New building code opens up lots under 100sqm

Not everyone wants to build big, especially around activity centres, public transport hubs and hybrid opportunities in shopping strips where many underused small parcels of land exist.

Diversifying housing stock is the intension of a new policy from the Victorian government.

“More homes means more opportunity” is the Victorian government’s catchcry for the initiative, which will make it easier to build more homes on smaller parcels of land in growth areas in Melbourne and regional cities.

Minister for Planning Sonya Kilkenny announced changes to the Small Lot Housing Code, making it easier to get different types of homes off the ground in growth areas.

She said that while the large, detached family home continued to be popular in Melbourne’s new suburbs, there was increasing demand for smaller homes, and these changes will give Victorians more choice.

“Through these changes we’re also strengthening design standards, so that we’re not just building more homes but building better quality homes.”

The existing code allows homes to be built on blocks less than 300sqm without a planning permit if the set of design standards are met.

As a result of industry feedback, updates to the code introduce a new type of home that can be built on lots less than 100 square metres without a permit.

This includes building townhouses on skinnier longer blocks, which was not covered as part of the original code.

Updates to the code also bring in improved design standards for lots under 300 square metres to ensure homes are better suited to modern living, including larger balconies, more windows facing the street, and more space for trees and greenery.

By removing requirements, such as the need for double garages, the updated code allows for more greenspace, smarter housing designs and homes up to four-storeys.

The Small Lot Housing Code applies to residential and mixed-use Precinct Structure Plans in Melbourne’s Urban Growth Zone, as well as special purpose zones in Cardinia, Casey, Hume, Melton, Mitchell, Whittlesea, and Wyndham, Geelong, Ballarat, Baw Baw, Cardinia and Knox.

These updates aim to increase housing diversity and affordability, making it easier for smaller families and single-person households to find homes that meet their needs.

To allow time for adjustment, the updated code will have a two-year transition period.

Developers can begin using the new standards immediately, but the existing code will remain in effect until the end of 2026.

The update to the code was the result of extensive consultation with industry and builds on the previous 2019 code.

Separately, the Victorian government is examining how the state’s planning and building systems can be streamlined, enabling more Victorians to add a second home, build two new homes, or subdivide a block into two lots.