Proposal to dump 40ha land development rights will see land values fall

Farmers within cooee of Melbourne are being warned the Victorian Government’s move to strip them of land development rights will see their property values plummet. Just how much an expert says they will fall will shock you.

The current minimum lot size in each shire council for an “as-of-right” dwelling.

THE Victorian Government has been accused of hypocrisy in stripping farmers’ right to build a dwelling on 40ha or more, while carving up prime agricultural land surrounding Melbourne to construct 500,000 houses.

Planning Minister Richard Wynne has proposed dumping the 40ha rule in a bid to “better control” rural development within the zone and to protect Melbourne’s green vista.

But former Nillumbik councillor and rural landholder Jane Ashton said nowhere in the government’s Planning for Melbourne’s Green Wedges and Agricultural Land Consultation Paper does it mention how much land had been lost to Melbourne’s urban sprawl.

“I drive through Pakenham and Koo Wee Rup where there are massive housing developments pushing on to prime agricultural land,” Ms Ashton said. “But there’s no mention of the planning document; it’s hypocrisy.”

Mr Wynne and his bureaucrats have instead highlighted in the report that “between 2011 and 2018, an average of 560 dwellings per year were approved in rural zones”, about 4480 in total.

“It pales into insignificance when compared to the nearly 500,000 (housing) lots, many of which have taken prime agricultural land as part of the expansion of the Metropolitan Melbourne Urban Growth Boundary,” Ms Ashton said.

Ms Ashton is among hundreds of landholders alarmed at the Government’s move to strip farmers within 100km of Melbourne of their right to build on 40ha or more, branding it hypocritical and warning it would undermine land values.

Woodend real estate agent John Keating warned farm values would drop 50-75 per cent as a result of stripping farmers of their development rights.

“It is not fair that a planning policy change applied retrospectively can devalue a landowner’s property by more than 50 per cent,” Mr Keating said.

“Under the Planning & Environment Act 1987 the first objective of planning Victoria is

‘to provide for the fair, orderly, economic and sustainable use and development of land’.”

Analysis of the planning rules shows the “as of right” 40ha rule, applies across most shires that are wholly or partly with the 100km zone.

Planners are warning the loss of building rights would not only devalue land but add major administrative costs for landholders trying to gain a permit to build, with potential delays and neighbours able to lodge objections that could end up before the Victorian Civil and Administrative Tribunal.

Here are the current minimum lot size in each shire council for an “as-of-right” dwelling.

BALLARAT

Thoroughbred horse training areas 4ha or 10ha

All other land 70ha

BASS COAST

40ha with exceptions for two properties

BAW BAW

40ha

GOLDEN PLAINS

100ha

GREATER BENDIGO

Northern Highway (West) area 8ha

Huntly (South of Midland Highway) 64ha

All other land 40ha

GREATER GEELONG

Northern Rural area 80ha

South-west Rural area 40ha

Bellarine area 30ha

HEPBURN

Most land 40ha, with one area allowing 20ha.

Mount Alexander 40ha

MACEDON RANGES

40ha

MITCHELL

40ha

MOORABOOL

In an area close to the urban boundary 15ha

All other land 40ha

MURRINDINDI

40ha

SOUTH GIPPSLAND

40ha

STRATHBOGIE

Strathbogie Ranges 40ha

Goulburn Valley and Nagambie Lakes Area 40ha

Vegetation Protection Area 80ha

Broadacre Plains Area 80ha

Buffer Area for Rural Industries 100ha

SURF COAST

Thompsons Creek Catchment, Otway Hills and Coastal Hinterland 60ha

Winchelsea Plains 80ha

Barrabool Hills 40ha

Deans Marsh District 40ha