Premier Jacinta Allan has announced an immediate implementation review will assess ways to reform the current subdivision process, which has faced criticism for its lengthy timelines and complexity.
It will examine how 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.
Key proposals include slashing subdivision approval times from 60 to 10 days and potentially introducing criteria-based planning permit exemptions.
Some scenarios may even eliminate the need for a planning permit altogether.
“If you’ve got land you don’t need, we’ll make it easier for you to subdivide it and sell it, putting money back in your pocket and giving another Victorian the chance to buy their own home,” Ms Allan said.
Minister for Planning Sonya Kilkenny expressed optimism about the impact these reforms could have on young Victorians.
“This will help more young Victorians get the opportunity to live in the communities they grew up, close to the people they love,” she said.
As part of the review, the Department of Transport and Planning will examine how approvals can be accelerated.
While aiming to fast-track approvals, the government stated that it will maintain clear limits on community priorities by consulting industry stakeholders to ensure these reforms align with community needs and expectations.
This includes matters such as trees and parking spaces, and overlay permit requirements like flood or heritage overlays will still apply.
The proposed changes follow regulatory shifts made in late 2023, allowing homeowners to build small secondary dwellings, like granny flats, without the upfront requirement of planning permits.
These earlier reforms have laid the groundwork for further advancements, providing homeowners more flexibility in utilising their land.
By expanding subdivision options, the government aims to increase housing choices in established neighbourhoods, offering convenient access to public transport, job opportunities, and educational facilities.
The changes are also expected to encourage families looking to downsize to subdivide their properties easily or construct new homes, thereby adding a layer of affordability and accessibility to the housing market.
At the same time, it will help Victorians wanting to downsize and prepare for retirement, allowing them to easily subdivide and either build another home or sell the land to young Victorians and families.
Final options are expected to be considered for implementation by April 2025.
Additionally, the government is rolling out a series of announcements addressing broader housing and infrastructure needs, which will be announced this week.
For more details, visit www.vic.gov.au/more-homes
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