Housing Action Plan 2026
July 2026 City of Hobart Housing Action Plan 2026
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Acknowledgement of Country In recognition of the deep history and culture of our city, we acknowledge Tasmanian Aboriginal people as the Traditional Custodians of this land. We acknowledge the determination and resilience of the Palawa people who have survived invasion and dispossession and continue to maintain their identity, culture and rights. We recognise that we have much to learn from Aboriginal people today, who represent the world’s oldest continuing culture. We pay our sincere respects to Elders past and present and to all Aboriginal people living in and around Hobart.
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City of Hobart Housing Action Plan 2026
Contents Acknowledgement of Country
2
Lord Mayor’s foreword
4
Introduction Purpose
5
Scope
5
6
Role of the City of Hobart
Background
7
7
How we developed the plan
Strategic context
10
Action plan 1. Incentives and deterrents
13
2. Efficient regulatory processes
16
3. Strategic land use planning
19
4. Underutilised land
24
5. Exemplar projects
26
6. Working with the community
28
Key Definitions
30
City of Hobart Housing Action Plan 2026
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Message from the Lord Mayor Like all cities across Australia, Hobart is experiencing a housing crisis. In recent years, Hobart has seen house purchase and rental prices rising as well as significant increases in land values. Sadly, it is becoming increasingly harder for many individuals and families to find a suitable home. The City of Hobart has a responsibility to act where it can to enable housing development that is diverse, sustainable and meets community needs. Our Housing Action Plan sets out a short to medium term approach to increase housing density and diversity in the Hobart local government area. We recognise that different families and individuals have different housing needs, and so a key priority is expanding the range of housing options available to meet these diverse needs. There is also a clear need to increase housing affordability, availability and housing supply. Rental affordability and loss of long-term rental stock to short-stay visitor accommodation is a growing concern leading many to experience rental stress.
The plan was developed through extensive research, analysis and builds on conversations from our Housing Forums and our regular meetings with the Greater Hobart Homelessness Alliance, which have helped inform the plan. We thank the housing sector and community representatives for their input and look forward to receiving community feedback on the action plan.
Cr Anna Reynolds LORD MAYOR
The action plan outlines actions to encourage residential development and investment in infrastructure through incentives, strategic land use planning reform, collaboration and council involvement in exemplar projects.
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City of Hobart Housing Action Plan 2026
Introduction Purpose The Hobart Housing Action Plan has been prepared by the City of Hobart to provide a clear strategy-led plan to respond to the need for more affordable housing stock for our diverse communities. Home ownership and renting in the Hobart local government area is not affordable for many members of our community. The cost of constructing new homes in Tasmania has increased dramatically over the past few years and there is a limited, appropriate greenfield land supply in Greater Hobart near education, employment, health services and public transport. By fostering collaboration and innovation, we aim to empower the housing sector to deliver solutions that make home ownership
Project Vision City of Hobart Housing Action Plan 2026
and renting in the City of Hobart within reach for all members of our community. Through evidence-based strategic planning and sustainable practices, we will provide a framework to meet housing needs.
Scope The City of Hobart’s focus for the action plan is to provide a concise short to medium term plan that identifies actions to increase the affordability and supply of housing in the Hobart local government area. A background paper has been prepared to support this action plan. This paper provides information relevant to the current housing situation in the Hobart LGA, including: demographics, the strategic context, drivers of change, and the cost of inaction.
To build a future where all members of our community have access to affordable housing options in the City of Hobart. 5
Role of the City of Hobart Local government can help create additional housing in a few key ways. However, it’s important to recognise that many factors affecting housing are outside the City of Hobart’s control. The City can take on several roles in the delivery of actions including: Delivering actions that are within its control. Partnering with organisations to deliver actions the City of Hobart cannot achieve alone. Advocating for actions to be undertaken by other levels of government or nongovernment organisations. Timing Timing is categorised to align with organisational timeframes such as the Capital Works Program and the City’s Strategic Plan: •
Short term: from endorsement to end financial year period 2027.
•
Medium term: 2027-29 financial year period.
•
Ongoing: Business as usual.
Timeframes are only provided as a guide and will be further refined as an implementation program is developed for each action.
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Who is who The City of Hobart, or the City, refers to the organisation or municipal administration. The Hobart local government area (LGA) refers to the Hobart local government / municipal area. The community refers to any individual, household, organisation, business or group that lives, works or plays in the Hobart LGA. Control The City is responsible for decision making across its core business and statutory responsibilities. This includes strategic land use planning, service delivery and managing Council owned land including facilities, buildings, assets and open space. Influence The City has shared responsibility or partial control. For example the City can develop regulatory mechanisms within the Hobart Provisions Schedule of the Tasmanian Planning Scheme, but is unable to change the State Planning Provisions. The City enforces the National Construction Code, but this is delivered and controlled by other levels of government. Concern The City can create awareness or understanding on issues important to the community. It can also take on the important role of educating the community about aspects of housing including affordability, density and diversity and how homelessness affects everyone.
City of Hobart Housing Action Plan 2026
Background The City of Hobart actively works with grassroots community groups, homelessness support services, charitable organisations and all levels of government to address homelessness in a comprehensive and collaborative manner. Following the Homelessness Crisis Forum held in 2019 the City convened the Greater Hobart Homelessness Alliance to drive collaborative projects, addressing homelessness through short to long-term solutions. The City also established the Housing with Dignity Reference Group, providing people with lived experience of homelessness or severe housing stress a direct voice in the City’s response to the issue. The City developed a Housing and Homelessness Strategy 2016-19, Affordable Housing and Homelessness Commitment 2021-23 and homelessness related actions are now incorporated in the Hobart: A City for All Implementation Framework 2025-28.
