Melbourne's planning zones may be less restrictive than those of other Australian cities, but the inner-eastern suburbs remain a challenge for development advocates. The YIMBY Melbourne group's Australian Zoning Atlas reveals that while 81% of residential land within 20 kilometers of capital city centers is highly restricted, Melbourne only has 45% of its residential land under such restrictions. This permissive rule set has contributed to Melbourne's affordability and ability to absorb recent shocks, but it's not without its challenges. The inner-east's high prices indicate a strong demand for housing, yet current zoning rules prevent many from living there. The Australian Zoning Atlas highlights the Boroondara, Yarra, and Glen Eira councils as some of the most restrictive in Melbourne, with at least 75% of their residential land zoned restrictively. The Surrey Hills proposal to redevelop an orphanage into a 76-dwelling complex has sparked controversy, with nearby residents expressing concerns about the impact on their neighborhood. The project, despite being submitted for fast-tracked approval, has raised questions about the twisting of rules and the potential loss of heritage. The Australian Zoning Atlas suggests that a national townhouse code allowing three-storey development could create 1.5 million extra homes in Melbourne, but this idea is met with resistance from those who value the city's livability. The zoning research also coincides with a housing crisis in Victoria, where building completions fell short of the required number for the state to meet its target of 800,000 new homes between 2023 and 2033. While Melbourne's planning zones may be less restrictive, the city's housing market and development challenges remain complex, and finding a balance between affordability, livability, and heritage preservation is a delicate task.
