Missing Middle Reforms Greenlit, Homes on Way

The Property Council of Australia has welcomed the ACT Government's approval of its missing middle housing plans – Major Plan Amendment 04 to the Territory Plan - which clears the way for the reforms to be implemented across Canberra's suburbs.

Property Council ACT & Capital Region Executive Director Ashlee Berry said the announcement by Planning Minister Chris Steel today followed clear and consistent calls from industry to move quickly following positive recommendations earlier in May by the Legislative Assembly Standing Committee on Environment and Planning.

"It's encouraging to see the Government moving with urgency to drive the outcomes intended in these plans. We thank Minister Chris Steel and the City and Environment Directorate for prioritising this important work and now urge all members of the Legislative Assembly to support swift passage of these practical reforms to increase housing supply," Ms Berry said.

Ms Berry said today's decision builds on groundwork laid by the Property Council's own research, which helped frame the missing middle debate in the ACT.

"Two years ago, we commissioned independent research by Purdon that demonstrated Canberra's suburbs could accommodate tens of thousands of additional homes through carefully designed, low‑rise housing, without losing neighbourhood character," she said.

"That work helped shift the conversation from whether missing middle housing was possible, to how it should be delivered, and it set the tone for the reforms now being approved.

Ms Berry said enabling townhouses, terraces, multi‑occupancy housing and low‑rise apartments in Suburban (RZ1) and Suburban Core (RZ2) zones would help unlock housing supply in established areas close to jobs, services and transport.

"This is about restoring balance to Canberra's housing system. For too long, the planning rules have forced a choice between a freestanding house or a large apartment, with very little in between."

Ms Berry said missing middle housing was critical for local builders, developers and trades, who rely on smaller, lower‑risk projects, and who have been squeezed out by complexity, delay and rising costs.

"When the settings are workable, these are exactly the projects that our local industry wants to deliver. That's good for supply, good for local jobs, and good for competition," Ms Berry said.

"These reforms will also help to expand options for young people and key workers trying to enter the market, growing families and older Canberrans looking to rightsize while staying in or close to their community.

"More choice at different life stages is what a functioning housing system looks like. This is about giving all Canberrans a realistic chance to live near jobs, transport and family."

Ms Berry said acting quickly after the committee process was critical, particularly given weak approvals and the need to rebuild a reliable pipeline of well‑located homes.

"The Government deserves credit for setting a clear legislative timetable after the committee review, but delivery ultimately depends on how the final settings address feasibility and post‑approval barriers," she said.

"Approvals remain fragile and feasibility is under real pressure. The policy debate has run its course. Canberra doesn't need any more process. It needs homes."

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