How we developed the plan 2016-19
Housing and Homeless Strategy
2019
Homelessness Crisis Forum
2021-23
Affordable Housing and Homelessness Commitment 2024-25
Stakeholder Engagement
2025
December 2024 City of Hobart Housing Forum
2025
DRAFT Hobart: City for All Implementation Plan
City of Hobart DRAFT Housing Action Plan
2025
Feb-Mar 2026
Community Engagement
2025
Hobart: City for All Implementation Plan
Community Engagement
July 2026
City of Hobart Final Housing Action Plan
2026-29
Tyson’s story is part of the I Am Somebody art project.
City of Hobart Housing Action Plan 2026
Implementation
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How we developed the plan The City of Hobart has undertaken extensive research, analysis and stakeholder engagement with representatives from the housing sector to inform this action plan. The data used is the most up to date information available to the City at the time of publication. The action plan references information from a range of sources. Research Research conducted by the project team has drawn on a wide range of relevant sources and strategic documents, including the: • • • •
Tasmanian Housing Strategy 2023-43. Southern Tasmania Regional Land Use Strategy 2010-35. 30 Year Greater Hobart Plan. State of the Housing System 2024 report by the National Housing Supply and Affordability Council.
Analysis Key data sources included community profile .id, (informed decisions) the ABS Census, and the 2024 Rental Affordability Index. Community profile .id provides up to date information and demographic resources, including their housing monitor, social atlas, population forecast, economic profile and community views.
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The Rox is medium density housing and visitor accommodation in Hobart designed by Core Collective Architects.
A detailed summary of the research and data used to inform this action plan is included in the background paper. Stakeholder engagement The Hobart Housing Forum, held by the City in December 2024, was a critical input for this project. The forum identified challenges facing the housing sector and opportunities for improved affordability and increased housing supply. “The focus should be for the provision of good quality housing in the right locations over the long term.” The Housing Action Plan identifies actions developed from this research, and ideas raised during stakeholder engagement; including policies, development controls and projects to stimulate housing across the Hobart local government area.
City of Hobart Housing Action Plan 2026
HOBART
Hobart population by age group
19.5%
STATE OF HOUSING
13.3%
12.8%
12.7% 12%
11.4%
10.3%
Our people
5.5% 2.4%
Understanding who we are and how we live
0-14
15-24 25-34 35-44
45-54 55-64 65-74 75-84
POPULATION (estimated Resident Population) June 2024
Population increase Hobart LGA – 2018 to 2024
55 977 3%
Hobart LGA Median Age
Greater Hobart
7.5%
37 years
Tasmanian Median Age
42 years in 2021
85+
21% Of residents aged 65 or older in 2023
WHO WE ARE AND WHAT WE DO
869
People identify as Aboriginal or Torres Strait Islander
People who use a language other People with than English a university at home qualification
People born overseas
29% 21% 49% 29% 23% 10% 67 492
11%
Lone person households
4.6% 2.4
People with a trade qualification
Older couples without children households
Couple with children households
People with a disability
People per household in 2021
Local jobs
Top 5 employing industries:
1. Health Care and Social Assistance 2. Public Administration and Safety
HOUSING TENURE
441
people experience homelessness (estimate 2021)
Land area
77.78
square km
Population density
719.7
people per square km
10.5%
of Tasmanians experiencing homelessness identify as Aboriginal or Torres Strait Islander
City of Hobart Housing Action Plan 2026
3. Education and Training
4. Professional, Scientific and Technical Services 5. Accommodation and Food Services
35%
households renting 31% are renting privately 4% are in social housing
27%
are in rental stress
26%
of households are mortgaged
5%
are in mortgage stress
34%
households with no mortgage
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Strategic context This Action Plan has been developed within the context of the City’s own strategic plan, as well as a range of strategies, plans and policies developed at a state government and local government level.
Hobart: A community vision for our island home Hobart: A community vision for our island capital articulates the kind of future Hobart that communities would like to see. The Vision sets the City’s ten-year Strategic Plan and is the basis for all activities and decisions for years to come. The City of Hobart aligns its strategies, plans, and actions with community values and aspirations. From the endorsement of this document onward, all Council initiatives are designed to fulfill the vision, ensuring that local communities shape their desired future. Pillar 7. Built Environment is the most relevant. Pillar 7. Built Environment We are a city that maintains our unique built and ecological character, where we all have a safe, secure and healthy place to live. We are a city where people and communities can access world-class services and infrastructure and provide for their social, cultural and economic wellbeing. We embrace change but not at the expense of our Hobart identity and character.
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7.1 We all have access to an affordable home 7.1.1 Our city is our home, and we all have access to a place to live, no matter our life stage or situation. 7.1.2 We support diversity in our housing supply, acknowledging that different housing types suit different people. 7.1.3 We recognise that not all of us want or need to buy a home and ensure a supply of rental properties. 7.1.4 Housing is affordable, and none of us experiences housing stress. 7.1.5 We have housing available for those of us experiencing disadvantage. We cater for vulnerability. Social housing is part of, not separate from, the communities, services and access that are everyone’s right.
