Employment Zones Reform – What does it mean & how will it impact your project?

The Employment Zone Reforms will see significant changes to our clients and projects located within a business or industrial zone. 

The reform will see the removal of business and industrial zones to form 5 Employment zones and 3 supporting zones.  The changes to land uses are important to note, as there can be negative impacts where previously permitted uses have been removed and will be prohibited. We came across this issue for one of our clients recently when it was noted that the retail development they were considering on their land will be prohibited in the new E3 Productivity Support zone.

We note that there is a two year period grace where the existing uses will continue to apply to the land, despite whatever new uses are considered. However we would encourage our clients to also look at clauses in LEPs for example limit the size of developments through square metre rates or other locally relevant provisions as its not clear whether these provisions will also have the two years of grace.

However it is not all bad…in some cases the reform will allow the additional lands permitted in areas they were not previously permitted.

It is important to note that there are transitional arrangements that can be applied to the current zoning up until 26 April 2025.

If you would like further information to determine how this affects your properties, business, and projects, reach out to the team for advice or read more here.

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