The Canberra suburbs set to build higher under proposed rezoning 

Planning changes in Canberra’s north could add up to 1000 homes along a key light rail zone. 

The ACT government has introduced draft planning reforms aimed at enabling new housing along transit corridors in Downer and Watson. 

The Draft Major Plan Amendment (DPA09) Northern Gateway reform proposes rezoning sites close to Northbourne Avenue and the Federal Highway to allow for more medium-density housing. 

The move follows the territory government’s broader plan to grow medium-density housing in areas well-connected to public transport. 

According to the government, these areas within Downer and Watson were identified as key locations for growth in the Inner North and City District Strategy. If passed, the reform could enable up to 1000 new homes along the busy corridor. 

As part of the reform, new maximum allowable building heights are being proposed. Areas being rezoned to RZ4 would be limited to three storeys, with the exception of blocks in Downer close to Northbourne Avenue and south of the Barton Highway, which would be limited to five storeys. 

Areas being rezoned to RZ3 in Watson would have the maximum allowable height reduced to 8.5 metres – the existing two-storey limit. 

“Transit oriented development is a key part of the government’s planning reforms to enable 30,000 new homes by 2030,” ACT minister for planning and sustainable development Chris Steel said. 

“We’ve already seen investment in light rail being a strong catalyst for new housing being built along the southern end of Northbourne Avenue. 

“These zoning changes will enable up to an additional 1000 well-located homes to be built in the northern end of the corridor, directly next to existing light rail stops at Swinden Street and Phillip Avenue.” 

The Property Council of Australia called the proposal an “important step” in delivering more homes in well-connected locations. 

“The Northern Gateway draft amendment shows what can be achieved when the planning system aligns housing supply with infrastructure and transport. With light rail stops at Swinden Street and Phillip Avenue, this uplift is a textbook example of compact, transit-oriented growth,” Property Council ACT executive director Ashlee Berry said. 

“Our members have consistently called for more diverse housing options near jobs, transport and services. This proposal provides exactly that – opportunities for townhouses, terraces and apartments that meet demand at different price points and support population growth to 2050.” 

The territory government also plans to progress separate planning changes within the Northern Gateway area, in the Thoroughbred Park precinct. 

This precinct was also identified as a change area in the Inner North and City District Strategy. The Territory Planning Authority is preparing a separate draft plan amendment for the whole precinct, expected to be released for consultation later in 2025. 

Community feedback on DPA09 is now open until November 2025 through the ACT’s planning website. 

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