City of Hobart Housing Action Plan 2026
Southern Tasmania Regional Land Use Strategy The regional strategy guides strategic land use and planning directions over the short, medium and longer-term (up to 25 years) and set the direction for how land use change, growth and development in Tasmania’s regions will be managed. A review and update of the STRLUS is currently being undertaken by the State Government.
Tasmanian Housing Strategy, 2023-2043 The Tasmanian Housing Strategy sets out a vision to end homelessness, by delivering a well-functioning housing system that provides safe, appropriate and affordable housing for all Tasmanians, with the intention to reduce demand for social housing and crisis accommodation.
30-Year Greater Hobart Plan The 30-Year Greater Hobart Plan identified that population growth is best placed in areas with high amenity and good services, to maintain the key attributes that make these areas liveable and attractive.
Climate Ready Hobart Strategy The Climate Ready Hobart Strategy sets out how the City of Hobart and our community can work together to respond to the climate and biodiversity emergency and prepare for the future as we move towards 2040.
Hobart Design Guidelines The Hobart Design Guidelines are a handbook created by the City to help shape how our city looks, feels and works. They’re about making new buildings, streets and public spaces reflect what makes Hobart special – our connection to nature, history, culture, local businesses and each other.
Medium Density Design Guidelines The Medium Density Design Guidelines were developed by the Tasmanian Government to support the delivery of high quality, well designed medium density housing in Tasmania. They offer practical advice for the early stages of development.
Hobart: A City for All Hobart: A city for all is the City’s Community Inclusion and Equity Framework that outlines the City’s role in creating a city for all.
2050 Vision for Greater Hobart: We will live in the world’s best small capital city, a city built for people, that is connected, friendly and safe. Greater Hobart is a thriving and inspiring place to live, where we all work together to make a positive contribution to our extraordinary environment.
City of Hobart Housing Action Plan 2026
The Implementation Framework includes homelessness actions directly related to the overarching inclusion and equity framework with a focus on collaboration and cooperation with all levels of government, as well as with the housing and homelessness sector and most importantly, with people who have a lived experience of housing stress or homelessness.
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HOBART HOUSING FORUM
LIVE POLLING FEEDBACK WHAT'S THE ONE CHANGE THAT YOU THINK COULD MAKE HOUSING DEVELOPMENT MORE VIABLE IN OUR CITY? Modular housing
Reduced regulatory fees
6.3%
Reduced infrastructure costs
25%
8.3%
Mixed use development
12.5%
9.1/10 average
Other
22.9%
16.7
WHICH BARRIERS TO DEVELOPMENT DO YOU FIND MOST CHALLENGING? Construction costs 13
There is a housing affordability and availability crisis in Hobart?
9.1/10
How important is it for sectors to collaborate on housing opportunities?
6.5/10
The City supports housing development in Central Hobart and surrounding suburbs?
average
Reduced land costs
average
BIGGEST CHALLENGE IN ONE WORD Cost (15 responses)
Difficulty in securing funding 7
NIMBYs (5 responses)
Regulatory delays and uncertainty 7 Land banking 5
Governance (4 responses)
Infrastructure costs 4
Fragmented land ownership 4
Vision (3 responses)
Community opposition 4 Land costs 2
WHICH TOPIC DISCUSSED TODAY WILL YOU CONSIDER FURTHER IN YOUR DELIVERY OF HOUSING IN HOBART? Viability of development
5
Increased housing type and diversity
7
Affordability of housing
7
Collaborative housing models
8
Development of underutilised land
17
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SCALE OF 1 TO 10, TO WHAT EXTENT DO YOU AGREE OR DISAGREE THAT...
95%
of attendees would be interested in participating in further engagement activities for the City of Hobart’s Housing Strategy.
City of Hobart Housing Action Plan 2026
Incentives and deterrents The City of Hobart can incentivise new housing development through its fees, charges and rates. Overview Residential development in Hobart is often not financially viable, which has led to both fewer applications and fewer applications progressing to completion. Offering incentives may encourage developers to seek approval earlier than they otherwise would.
Incentives Infrastructure upgrades The cost of upgrading infrastructure, such as stormwater, water and sewer, was identified as a barrier to development in Hobart. The City can work with service providers to minimise these costs for developers. Fee waiver A waiver or rebate of fees has the potential to incentivise landowners and developers to seek approval for residential development sooner, by lowering their upfront costs. The City can incentivise residential development through short term savings for landowners in order to achieve long term benefits for the community and the City. Rates relief A short-term reduction in rates can encourage developers to start or finish residential construction sooner. Alternatively, rate reductions could be City of Hobart Housing Action Plan 2026
applied following the completion and occupancy of a residential development.
Deterrents Visitor accommodation regulation The City recognises the impact that the conversion of whole houses to visitor accommodation has had on rental affordability in the Hobart local government area. It is acknowledged that visitor accommodation has some value in supporting our tourist economy. However, the ease of converting a dwelling to short term visitor accommodation has contributed to a reduction in housing supply for long term tenants, contributing to the housing crisis. At the date of this action plan, 681 properties are currently used for visitor accommodation rather than providing a home for someone in Hobart. There are more than 100 additional properties that have a permit for use as visitor accommodation, with a steady stream of future applications. It is much faster and cheaper to change the use of short term visitor accommodation back to a dwelling, than it is to build a new dwelling. The City intends to lodge a planning scheme amendment to prohibit the change of use of an entire dwelling to visitor accommodation with the Tasmanian Planning Commission in due course. 13
Vacant dwellings
is to ensure housing stock is retained.
