Tweed Shire Economic Investment Indicators

Annual Report 2015/16

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Overall Development and Construction Activity

The small scale residential sector, new houses and alterations and additions to existing stock, have dominated this activity, with strong surges of activity in the greenfield estates of the Tweed Coast (Seaside City, Casuarina, Salt and Seabreeze), Terranora and Murwillumbah.

Whilst the general uptake of existing commercial, retail and industrial tenancies in existing premises have been relatively strong, there have been very limited approvals for new buildings.

The planning approvals activity for the new major greenfield sites if Cobaki, Kings Forest and Area E Terranora were significantly advanced in 2015/16, while the longer-term planning of new sites in Kingscliff, Mooball and Dunloe Park was activated by Council.

A renewed interest in the planning for new medium density residential development in the Tweed Heads CBD has been given a great boost by the identification of Tweed Heads as a regional city in the NSW State Government’s Draft North Coast Regional Plan.

The high level of approvals and construction activity of 2014/15 has continued in the 2015/16 period.

BELOW: The 15-dwelling housing develpment at Sedalia Place in Banora Point.

ABOVE: Bulk earthworks are well underway at Altitude Aspire in Terranora.

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Major Development Applications Approved

$2.5M 6 Florence Place, Tweed Heads: New RFB - 9 Units$3.7M 20 Kingscliff Street, Kingscliff: 50 lot residential subdivision$3.63M 81 Marine Parade, Kingscliff: TSC redevelopment of Kingscliff Beach Holiday Park$4M 13-19 Church Lane, Murwillumbah: 26 residential units, commercial conversion$5.99M Lot 358 Seaside Drive, Seaside City: 26 lot residential subdivision$5.27M 25 Sailfish Way, Seaside City: 20 lot residential subdivision$5.5M 21 Seaside Drive, Seaside City: 22 lot residential subdivision$5M LEDA Cobaki: Staged bulk earthworks - precincts 6,7,8,9,10,11,12$2.28M 5 Sedalia Place, Banora Point: Multi dwelling housing - 15 dwellings$11.9M Lot 54, Cylinders Drive, Seaside City: Mixed use - 40 dual use residential tourist units, commercial and retail$9M Lot 50, Cylinders Drive, Seaside City: Staged subdivision - mixed use 23 dual use units, commercial franchises, 7 small lot housing

Major Development Approvals

Your Council is Performing Well!

2015/16 Council Average Determination Times:• DAs - 66 days vs the State Average of

71 days• Section 96 applications - 61 days• Complying Development Certificates -

16 days vs the State Average of 18 days

BELOW: Roadworks to construct an access to the Dunes subdivision in Kingscliff.

ABOVE: Internal road construction at Fraser Drive Homestead Estate, an 86-lot residential subdivision, is expected to be completed by October 2016.

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Tracking of Building Unit Applications

ABOVE: Management plans are being prepared for a 40-lot housing development in Collier Street, Cudgen.

Prior to electronic lodgement

After intro electronic lodgement

NSW Average

NOW Statutory Target

DA house

39 49 71 39 40

Section 96

42 50 51 44 40

CDC 12 16 18 14 10/20

Building Activity and Council approvals

Building activity in the Tweed has been solid with the number of construction certificates in 2015/16 up eight per cent from 2014/15 levels.

A total of 193 DAs for houses were received and 200 processed in the quarter which shows that the housing industry is an important contributor to the Tweed economy.

Tweed Shire Council has implemented an electronic lodgement system for DAs and this has been very well received. In addition Council has commenced the use of Surface Pro tablets in place of hard copy files for all plumbing and building inspections.

Initially electronic lodgement and processing caused an increase in approval times, but as shown in the table below processing times are back on track and have remained well below State averages.

Table: House DA, section 96 and complying development approval times.

