SGS Economics and Planning shows building heights would put a handbrake on development in Hobart, says Property Council

A report released today has found imposing strict building height in Hobart would likely stifle development prospects.

Aerial photo of Hobart CBD. Picture: PHIL YOUNG

DEVELOPMENT at key sites in central Hobart would be limited if building heights were lowered in the planning scheme, a new report released by the Property Council has found.

Released today, the report by SGS Economics and Planning was commissioned by the Property Council of Australia to assess three sites in central Hobart to see what the return on investment would be for commercial, hotel and residential developments at each location.

MORE BUILDING HEIGHTS NEWS:

HOBART COUNCIL VOTES DOWN CBD HEIGHT LIMIT OF 60M

HOBART VOTERS IN SUPPORT OF HEIGHT LIMITS

COMMITTEE CANS NEW BUILDING HEIGHT REPORT

The sites were 28-30 Davey St, 28-32 Elizabeth St and the K&D site in Melville St. SGS did feasibility testing for nine scenarios for each site and found that eight of a possible 27 would be feasible.

Hotel and residential developments were more likely to yield a desirable outcome for developers, but only if they had a large number of rooms/units. Commercial development was not considered feasible on any of the sites, no matter how high the density.

Property Council of Australia Tasmanian division executive director Brian Wightman said in all scenarios, reducing building heights would limit commercial, residential and hotel developments at the three sites.

Brian Wightman. Picture: MATT THOMPSON

“The broader implication is that other sites in Hobart may be affected in similar ways, which could act like a handbrake on future development opportunities,” he said.

A Hobart City Council spokeswoman said the report would be considered.