A study in 2022 identified 563 vacant dwellings across the Hobart local government area. Utilising these dwellings would increase housing supply, potentially reducing rental costs and homelessness.
It also ensures owners of residential land used for the commercial purpose of short stay visitor accommodation contribute to the provision of council services and facilities that are associated with that commercial use. The differential rate is similar to the commercial land use rate.
A differential rating may be considered appropriate to deter vacant dwellings.
Differential rates Differential rates and other rating tools allow councils to address strategic objectives for funding and service delivery and provide flexibility for local rating issues, as well as manage property value fluctuations between different categories of land. A differential rate is applied when a council deems a uniform general rate across all land to be inequitable. Short stay visitor accommodation Differential rates apply to all rateable residential properties in the local government area used for the commercial purpose of short stay visitor accommodation with a Council permit. The policy objective for applying a differential rate to short term accommodation properties 14
The City of Hobart’s differential rate is set at 200%, being double the differential set for residential land. The City will continue to review the differential rating policy for short stay visitor accommodation and vacant residential land, and consider whether they have been effective. Vacant land – residential Differential rates apply to all rateable residential vacant land properties in the Hobart LGA. Its objective is to encourage the development of vacant land for housing and other purposes, promote the optimal use of all properties to stimulate economic growth across the LGA, discourage land banking, and ensure that owners of vacant land contribute equitably to the overall rate burden. City of Hobart Housing Action Plan 2026
What the City of Hobart is doing Action
Method
Timeframe
1.1 C ontinue to impose additional rates for land used for visitor accommodation or where land capable for development for residential use is left vacant.
Deliver
Ongoing
1.2 Prioritise compliance activity towards visitor accommodation use to ensure there is no illegal use.
Deliver
Ongoing
1.3 I ncrease fees for applications for visitor accommodation use to better reflect the commercial nature of the use.
Deliver
Short
1.4 R eview the Inner-City Housing Supply Incentives Packageand refine as required based on feedback from the housing sector.
Deliver Partner Advocate
Short
1.5 U ndertake a study to investigate the number of long term vacant dwellings and investigate ways to encourage property owners to use their existing vacant dwelling for long term rental.
Deliver
Medium
1.6 Review a range of policies to ensure they are not having adverse outcomes on appropriate residential development including: • Public Open Space Contributions Policy. • Establishment of Bushfire Hazard Management Areas in Bushland Reserves for New Development on Adjoining Property Policy.
Deliver
Short
1.7 Develop an incentive to support property owners in delivering gentle‑density outcomes via models such as bluefield, co‑located, or co-operative, infill development models - to increase the diversity, affordability and sustainability of our housing supply.
Deliver
Short
What the City of Hobart will do
City of Hobart Housing Action Plan 2026
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Efficient regulatory processes The City of Hobart will do all it can to ensure its processes and systems support clear and predictable pathways for efficient assessment of residential development. Overview Regulatory processes are often criticised as a barrier or hurdle for the creation of housing. The regulatory framework is mandated by the State Government. The City of Hobart’s role is to assess applications against that framework. This includes the Tasmanian Planning Scheme. The City is responsible for the assessment of a range of applications as part of the development assessment process, including planning, building and plumbing applications. The City does all it can to ensure its processes and systems support clear and predictable pathways for efficient assessment of residential development. Role of planning Planning is vital because it guides change in communities and regions, leading to more equitable, livable and sustainable places. It ensures that housing, infrastructure and services are well-managed, creating environments where people can thrive. Good planning fosters strong communities by addressing needs for housing, jobs and recreation, and by ensuring fairness and access for current and future residents.
interests, and achieves community and environmental goals by establishing clear rules and regulations for land use and development. It provides certainty for developers and the community, promotes high-quality design and sustainable outcomes, ensures infrastructure aligns with development, and protects the environment and cultural heritage. Applying for planning approval is often the first step before carrying out a development. Planning applications can be complex and require input from a variety of experts, with applications referred to internal staff such as development engineers, stormwater officers and heritage officers, as well as State Government agencies such as TasWater and Heritage Tasmania. While the planning process is often criticised as preventing further housing, in Hobart, there are approximately 900 residential dwellings that currently have a planning permit issued but have not progressed to construction. It is understood the current high cost of construction is one of the many contributing factors to this delay in starting new projects.
Statutory planning is important because it manages growth, balances competing 16
City of Hobart Housing Action Plan 2026
Role of building and plumbing approvals Importantly, building and plumbing applications are intended to provide protection for the person who is carrying out a development but also future owners and users of residential property. Failure to adhere to the regulatory framework can lead to safety risks or expensive repair work. Building approvals are largely overseen by private building surveyors, with only the largest projects requiring a permit to be issued by the City of Hobart based on the recommendation of a building surveyor. Building regulation ensures that the safety and quality requirements of the National Construction Code (NCC) are adhered to for all residential development. Plumbing approvals are granted by the City based on the Australian Standard, which governs residential plumbing requirements. The City must follow the legislative procedures for these approvals, including assessing the substance of applications. There are no private plumbing surveyors involved in this process as there are for building, with the approval relying more on the City of Hobart. Development contributions Development contributions are payments or works – either in kind or in lieu – and facilities or services that developers provide towards infrastructure to meet future community needs.