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Applications Granted 1 July 2014 to 30 June 2015

12 months to 30 June 2016

DAs 780 865CCs 382 382

CDCs 76 73Sewer 581 634Stormwater 627 611Driveway 395 392Watermeter Refer to Water Unit Refer to Water UnitPrivate Certifier Lodgement

1139 1253

CCs 554 538CDCs 160 110

FOC CDC 77 93FOC CC 313 468

INT OCC CDC 4 1INT OCC CC 31 43

Building Information 289 244Building Certificates 122 134Oustanding Notices 250 245Drainage Diagrams 1911 1850Total 6552 6683

Back to BASIX

BASIX is the system used in NSW to promote sustainability and energy efficiency in the building industry (see 'Smarter Designs' on pages 6 and 7). While BASIX is well used and allows flexibility in achieving sustainability measures a number of reports have suggested that it is not totally effective and needs.

The Pitt & Sherry review found there is minimal market pressure from home purchasers for energy efficient features, that some builders get away with not meeting requirements or substitute inferior and cheaper products, there is inadequate enforcement & a focus on documentation not delivery.

The review did note that consumers appear to trust that the regulatory process would work to protect their economic interests. So it is important that BASIX and Council processes work to provide the most cost-effective outcomes for home owners.

To understand the current industry view Council conducted a workshop with the building industry and asked:

• What is your experience with BASIX? Do you consider it effective?• What changes are needed to improve outcomes, to support industry?• What are other areas that the industry or council should focus on?

The general view of the consultants and industry representatives in attendance was that BASIX is not necessarily resulting in more liveable dwellings and the housing industry needs to do more to address this. Orientation, cross ventilation, materials/thermal mass, sustainable technologies and effective landscaping are proposed by Council as the top five liveability measures.

Assumption - just Building UnitAssumption - based on date granted/issued

Smarter DesignsSome simple design characteristics can go a long way to making your home more livable, comfortable and cost efficient.

Thermal mass and shading

Cross ventilation

Ventilation - Higher level windows or ceiling cavity will create stack ventilation which allows hot air to continually escape and be replaced by cooler air.

In winter - solar access should be maximised to improve heat gain from the lower northerly sun path. Floors and walls made of higher mass (brick, concrete, tiles) material will store heat during the day which will be released at night to warm the house.

In summer - protect your home from heat gain from low angle sunlight on the eastern and western walls by designing deep eaves, vertical shading, screens or blinds and integrating landscape and shade trees. Ensure good ventilation to mitigate the effects of thermal mass during summer months.

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Non-conforming building products

Over the past 12 months, there have been many reports of poor quality and even dangerous, non-conforming building products entering Australia. Fifty per cent of these are entering the market through major retailers, 30 per cent from specialist building industry suppliers and 15 per cent from Australian manufactures.

A few of the more notable incidents involving non-conforming products are:

• The presence of asbestos in 69 sites across Australia including the $1.2 billion Perth Hospital, Gold Coast University Hospital and the Queensland government building in 1 William Street.

• The Lacrosse Apartments fire in Melbourne, caused by substandard cladding that did not comply with fire provisions.

Building Professionals Board

The Building Professionals Board held its annual regional meeting in Tweed Heads on 16 May 2016 and met with Council Building Surveyors and Private Certifiers, discussing current initiatives and proposals to improve building regulation.

The BPB advised that complaints determined have increased from 60 in 2013/14 to almost 230 in 2015/16.

A number of significant fines were issued to builders and certifiers for various breaches.

A $3,000 fine was issued to a private certifier who issued a CDC and gave advice on an occupation certificate without formally being appointed as the Principal Certifying Authority. The BPB found that the certifier didn't convey the seriousness of not formally appointing a PCA, and of missing critical stage inspections. Importantly, the average home owners might be unaware they need to appoint a PCA, and that not doing so can jeopardise issue of an occupation certificate (OC).

BPB have been seeking comment on the new Plumbing Code (by 29 July) and Housing Code (by 12 August).

Insulation

Insulation - wall, floor and roof insulation enables a more stable internal temperature both during the summer (keeping heat out) and winter (keeping heat in).

