Review of Redevelopment Projects Underway or Proposed for Public Land in the City of Sydney

03/04/2023 - Review of Redevelopment Projects Underway or Proposed for Public Land in the City of Sydney

By Councillor Ellsmore

It is resolved that:

(A)      Council note:

(i)         the City of Sydney contains significant areas of public land, which have been subject to redevelopment or privatisation by the former NSW Government;

(ii)        state planning controls more than 296 hectares of land in the City of Sydney - over 10 per cent of the Local Government Area;

(iii)      the isolation of these areas and sites from the City’s planning framework results in disconnected planning processes and outcomes for the City’s residents, workers and visitors;

(iv)      for many of these projects, the NSW Government relied on the planning pathway called ‘State Significant Development’ (SSD), which allowed developments to be fast-tracked and bypass local council’s decision making. Many SSD projects have been imposed on local communities despite strong community opposition;

(v)       under the former NSW Government, public land was transferred to government entities without the approval of the NSW Parliament including to the Transport Asset Holding Entity (TAHE) and the Land and Housing Corporation (LAHC); 

(vi)      TAHE controls billions of dollars worth of the state’s rail assets. It was set up in 2014 as a corporation and acts as the developer-arm of Transport for NSW which further erodes transparency around the use of public funds; 

(vii)     many inner city public land sites have been privatised in part or full, such as Barangaroo, or are proposed for redevelopment and privatisation including but not limited to TAHE sites of North Eveleigh (Paint Shop sub-precinct and Clothing Store sub-precinct) and Central Station, and Blackwattle Bay;

(viii)    the previous NSW Government also encouraged unsolicited proposals to government by private entities to purchase and develop public land sites;

(ix)      several projects that are in the privatisation pipeline have approaching deadlines where contracts may be signed, and others the status of which is still unknown;

(x)       the City reviews and makes comprehensive submissions including recommendations to improve State Rezoning Proposals and State Significant Development Applications in the City of Sydney;

(xi)      during the 2023 NSW election campaign, NSW Labor committed to review all major projects on public land;

(xii)     NSW Labor also committed to abolish the Transport Asset Holding Entity (TAHE) and to merge the Land and Housing Corporation (LAHC) the Aboriginal Housing Office and the Department of Communities and Justice Housing into one entity called Homes NSW;

(xiii)    the Council and the Lord Mayor have long advocated to NSW Governments for the return of state-controlled areas to the City’s planning framework;

(xiv)    in February 2023, Council endorsed a Lord Mayoral Minute on priorities for the next NSW Government including that planning powers are returned to the City;

(xv)     in March 2023, the Lord Mayor wrote to Chris Minns, the then Opposition Leader and now NSW Premier to commit to working with the City on these priorities; and

(B)      Council commit the City of Sydney to work collaboratively with the NSW Labor Government to urgently review all State Significant Development (SSD) Applications and ensure that any proposals adequately reflect community needs; and

(C)      the Lord Mayor be requested to again write to the incoming NSW Premier Chris Minns, and the incoming Minister for Planning to:

(i)         provide copies of the City’s submissions for all State Significant Development (SSD) projects currently under assessment by the Department of Planning and Environment that are on public land;

(ii)        offering support to the NSW Government’s review of those projects, including but not limited to Blackwattle Bay, Central Station and North Eveleigh sites; and

(iii)      reiterate the City’s position that planning controls over major projects should be returned to local councils, and the State Significant Development (SSD) planning pathway be abolished.

Note – at the meeting of Council, the content of the original Notice of Motion was varied by Councillor Ellsmore. Subsequently it was –

Moved by Councillor Ellsmore, seconded by Councillor Chan –

It is resolved that:

(A)      Council note:

(i)         the City of Sydney contains significant areas of public land, which have been subject to redevelopment or privatisation by the former NSW Government;

(ii)        state planning controls more than 296 hectares of land in the City of Sydney - over 10 per cent of the Local Government Area;

(iii)      the isolation of these areas and sites from the City’s planning framework results in disconnected planning processes and outcomes for the City’s residents, workers and visitors;

(iv)      for many of these projects, the NSW Government relied on the planning pathway called ‘State Significant Development’ (SSD), which allowed developments to be fast-tracked and bypass local council’s decision making. Many SSD projects have been imposed on local communities despite strong community opposition;

(v)       under the former NSW Government, public land was transferred to government entities without the approval of the NSW Parliament including to the Transport Asset Holding Entity (TAHE) and the Land and Housing Corporation (LAHC); 

(vi)      TAHE controls billions of dollars worth of the state’s rail assets. It was set up in 2014 as a corporation and acts as the developer-arm of Transport for NSW which further erodes transparency around the use of public funds; 

(vii)     many inner city public land sites have been privatised in part or full, such as Barangaroo, or are proposed for redevelopment and privatisation including but not limited to TAHE sites of North Eveleigh (Paint Shop sub-precinct and Clothing Store sub-precinct) and Central Station, and Blackwattle Bay;

(viii)    the previous NSW Government also encouraged unsolicited proposals to government by private entities to purchase and develop public land sites;

(ix)      several projects that are in the privatisation pipeline have approaching deadlines where contracts may be signed, and others the status of which is still unknown;

(x)       the City reviews and makes comprehensive submissions including recommendations to improve State Rezoning Proposals and State Significant Development Applications in the City of Sydney;

(xi)      during the 2023 NSW election campaign, NSW Labor committed to review all major projects on public land;

(xii)     NSW Labor also committed to abolish the Transport Asset Holding Entity (TAHE) and to merge the Land and Housing Corporation (LAHC) the Aboriginal Housing Office and the Department of Communities and Justice Housing into one entity called Homes NSW;

(xiii)    the Council and the Lord Mayor have long advocated to NSW Governments for the return of state-controlled areas to the City’s planning framework;

(xiv)    in 2019, Council endorsed a Lord Mayoral Minute calling for an end to State Significant Precincts, State Significant Developments and confidential unsolicited proposals that seek planning outcomes;

(xv)     in February 2023, Council endorsed a Lord Mayoral Minute on priorities for the next NSW Government including that planning powers are returned to the City; and

(xvi)    in March 2023, the Lord Mayor wrote to Chris Minns, the then Opposition Leader and now NSW Premier to commit to working with the City on these priorities; and

(B)      the Lord Mayor be requested to write to the incoming NSW Premier Chris Minns, and the incoming Minister for Planning to:

(i)         provide copies of all the City’s submissions for State Significant Development (SSD) and State Rezoning projects currently under assessment by the Department of Planning and Environment that are on public land;

(ii)        offering support to the NSW Government’s review of those projects, which should prioritise community needs, including but not limited to Blackwattle Bay, Central Station and North Eveleigh sites; and

(iii)      reiterate the City’s position that planning controls over major projects should be returned to the City, and the State Significant Development (SSD) planning pathway be abolished.

The motion was carried on the following show of hands –

Ayes (9)     The Chair (the Lord Mayor), Councillors Chan, Davis, Ellsmore, Gannon, Kok, Scott, Scully and Weldon

Noes (1)     Councillor Jarrett.

Motion carried.

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