Changes to city planning system recommended
There are many factors that influence the success or failure of a particular property investment venture – including economic viability, market conditions, location – and the effectiveness of the city planning system.
Deciding where to put your effort and energy could be the main facet of your investment that determines potential future returns – and should therefore be selected with caution.
Transportation networks, proximity to services, and general mobility all affect tenant demand, and a poor city planning system can limit the attractiveness of your property if it is chosen incorrectly.
Fortunately, there have been recent efforts to improve city planning in Australia – a move that could bolster long-term investment profitability.
The Property Council of Australia (PCA), the Residential Development Council (RDC) and the Council of Australian Governments (COAG) announced the release of the COAG Reform Council’s Capital Cities Strategic Planning Systems Review – the foundation for the anticipated change.
PCA chief executive Peter Verwer spoke of the positive effects of such a movement – including increased liveability – and stressed the importance of the development.
He said: “Cities provide the surest pathway to sparking a productivity super cycle in Australia.”
As the review revealed that not one jurisdiction met the criteria adopted by COAG, the RDC is determined to inspire changes to reverberate through all facets of development.
Residential Development Council executive director Caryn Kakas said the current system is flawed and must be corrected due to its integrated layout.
“The links between housing, employment opportunities and infrastructure are key features of strategic planning for our cities,” she said.
The committee also recommends moving fast on the project by developing specific goals.
“The next COAG meeting should commit to a process that will set performance targets for cities,” Mr Verwer said.
Property investors may benefit from monitoring the progress of the new planning initiative as it may affect future ventures.