enough,” she said.
Cr Ann Martin recently moved a motion in light of the announcement by the state government to remove the cap on Section 94 funding for West Dapto and other areas, “which greatly reduces the financial risk to council in the funding of local infrastructure in West Dapto”.
Her motion included that council request the Department of Planning to make the Marshall Mount Plan, which will finalise the planning proposal process and the rezoning of Marshall Mount.
It also asked council to pursue the finalisation of the draft State Infrastructure Contributions Plan for future state government infrastructure in West Dapto.
“The additional infrastructure to service the needs of Marshall Mount, which cross beyond Marshall Mount, should now be met by the development industry, and we must continue... to apply pressure to this state government to pursue an equitable allocation of funds for state infrastructure for West Dapto,” Cr Martin said.
The motion lost 7-6. Lord Mayor Gordon Bradbery favoured pursuing the matter in terms of council’s motion in April.
“The Planning Minister hasn’t signed off (on the S94 plan for West Dapto)... We've done our bit; we're just waiting for that signature,” he said.