City of Hobart Housing Action Plan 2026
Queens Walk housing designed by Cumulus Architects for Housing Choices.
Although Tasmania does not have a single legislative framework for development contributions, the practice is well established in other Australian states. In Tasmania, development contributions are collected in a piecemeal, ad-hoc manner. A clear and predictable system would make development more streamlined.
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Efficient regulatory processes What the City of Hobart is doing Action
Method
Timeframe
2.1 Continue to meet with developers and representative organisations, including through regular developer forums, to develop more efficient processes and systems within the City of Hobart’s development services and work towards finding solutions.
Deliver Partner
Ongoing
2.2 Undertake an internal review of development services within the City of Hobart to ensure our processes and systems are efficient and implement necessary changes.
Deliver
Short
2.3 Promote and continue to offer pre-application advice at no charge for residential development that results in additional dwellings.
Deliver
Ongoing
2.4 Develop a process to fast track the assessment of planning applications for residential use resulting in new dwellings, and resource as required.
Deliver
Short
2.5 Advocate for changes to regulatory processes by the State Government to enable efficient assessment and constuction of residential development.
Advocate
Ongoing
2.6 Provide a development concierge service, separate to development assessment, to support broader discussions with landowners and developers, identify potential incentives and proactively support further housing development.
Deliver
Medium
2.7 Investigate ways in which AI can be used to make the Deliver regulatory processes for the City’s development services Partner more streamlined. Identify potential state or local government partners to collaborate with.
Medium
What the City of Hobart will do
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City of Hobart Housing Action Plan 2026
Strategic land use planning Strategic planning is required to investigate rezoning and other mechanisms to deliver permitted pathways for appropriate higher density housing in areas close to services, education, employment and public transport. Overview Strategic land use planning is an integral part of the process to delivering greater housing density in well-located areas with good access to jobs, services and public transport.
H2G urban renewal project The Planning Institute of Australia (PIA) launched an advocacy effort for the Hobart to Glenorchy (H2G) project in 2025.
Granting development rights
Activating the H2G corridor is a ‘once in a lifetime’ city-shaping opportunity to renew a transit corridor which contains the greatest concentration of underutilised sites in Tasmania, redefine housing solutions and create a vibrant, sustainable urban community supported by a fit-for-purpose transport solution.
Strategic land use policy settings can be used to grant development rights to increase the viability of social and affordable housing. This can occur either through the rezoning of land or allowing for an increase in development potential through specific planning provisions.
The City’s structure plans for Central Hobart and North Hobart have identified significant opportunities for development within this corridor. The implementation of these plans will require significant investment in infrastructure such as stormwater.
Increased density, building height and a reduction in the number of car parking spaces, in specific areas close to public transport, should be considered to deliver more viable housing.
Important elements include: • Medium density housing • High-quality public spaces • Public transport service and infrastructure improvements • Social infrastructure • Vibrant activity centres • Urban greening,open space and recreation facilities • Responding to climate change risks • Environmental areas to be protected.
Structure plans, such as the Central Hobart Plan and North Hobart Neighbourhood Plan, are instrumental to enabling higher density in Hobart by ensuring the right planning policy settings and mechanisms are in place.
City of Hobart Housing Action Plan 2026
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Northern Suburbs Transit Corridor Urban Renewal project As part of the Hobart City Deal, all levels of government are working with stakeholders to unlock the residential potential of the Northern Suburbs Transit Corridor. The goal is to make the area more “development ready” by amending the planning scheme. This initiative aims to encourage housing growth near the corridor, offering more choice and addressing the current housing shortfall. By concentrating development around urban services, it supports a more liveable, sustainable city and better integration of housing with community infrastructure. Residential car parking reduction Car parking spaces can add considerable cost to a residential development as their construction and the area required to build them are significant. The changing nature of car ownership and car sharing is also relevant. Therefore, a permitted pathway to enable reduced car parking numbers for residential development in suitable locations near active and public transport services requires investigation.
Gentle density and bluefield housing Gentle density offers benefits like increased housing supply, enhanced community vibrancy and reduced urban sprawl by optimising land use in existing neighbourhoods through infill development. It promotes affordability and preserves neighbourhood character while making better use of existing infrastructure. It has a tendency to be more acceptable to the community. Bluefield or co-located housing integrates new additions with existing homes, looks and feels like single-family housing, but operates financially and legally like a small group of units. Planning scheme amendments would be required to implement the co-located housing model in Hobart. This has taken place in South Australia.
Types of housing illustrated in the Medium Density Guidelines. 20
City of Hobart Housing Action Plan 2026
Secondary residence (granny flat) A secondary residence, commonly known as a granny flat, provides an opportunity for members of the community to contribute to increasing housing supply. A secondary residence can currently be built up to an area of 60m2. This generally allows for a one-bedroom dwelling. However, if this size was increased this housing typology could provide housing solutions for multigenerational living or larger households. Many properties in the Hobart local government area are large enough to build an attached or detached secondary residence through new construction or renovation of part of an existing house.
The Tasmanian Government has prepared a draft amendment of the State Planning Provisions which proposes to make changes to provide greater flexibility for secondary residences (often referred to as ancillary dwellings or granny flats) by increasing the allowable gross floor area from 60m2 to 90m2. It is anticipated that the Tasmanian Planning Commission will review public submissions, hold potential hearings, and submit a final assessment report to the Minister for Housing and Planning. An official decision will be made following this process.
