Mobile tiny homes will be part of a new two-year trial. Photo: Shellharbour City Council.
A two-year pilot program allowing mobile tiny homes in backyards has been given the green light by Shellharbour City Council, offering an affordable and sustainable option for the region’s housing crisis.
However, during Tuesday night’s (23 September) council meeting, councillors had some concerns about the trial.
These small, moveable dwellings are built on trailers to be placed in back yards and can be registered like a vehicle under the Road Transport Act 2013, avoiding development fees.
Moved by Mayor Chris Homer, he said the pilot program highlighted council’s commitment to exploring innovative housing solutions to support the evolving needs of the community as it continued to grapple with severe housing challenges.
Cr Homer said all levels of government were seeking tangible options on how to house people in a “wealthy country”, describing Shellharbour as a “blue chip city” where the median house price was now $1 million.
“It’s about getting tangible options on the ground quickly, which we needed yesterday. This housing crisis is probably beyond 20 years in the making,” he said.
“This is about giving people more housing choices, while making sure everything is safe and well managed.
“This trial will help us see how well they work in our area.”
To allow the trial to proceed, council will prepare a planning proposal to change the Shellharbour Local Environmental Plan 2013.
It will allow mobile tiny homes to be installed on existing residential properties without a development application, but will be subject to strict conditions such as minimum setbacks, connection to essential services, and compliance with fire safety and construction standards.
Cr Kellie Marsh said tiny homes empowered residents with more options, not more barriers.
“Rents are rising, vacancy rates are falling, and many local families, workers and young people are being priced out of the very community they call home,” Cr Marsh said.
“Permitting a tiny home on existing housing blocks in Shellharbour offers a simple, low impact and cost effective way to provide relief to both renters and homeowners.”
She said renters gained affordable housing without the need for expensive large-scale developments, while homeowners could ease financial pressures through renting out a tiny home without subdividing or paying expensive DAs for a granny flat.
“Importantly, these homes can be built in a way that respects the character of our neighbourhoods,” she said.
“They’re low profile, environmentally friendly, and use existing infrastructure, meaning minimal strain on council services and a far smaller environmental footprint than larger developments.
“We’re talking about smart, small, sustainable homes that can make a real difference one backyard at a time.”
Councillor John Davey said he supported it, but was concerned about the visual impact on streetscapes, parking, and deterioration of roads through increased usage.
Cr Lou Stefanovski supported it for being “environmentally friendly due to their very small carbon footprint” and being affordable for the majority of people, but also had concerns they would be approved without any fees paid.
“A granny flat has a development application and would have some sort of a fee to pay to council,” Cr Stefanovski said.
“We also have introduced mobile or stationary food trucks around the city, and they also pay a council fee.
“The fact they’re going to bypass all the applications, and they’re not going to be charged anything, and yet, they can be rented to just about anybody out in the public and money can be made. I’m just a bit concerned there might be a small revenue council and our residents will be missing out on.”
Cr Rob Petreski asked about the impact of the loss of those fees on citywide infrastructure.
A staff member replied: “The cost of servicing a dwelling as an infill development is about 70 or 80 per cent less than servicing a new greenfield lot like you would get out at Calderwood, for example”.
Cr Petreski then asked about their effects on water, sewerage and stormwater, to which staff replied it was no different to a secondary dwelling that goes through the current pathway and that Sydney Water had already allowed for capacity in the network for this type of “background growth”.
Cr Mitch Ellis said the pros were far greater than the cons, including reduced energy usage, it not affecting resale value being a removable dwelling, and being able to “light up an entire home with one candle”.
He then added a touch of humour: “They say tiny homes bring people closer together, literally, because there’s nowhere else to go”.
The Planning Proposal must be approved by the NSW Government, including a gateway determination from the Department of Planning, Housing and Infrastructure. The process is expected to take up to six months.
Once approved, the planning proposal will be put on public exhibition for the community to have their say.
Council will monitor the pilot, with the potential to expand the program beyond the two years if successful.
