Marrickville residents Face Displacement as affordable Housing Scheme Fuels Growth Fears
A controversial New south Wales housing scheme designed to incentivize affordable housing is instead raising concerns it’s leading to the loss of low-cost rental options, as residents of a Marrickville apartment block face potential demolition. Erina Delinicolas,a tenant at 50-52 warren Road,learned of the proposed redevelopment – a nine-story block of flats – not through official channels,but from a friend asking,”How are you feeling about them demolishing your house?”
The incident highlights a growing anxiety among residents in Sydney’s inner west,where a surge in development applications is threatening to displace long-term tenants,including students,essential workers,and seniors. The proposed demolition of the art deco building on Warren Road is proceeding under a state government “in-fill” bonus, allowing developers increased density – up to 30% – in exchange for designating up to 15% of the project’s dwellings as affordable rentals for 15 years. After that period, rents can revert to market rates.
This scheme has already been demonstrated in high-profile redevelopments, such as The Chimes building in Potts Point, where existing affordable studio and one-bedroom units renting for $350-$380 per week are being replaced with apartments selling for up to $10 million.The Marrickville application, while more modest, would see 17 existing low-cost rental units replaced with 43 new units, only eight of which would be designated as affordable.
Jane Williams, a researcher at Western Sydney University, asserts that redevelopment doesn’t have to result in the loss of low-rental housing. “Short-term incentives risk the loss of generational affordability,” she explained, adding that more stringent affordable housing policies in countries like the UK offer a potential model. she emphasized that developers require “predictable planning rules and financing frameworks” rather then temporary bonuses.
The development application (DA) for the Warren Road block, which closed for public submissions on Thursday, is currently being assessed by the Inner West council’s planning panel, following changes implemented under the state government’s Transport oriented Development (TOD) zones. These zones permit six- or seven-story unit blocks within a 400-meter radius of train stations,possibly adding 7,800 homes to the area within five years.
NSW Planning Minister Paul Scully defends the In-fill Affordable Housing bonus, stating that the number of affordable homes approved or in the pipeline already exceeds national housing accord targets.”We’re seeing more affordable homes than ever,” he said, while acknowledging the council must consider the merits of each individual DA.
The Warren Road development is separate from the council’s “Our Fairer Future” plan, which proposes building 30,000 homes in the LGA over the next 15 years, including high-rises of up to 22 stories.The state government is currently assessing this plan, but residents and advocates fear the Marrickville demolition could set a precedent for the loss of older, low-rental dwellings under the broader development proposals.
Inner West Mayor Darcy Byrne maintains the Warren Road DA is unrelated to the “Our Fairer Future” plan,which requires 2% of all new units to be affordable,increasing to 3% after three years. Last month,the council voted to require a 20% contribution for any additional floor space beyond the plan’s new height limits,ensuring that contribution remains affordable in perpetuity. However, Byrne cautioned that “mindless opposition to new homes” is “the reason that young people are being forced out of the inner west en masse.”
Local architect Eddie Ma, who submitted an objection to the DA, argues that properties like Warren Road serve as crucial “stepping stones” for young renters and a safety net for older, more vulnerable tenants. “most people have lived in housing like warren Road at some point,” he noted.
madeleine Evans, a resident of the building for just over a year and an inner west resident for more than 70 years, expressed her dismay at the changing housing landscape. “Growing up, there was always a chance for people to get housing, but now they’re taking the chances away,” she said, reflecting a growing sense of despair among long-term residents facing an increasingly unaffordable city.
