New Housing Incentives For Granny Flats In Lismore
Lismore City Council has introduced new incentives to encourage the development of secondary dwellings, also known as granny flats, in urban areas across the city.
Council will waive 100% of its developer contributions for secondary dwellings in sewer-connected areas until 30 June 2027. This means residents will no longer have to pay the additional levies normally charged on top of standard development application costs, making it significantly cheaper to add a granny flat to their property.
Mayor Steve Krieg said the initiative is part of Council’s Affordable and Diverse Housing Incentives Policy, designed to respond to Lismore’s changing housing needs.
“This is a practical step that will make it easier and more affordable for people to build a granny flat,” he said.
“Whether it is to provide space for family or rental income, this policy helps residents invest in housing that supports both their household and our wider community.”
Lismore’s Acting Head of Planning and Environment, Jamie van Iersel, said the policy aims to stimulate housing options that are in demand but not being delivered by the market.
“Secondary dwellings are one of the most flexible and affordable ways to increase housing supply,” she said.
“By removing developer contributions for the next two years, Council is lowering a key cost barrier and encouraging more residents to consider building.
This supports the targets in our Affordable and Diverse Housing Strategy, which commits to ensuring 40% of new housing in Lismore is diverse or medium density by 2033.”
Applicants who receive the 100% fee waiver of developer contributions, can also combine the Council’s $15,000 Housing Grant Program incentive if eligible, which is helping residents, landowners and housing providers to build or relocate new homes, within the Lismore Local Government Area.
The grants cover six categories, including first-home buyers, landowners adding a second small dwelling, flood-affected relocations and developers delivering affordable rental housing.
With nearly half of the $1.2 million funding pool already allocated, Council is encouraging eligible residents to apply as soon as possible.
Residents considering a granny flat are also encouraged to take advantage of Council’s free duty planning service, available on Tuesdays and Thursdays. The service offers a 30-minute session with a Development Assessment planner who can provide general planning advice in person or over the phone.
If you live in an urban area and are considering building a granny flat, we encourage you to speak with a planner who can talk you through the steps, including the developer contribution discount and the housing grant.
The policy and grant program form part of Council’s broader Affordable and Diverse Housing Strategy, which aims to make housing more accessible, sustainable and aligned with Lismore’s long-term community needs.
https://www.lismore.nsw.gov.au/Council/Latest-news-and-updates/Latest-news/New-housing-incentives-for-granny-flats-in-Lismore