Affordable rental housing in the City of Sydney sits at just 0.76 per cent of total housing stock. Photo: Evan Maclean / Supplied
Affordable rental housing in the City of Sydney sits at just 0.76 per cent of total housing stock.
Sydney is in a worsening affordable housing crisis, but Sydney City Council claims the city is “using all levers” at its disposal to deliver.
In the face of mounting criticism, mayor Clover Moore says “housing is primarily the responsibility of the NSW State Government”.
This is notwithstanding affordable housing council levies on all new developments.
To date the city has collected almost $400m, currently yielding $40m in contributions a year. At last count the city had 1464 affordable housing dwellings. Its built, pipeline, expected and projected rental dwellings equal 5100 by 2036.
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Mayor of Sydney City Clover Moore says “housing is primarily the responsibility of the NSW State Government”. Jane Dempster/The Australian
It represents about 43 per cent of its 2036 affordable dwellings target of 7.5 per cent of all private dwellings being affordable and social housing.
As one solution, the Greens councillor Sylvie Ellsmore argues the council needs to start buying up traditional boarding houses.
“We have lost more than half the city’s boarding houses over the last 10 years – down from 744 to 294,” Ellsmore says.
The City of Sydney levy is typically transferred to not-for-profit community housing provider City West Housing, with its affordable housing being protected from any sell-offs by future councils.
The council levy is 3 per cent of floor space for new residential developments. The contribution may be satisfied by dedication of dwellings or by making an equivalent monetary contribution.
Just one developer has ever committed to deliver onsite housing as the council cannot require developers to deliver under the city’s current planning rules.
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Greens councillor Sylvie Ellsmore.
Nearby municipalities have taken the levy lead, with Randwick Council imposing a higher affordable housing contribution rate of 5 per cent of the total new development floor area in key locations. Canada Bay Council has a levy of 3-10 per cent.
Ellsmore argues Sydney has slipped below other international cities, and nearby municipalities, in its delivery of affordable housing. She cites London where 35 per cent of new private housing needs to be affordable housing. Paris typically seeks an obligation of 40 per cent.
In June last year, Ellsmore proposed the full council ask its chief executive officer Monica Barone to review the city’s affordable housing contribution rates, including what changes could deliver more affordable housing such as rate increases, changes to policies, planning controls and rezoning proposals.
“This advice has not yet been received,” Ellsmore says.
“Council has approved rezoning decisions worth many billions of dollars, collecting affordable housing contributions at the current rate.”
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The Daily Telegraph was told the city “has commenced a review of our affordable housing rates to investigate increasing contribution rates”.
“That work is well under way,” a council spokesperson said.
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