Randwick Council Votes for Moratorium on New Commercial Student Accommodation
Randwick City Council in eastern Sydney has voted unanimously to support a moratorium on new commercial for-profit student accommodation within its local government area (LGA). This decision addresses concerns that student housing developments are significantly outpacing residential housing approvals in key areas.
Over the past six years, the 2.5-kilometer stretch of Anzac Parade between Kensington and Kingsford has seen approvals for over 5,200 student rooms, contrasting with fewer than 500 new residential dwellings.
Randwick Mayor Dylan Parker characterized this 10-to-1 ratio as "perverse," stating the council supports student education but seeks a more balanced housing mix. This corridor, adjacent to the University of New South Wales (UNSW) and well-connected by public transport, is a primary location for commercial student housing.
Council's Rationale
Councillors plan to petition NSW Planning Minister Paul Scully to exclude specific areas from policies that grant advantages to co-living housing, including student accommodation.
These policies allow for bonus floor space, exemptions from apartment design guidelines, parking requirements, and facilitate the development of compact "micro rooms." Cr Parker suggests these regulatory adjustments could accelerate the provision of residential housing.
State Government and Developer Responses
NSW Planning Minister Paul Scully indicated that the state government is "not considering blanket exemptions for any councils" regarding these policies.
Anouk Darling, CEO of Scape, a prominent student accommodation provider, asserted that purpose-built student housing is "vital" for relieving pressure on the wider rental market. She added that restricting new supply could push more students into an already strained market, potentially harming all residents.
Student Perspectives
UNSW student Lars Nolles, who relocated from Orange, described significant challenges in securing a traditional rental property in the Randwick LGA due to high demand. He ultimately found housing outside the area.
Sylvia Wang, another UNSW student, highlighted the community benefits and convenience of student accommodation, particularly for international students who can reserve rooms remotely, bypassing the complexities of in-person rental applications.
Matt Arkell from the housing advocacy group Sydney YIMBY criticized the council's position as "baffling," arguing that UNSW and tertiary education contribute substantial economic value to the region. Mayor Parker acknowledged this value but reiterated that housing for community residents remains the council's primary concern.