NSW Government Releases Greater Parramatta Growth Area Plan


The New South Wales Government has announced the creation of the Greater Parramatta Priority Growth Area.

Acknowledging the area's importance, the NSW government has released a 20-year plan to deliver more homes, jobs, open space and services to cater for the city’s booming population.

Based on current trends, over half of Sydney’s population will live west of Parramatta by 2036.

Covering almost 3,500 hectares, the Priority Growth Area includes land in twelve precincts – Westmead, Parramatta North, Parramatta CBD, Harris Park and Rosehill, Camellia, Rydalmere, Carlingford Corridor (including Telopea and Dundas), Silverwater, Sydney Olympic Park and Carter Street, Wentworth Point, Homebush and Parramatta Road.

More than 110,000 new jobs will be created and 72,000 homes built as part of the NSW Government’s plan for a vibrant Greater Parramatta where residents can live, work and play.

The Land Use Infrastructure Implementation Plan responds to the Greater Sydney Commission’s draft vision for the Greater Parramatta to Olympic Park corridor which will bring a step closer, the vision of growing Parramatta as Sydney’s second CBD.

Minister for Planning and Housing, Anthony Roberts said:

Greater Parramatta is a popular place for people to live, but has more room to grow. The plan will see more than 72,000 new homes built in the 12 precincts which will help first homebuyers get a foot on the housing ladder.”

The Urban Taskforce responded by saying the government's announcement of the Priority Growth Area is essential to drive growth in this important area of Sydney but raised concerns in regards to infrastructure levies.

“The new Priority Growth Area for Greater Parramatta sets the agenda for growth in this important precinct,” said Urban Taskforce CEO, Chris Johnson. “Many of our members have landholdings in the precinct and are keen to proceed with development but we have a concern about the extent of infrastructure levies that will be applied.”

“The NSW Government’s recent announcement of the removal of the cap on contributions to local infrastructure funding has already slowed down housing projects in the supply pipeline. It is clear that the government is moving away from funding much of the essential infrastructure needed for new housing and passing this additional cost on to the development industry. This will only lead to an increase in dwelling prices just at the time housing affordability has become a critical issue affecting many families in Sydney and NSW.

“The Parramatta Priority Growth Area will also be subject to a ‘special infrastructure contribution’, a state level infrastructure levy to fund regional infrastructure, an affordable housing levy requiring at least 5-10% of housing to be gifted to affordable housing providers, a levy to fund the future ‘West Metro’ light rail and ‘value capture’ policies introduced by councils for e.g. Parramatta Council which requires developers to pay 50% of the value of any uplift from a rezoning.

“The staggering array of new levies, taxes and contributions imposed upon the property development industry will drive up the cost of housing production, which ultimately deters development, deters investment, drives up the cost of housing and decreases housing supply.

“The NSW Government must keep in mind the cumulative impacts of all these fees and contributions. The development industry is happy to provide a reasonable contribution council towards the cost of infrastructure provision, but if this becomes too onerous, developers will simply pull out of the project. Certainty is needed to ensure that developers can plan their projects well in advance.

“The 20 year growth plan for the area incorporates 12 precincts with the capacity for 70,000 new homes. The Urban Taskforce supports the new Greater Parramatta Priority Growth Area and is keen to work collaboratively with the state government and industry to ensure this vital corridor is utilised effectively.”

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