Council mayor Liz Campbell is proposing to reduce the cost of residential subdivision development by offsetting developer contributions through a moratorium THE Kempsey Shire Council is proposing to reduce the cost of residential subdivision development in the Kempsey township area by imposing a moratorium on developer contributions for five years.
Council has received feedback from the local development industry indicating that under current and foreseeable market conditions, development costs, including developer contributions required by council, are resulting in residential subdivision in Kempsey being unviable.
An analysis was subsequently undertaken by council to determine the impact developer contributions were having on residential subdivision, which confirmed as a result of current and foreseeable land values compared to comparable towns on the North Coast, residential subdivision in Kempsey is currently unprofitable.
Council mayor Liz Campbell said the council has been talking to people about what is needed to attract people to Kempsey.
“We need to have good housing stock coming online, but the market needs assistance to ensure the land is available ahead of the housing demand,” Cr Campbell said.
“We have had good research done that shows the need for council to act to promote the continued growth of Kempsey which will pay us back in the future.”
Cr Campbell said the council is keen to ensure a steady release of land that provides land and houses to attract people to the Kempsey area, as well as supporting a stable building industry locally.
“We do need to look at the impact of charges on development more broadly, but that will involve a larger discussion with the community about what they see as a fair and reasonable approach to generating growth in the Shire,” Cr Campbell said.
“For now, we need to get the ball rolling in Kempsey. People do want good housing in Kempsey, and we have to encourage land releases so that we are well placed to capture residents as growth occurs.
The details of the moratorium will be placed on public exhibition for a minimum of 28 days to give the local community an opportunity to provide feedback.
This story Administrator ready to work first appeared on Nanjing Night Net.