What is the mix of housing?
This chart compares the housing diversity in the City of Hobart to Greater Hobart. It is clear that 3 bedroom, separate houses make up the majority of the housing stock, despite the fact that most households in the City consist of couples and lone persons. City of Hobart Housing Action Plan 2026
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What the City of Hobart is doing Action
Method
3.1 Continue to work with the State Government, and other local governments to undertake strategic planning to promote greater housing density in well-located areas with good access to jobs, services and transport. Consider natural hazards and disaster risk reduction. Including projects such as: • the Southern Tasmanian Regional Land Use Strategy • Tasmanian Planning Policies.
Deliver Ongoing Partner Advocate
3.2 Continue to work with the State Government, and other local governments to deliver mechanisms to enable infill housing, and greater housing diversity and density, while protecting amenity. Including projects such as: • Reviews of the Tasmanian Planning Scheme. • Improving Residential Standards Project. • Northern Suburbs Transit Corridor Urban Renewal project.
Deliver Ongoing Partner Advocate
3.3 E ngage with the Planning Institute of Australia (PIA) and other stakeholders on initatives such as the H2G (Hobart to Glenorchy) urban renewal project.
Deliver Ongoing Partner Advocate
3.4 Continue to pursue opportunities to limit the growth of short term rental visitor accommodation, including through planning scheme amendments for a Specific Area Plan to prohibit the change of use of a residential dwelling to visitor accommodation in residential zones.
Deliver
Short
3.5 I mplement actions set out in the City of Hobart’s endorsed structure plans, such as the Central Hobart Plan and North Hobart Neighbourhood Plan, including planning scheme amendments, relating to rezoning, densification and built form controls.
Deliver
Short
3.6 U ndertake master planning for larger strategic sites to maximise their development potential and community benefit, including the Innovation Precinct identified in the Central Hobart Plan.
Deliver
Ongoing
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Timeframe
City of Hobart Housing Action Plan 2026
What the City of Hobart will do Action
Method
Timeframe
3.7 I nvestigate mechanisms to enable temporary and short term residential use for emergency housing solutions in appropriate locations. Temporary change of use to enable: • Use of land to offer short term housing solutions such as demountable buildings. • Short term residential use of vacant buildings such as offices, hotels and student accommodation.
Deliver
Ongoing
3.8 Investigate the potential for a regulatory change to reduce the number of car parking spaces required for dwellings in areas where there is adequate access to active and public transport.
Deliver
Short and ongoing
3.9 A dvocate for the State Government and large employers to consider developing key worker housing for their employees near the workplace. Work with them to identify potential appropriate locations for medium to high density housing close to large employment centres, such as the Royal Hobart Hospital and the University of Tasmania.
Advocate
Short and ongoing
3.10 U ndertake strategic land use planning to support medium density residential and mixed-use development. Explore opportunities to enable bluefield, co-located and cooperative housing in appropriate locations, considering the local context, including neighbourhood character and climate change risk and resilience.
Deliver Partner
Short and ongoing
3.11 A dvocate for the State Government to create a clear and cohesive approval process for the different types of secondary residences, including a tiny house on wheels.
Advocate
Short
3.12 A dvocate for changes to the strata title act to better accommodate bluefield development.
Advocate
Short
3.13 Engage with the Tasmanian Aboriginal Centre (TAC) on their statewide aboriginal housing review.
Partner
Short
City of Hobart Housing Action Plan 2026
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Underutilised land The development of underutilised land emerged as the highest priority at the Hobart Housing Forum, with representatives from across the housing sector supportive of unlocking existing sites for infill development. Overview Land affordability and availability The cost and supply of appropriate sites for development is a significant barrier to residential development. Appropriately zoned land, suitable for affordable housing, located close to services, transport, education and employment is required. The cost of land in these locations is high, so the subsidisation of development costs is required to make housing viable. Subsidisation could come in the form of government funding, landowners making appropriate land available at reduced cost, as well as collaboration with not-for-profit and faith-based organisations interested in the provision of affordable housing. Adaptive reuse of existing buildings Adaptive reuse means giving an existing building a new purpose. It helps preserve the site’s history and makes use of the building’s existing materials, which reduces environmental impact. Adaptive reuse can be appropriate for buildings listed on the Tasmanian Heritage Register, or protected by the Local Heritage Code.
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Adaptive re-use of non-residential buildings can provide opportunities for medium density housing and mixed use developments, including ‘shop-top’ apartment living. There are many underutilised buildings located within the Hobart local government area. Existing buildings, no longer required for their original use or fit for their original purpose, provide opportunities for a ‘change of use’ to include residential dwellings. Examples include: • Buildings which are empty or partly occupied, including shops and cafes with a vacant first or second floor. • Sites that contain a building, but have the potential for adaptive reuse for multistorey development. • Sites with large areas of underutilised land including land used for at grade car parking. Underutilised buildings, including dwellings, that council own may be utilised for short term housing in collaboration with organisations such as Housing All Australians. Housing All Australians (HAA) is a Public Benevolent Institution, established to mobilise private sector resources to increase the supply of affordable housing across Australia. They operate on the principle that profit and purpose are not mutually exclusive, a philosophy they describe as compassionate capitalism.
