Census data shows Sydney’s richest council areas have lowest new dwelling construction

Sydney’s swankiest local government areas have been accused of hogging prime real estate and keeping out newcomers, as census data shows a lack of new housing approvals.

The mayors of some of Sydney’s richest councils have said there is hardly any room for more development in their suburbs and have warned against building high-rise apartments, as the city deals with a rental crisis.

Woollahra, Hunters Hill and Mosman have been accused of being the most anti-development NIMBY local government areas, after analysis of census data by the Centre of independent Studies showed the suburbs had the lowest levels of new dwelling construction in Sydney between 2016 and 2021.

This comes after The Daily Telegraph reported on Thursday that Australia was expecting an influx of almost one million migrants over the next two years.

Western Sydney leaders are concerned their areas will take the brunt of the population growth despite not having adequate housing and infrastructure.

Similarly some of the city’s richest councils are saying they have no more room.

Mosman Mayor Carolyn Corrigan. Picture: Ben Williams

Randwick Mayor Dylan Parker.

Mosman Mayor Carolyn Corrigan told The Daily Telegraph the suburb had very limited capacity to build more housing due to a lack of affordable land.

Mosman had a meagre 0.2 per cent annual growth in dwelling stock between 2016-2021, which equates to an average of 33 homes built a year.

Mosman is unlikely to increase its development targets, with Ms Corrigan pointing to high house prices, varied topography and saturated infrastructure capacity.

“Mosman also already has a larger proportion of medium and high-density dwellings when compared with Greater Sydney,” she said.

Yet many residents in the area are adverse to any new large developments, especially apartment buildings over three stories high.

Mosman residents David Stanesby, 47 and his wife Fiona Tuck, 52, said many residents don’t even want a new Woolworths in the suburb, let alone more apartment buildings.

“We don’t want any development along the foreshore,” they said.

“A lot of people here are against it entirely.”

Sascha Daisley, pictured with Tom Webb and their dog Jetson, doesn’t want apartment blocks being built in Mosman. Picture: Brendan Read

Another Mosman local, Sascha Daisley, 48, said she would hate it if any apartment blocks were built near her home.

“We don’t need it to be built up here, we have Neutral Bay for that,” she said.

“Although they could develop some more bars because there’s not much night-life happening here.”

While having a slightly better development rate then its surrounding areas, Randwick has the largest gap of 53 per cent between the cost of supplying a new apartment and its sale price. The report found this is partly caused by supply restrictions.

Randwick mayor Dylan Parker told The Daily Telegraph that while a lack of public transport and high population density made it difficult to build more homes, they were still on track to meet state government development targets.

“In areas you have significant uplift without the accompanying infrastructure you have mass congestion, overcrowded schools and the supporting infrastructure just can’t cope,” he said.

Woollahra Council is one of the worst offenders of low development rates, with an annual growth of 0.2 per cent averaging at 61 homes built a year.

Last year councillors refused a plan to raise the maximum building height around Edgecliff station.

“The Woollahra LGA is extensively developed and comprises a unique mix of low, medium and high density housing, heritage items and heritage conservation areas and thus faces significant development constraints,” a Woollahra council spokesperson said

CIS report author and former Reserve Bank economist Peter Tulip said excuses around poor transport infrastructure was NIMBYism and that these councils were simply not pulling their weight.

“They say we can‘t have the housing because we don’t have the infrastructure, but when there is a proposal for more infrastructure they oppose that also,” he said.

“They want to keep some of the best real estate in Australia to themselves and keep out newcomers.”

Woollahra Mayor Susan Wynne declined to comment.

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