City of Hobart Housing Action Plan 2026
Underutilised land What the City of Hobart will do Action
Method
Timeframe
4.1 Investigate a dedicated adaptive reuse program to encourage the adaptation of existing buildings to include new residential dwellings, including shop-top housing, and conversion of single dwellings into multiple dwellings. Program to include relevant research projects, fact sheets and assisting property owners and developers with advice. Similar to the City of Adelaide’s Adaptive Reuse City Housing Initiative (ARCHI), which is partly funded by the State Government.
Deliver Partner
Short
4.2 Undertake analysis of underutilised land within the Urban Growth Boundary that may have potential for alternate higher order use such as housing, including opportunities for collaboration on affordable and social housing projects. The highest and best use of land to be identified, and natural hazards and disaster risk such as floods and bushfire to be considered. Land analysis to include: • Council owned land and buildings. • Crown land within the City of Hobart. • Church and charity owned land. • Privately owned land.
Deliver, Partner, Advocate
Medium
Note: Council’s Strategic Property Management Committee is currently undertaking analysis of Council owned land and buildings.
City of Hobart Housing Action Plan 2026
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Exemplar projects High-quality, mixed-tenure, medium-density housing projects are needed to demonstrate to the market that this model can succeed in Hobart. Overview Experts who attended the Hobart Housing Forum agreed that exemplar projects are needed to demonstrate that high-quality, mixed-tenure, medium-density housing can benefit the community, promote sustainability and accessibility, and succeed in Hobart. Exemplar developments can prove the viability of untested housing models locally, to investors, developers, lending institutions, and the broader community, many of whom are unfamiliar with higher density living. Precedents There is a lack of precedents that illustrate the viability of a mixed tenure, medium density housing model in Hobart. However, there are a range of examples across Australia that illustrate the benefits of mixed tenure, medium and high density housing models, including the Nightingale Model. In South Australia, the Nightingale project in Bowden is a mixed tenure development with 50% of dwellings managed as rentals by the not for profit housing provider, Housing Choices. Common Ground in Adelaide is a supportive housing response that offers wrap-around services to residents and the community.
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While the City of Hobart does not own a large amount of underutilised land suitable for residential development, further strategic plans could reveal opportunities for potential development and collaboration across the Hobart local government area. The Condell Place car park was identified in the North Hobart Neighbourhood Plan as being appropriate for medium density residential development. The structure planning process recognised the potential to provide community benefit in the form of public open space, a community centre, or similar, and a lower ground car park on the site. A feasibility study is proposed to investigate these options further. The Innovation Precinct in Hobart is identified in the Central Hobart Plan as an area with substantial potential for mixed use and residential development. This is an appropriate area for an Infrastructure Investment Plan to identify priority infrastructure upgrades and new infrastructure for a compact, resilient and liveable city and the mechanisms and partnerships to deliver these.
City of Hobart Housing Action Plan 2026
What the City of Hobart is doing Action
Method
Timeframe
5.1 Investigate opportunities to collaborate with Homes Tasmania and/or Building Tasmania, a not-for-profit housing provider, and/or developer to deliver housing on Council owned land. Feasibility studies should: • Include mixed tenure with affordable and social housing, and market housing to rent or to buy. • Consider wrap-around services for social housing. • Facilitate provision of other community benefits, such as a community centre.
Deliver
Short and ongoing
5.2 Undertake an Infrastructure Investment Plan for Central Hobart and North Hobart to identify priority infrastructure upgrades and new infrastructure needed for a compact, resilient and liveable city and the mechanisms and partnerships to deliver these. This action is to accord with the Long-Term Finance Plan and Strategic Asset Management Plan.
Deliver Partner
Short
Partner
Short and ongoing
What the City of Hobart will do 5.3 I dentify and showcase exemplar housing developments that illustrate best practice design and development of underutilised land to the community and housing sector, property owners and developers. Work with Homes Tasmania and/or Building Tasmania, the housing sector and property owners to prepare case studies, events and open days to illustrate the benefits and opportunities of a variety of housing typologies.
City of Hobart Housing Action Plan 2026
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Working with the community Working with the community to better understand their concerns regarding the housing crisis to enable more constructive conversations about residential development. Overview Engaging with the community to better understand their concerns regarding the housing crisis to enable more constructive conversations about residential development. Providing information to the community to promote a socially sustainable community may help break down the stigma of social and affordable housing and improve public perception of medium density housing typologies. Housing sector group Many organisations are working to address the housing crisis, but there’s often a lack of communication and shared understanding across the sector. This makes it harder for groups to work together effectively. Housing experts and representatives from across the housing sector who attended the Hobart Housing Forum strongly agreed that there is a housing affordability and availability crisis in Hobart, and nearly all participants were interested in continuing discussions.
Housing information program There is a need to better communicate incentives, such as the Housing Density Incentive Grant Scheme, to encourage members of the community, landowners, developers and other stakeholders in the housing sector to build more medium density affordable housing in the Hobart local government area. The Density Incentive Grant Scheme was a Tasmanian Government initiative to help increase the supply and diversity of housing. Grants of $10 000 per dwelling were available to incentivise developers to build medium and high-density housing developments, up to a maximum of 50 dwellings per developer. This program was closed in late September 2025. When the City of Hobart provides incentives for residential development, it will be important to provide opportunities for engagement with the housing sector to promote and monitor the effectiveness of these initiatives.
Key stakeholders include the Institute of Architects, Engineers Australia, Homes Tasmania, Housing Industry Association, Local Government Association, Master Builders Association, Property Council, Shelter Tasmania, TasTAFE and UTAS.
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City of Hobart Housing Action Plan 2026
What the City of Hobart will do Action
Method
Timeframe
6.1 Investigate ways to communicate the benefits of additional medium and higher density housing provision to the community.
Deliver
Short and ongoing
6.2 Develop a working group of representatives from the housing sector to: • Discuss current issues, facilitate understanding and foster a collaborative approach to achieving better housing outcomes. • Provide feedback on the progress and effectiveness of the Housing Action Plan and monitor its implementation.
Deliver, Partner
Short and ongoing
6.3 Collaborate with organisations such as the Australian Institute of Architects and the Planning Institute of Australia to deliver community education initiatives and produce communications content, from existing and new sources, for Council’s social media channels, to promote the importance of housing affordability, availability, densification and housing diversity, through events and campaigns such as Open House Hobart, World Town Planning Day, and the Future Hobart Forum.
Partner
Ongoing
6.4 Engage with the Palawa/ Tasmanian Aboriginal community on housing in Nipaluna Hobart to get a better understanding of their perspective, priorities, preferences, and needs in the future.
Partner
Short and ongoing
6.5 Work with Homes Tasmania to help break down stigma surrounding social and affordable housing and improve public perception of medium density housing typologies.
Partner
Ongoing
City of Hobart Housing Action Plan 2026
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Key definitions Affordable housing refers to housing for purchase and rental, including social housing, that is appropriate for the needs of very low to moderate-income households. This is means housing that costs no more than 30 per cent of a household’s gross income.
Grouped house is two or more dwellings on a single lot, often single or double storey and detached.
Affordable rental housing refers to properties that are made available at rents below market rates and are affordable for low to moderate income households. Typically, this means rents are set at or below 80 per cent of market rates and not more than 30 per cent of a household’s gross income. It includes key worker and social housing.
Low-rise apartments are typically a building of three stories or less, often referred to as a garden-style apartment or walk-up apartment, and sometimes a manor house, or six pack. These buildings are generally found in less densely populated areas and offer a more intimate, community-oriented environment compared to high-rise buildings.
Build to rent (BTR) is the process whereby developers and their financiers build multiunit buildings and, and retain them to rent. Rents may be set at market rent or, for affordable and social housing, at an appropriate discount to market rents.
Mid-rise apartments are typically a residential building with 3 to 6 storeys, offering a balance between the community feel of low-rise buildings and the convenience of high-rise. Their efficient use of space and accessibility to urban conveniences is increasingly desirable.
Co-operative housing is a community where members live independently and collectively manage affordable, sustainable housing. Key worker housing refers to affordable rental or purchase options for workers in essential services who often struggle to afford housing due to their income or the high cost of living in areas close to their employment. Medium density housing typologies include single-storey villa developments, duplexes and co-joined dwellings, terrace housing, townhouses, apartment buildings up to six storeys, shop top housing and mixed-use residential developments with commercial tenancies.
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Terrace house or Townhouse is a house built as part of a continuous row in a uniform style.
Missing middle refers to medium-density housing that is on the building spectrum (or “in the middle”) between single-family homes and high-density. Examples of the ‘missing middle’ may include townhouses or buildingsthat contain multiple apartments. Mixed tenure refers to the mix of housing tenures in a particular location. The idea underpinning tenure mix policies is that a diversity of tenure types in a given area will engender socio-economic diversity that will reduce the area effects of concentrated disadvantage and engender social inclusion.
City of Hobart Housing Action Plan 2026
Mixed-use renewal Mixed-use renewal means the redevelopment of land that blends multiple uses, either within buildings and/or across multiple buildings on larger sites. Uses can include, housing, retail, hospitality, office, community or cultural uses. Retirement villages are a community for people aged 55 and over, offering independent or serviced living with shared amenities. Some provide optional care services and may be run by private, charitable, or not-for-profit organisations. Secondary residences often called a “granny flat” or “ancillary dwelling,” is an additional dwelling on the same site as a main house. They are subject to specific planning rules and regulations within the Tasmanian Planning Scheme - Hobart and must be self-contained, currently have a gross floor area not more than 60m², belong to a single dwelling, and share access, parking, and services.
Supported accommodation is housing combined with a support service. This type of housing provides higher-level care, support or supervision for vulnerable people with particular needs. Temporary housing means residential use or development for a period of not more than 12 months commencing from the date on which an occupancy permit or temporary occupancy permit is issued in accordance with Part 17 of the Building Act 2016. Tiny houses are typically understood as smaller dwellings, whether on wheels (like a caravan or trailer) or as a permanent structure, intended for residential use. They are often seen as a more sustainable or financially attractive housing option compared to larger traditional houses.
Social housing is housing provided by the government and community sectors to assist people who are unable to afford or access suitable housing in the private rental market. It includes public housing, state owned and managed Indigenous housing and community housing. Rents are affordable as they are set as a proportion of household income. Student housing includes a range of living options, including residential colleges, selfcontained studio apartments or shared apartments with communal amenities.
City of Hobart Housing Action Plan 2026
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Hobart Town Hall, Macquarie Street, Hobart, Tasmania 7000 Australia t (03) 6238 2711 f (03) 6238 2186 e coh@hobartcity.com.au w hobartcity.com.au