WINTER

SUMMER

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• Fraser Drive Homestead Estate – 86 lot residential subdivision. Internal road construction works and Fraser Drive roadworks are expected to be completed by October 2016. The developer intends to commence the subdivision certificate process which is the final step of the subdivision prior to creation of new titles. Allotments will be available for settlement after October 2016.

• Dunes Subdivision, Kingscliff - 50 lot residential subdivision. Bulk earthworks including significant importation of fill material and retaining wall are now complete. Construction of a major roundabout in Kingscliff Street along with the installation of underground services such as water mains, sewer pipes and stormwater drainage is well advanced. Internal road construction is also complete. Allotments will be available for settlement before the end of 2016.

• Altitude Aspire (Area E) - The bulk earthworks are now well under construction. The Construction Certificate for the Stage 1 civil works (43 lots) has been recently approved by Council with construction of public infrastructure such as roads, sewer and water supply to commence immediately.

• Highway Service Centre (Northbound), Chinderah. Construction works associated with stormwater drainage, water supply works and bulk earthworks are proceeding. Subgrade stabilisation works and concrete encasement of Council’s existing 600mm diameter water main is complete. Traffic will soon be deviated off Tweed Valley Way onto the temporary slip lane to facilitate completion of the roundabout. Works on the M1 off ramp are well advanced and the developer has advised that they plan to open the centre before Christmas 2016.

• Riva Vue Estate stage 5 – 15 lot residential subdivision. Construction of the subdivision is nearing completion. It is expected that Rous River Way will be reopened to traffic in approximately two (2) weeks.

• Terranora Village stage 17A – 12 lot residential subdivision. Bulk earthworks are continuing with the commencement of civil works expected in September 2016.

• Casuarina Health Retreat – 21 lot residential subdivision. Filling operations are now complete and the installation of essential services such as sewer, stormwater drainage and water reticulation have commenced.

• Willow Avenue – 11 lot residential subdivision. Filling, road widening and the installation of public infrastructure is nearing completion. It is anticipated that the preparation of plans of subdivision for the creation of title will commence soon.

• Collier Street - 40 lot residential subdivision. Assessment of the Construction Certificate is now well advanced. The applicant is currently preparing various management plans for Council assessment.

Major Development, Subdivision and Rezoning Activity

ABOVE: Construction is nearing completion for Stage 5 of River Vue Estate in Murwillumbah. Rous River Way will reopen to traffic this month.

ABOVE: Construction of public infrastructure such as roads, sewer and water supply is set to begin soon at Altitude Aspire.

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ABOVE: A streetscape upgrade in Bay Street is contributing to optimism that Tweed Heads is poised to become more prominent as a commercial and civic centre.

BELOW: Stage 1 of a major redevelopment of Tweed City Shopping Centre in South Tweed Heads. South Tweed Heads continues to be a vital commercial and trade hub for Tweed Shire.

Major Business Centre ActivityTweed Heads

Key Indicators

ESTIMATED VALUE 2013/14 2014/15 2015/16

Approved DAs $7.4M $35.4M $9.62M

Approved CCs $0.7M $24M $1.96M

Summary of Activity

The identification of Tweed Heads as a regional city in the NSW State Government’s Draft North Coast Regional Plan provides an exciting opportunity for Council to fulfil the redevelopment vision promoted through the Tweed City Centre LEP and DCP, which seeks to provide for an increase in residential population by 7000 and 3000 new jobs by 2031. Council has also signalled a greater presence in Tweed Heads through the redevelopment of a new civic precinct and improved library/community facilities, in addition to the fit out of a new administrative centre in the former Southern Cross University building. Other emerging activity such as Council’s streetscape improvements in Bay and Wharf Street, and the NSW State Government’s plans for the redevelopment of a new Regional Police Headquarters and Upgrade of the Tweed Heads Hospital, provides a highly positive outlook for the more prominent positioning of Tweed Heads as a commercial and civic centre.

South Tweed

Key Indicators

ESTIMATED VALUE 2013/14 2014/15 2015/16

Approved DAs $167.6M $9.9M $5.09M

Approved CCs $6.2M $0.7M $1.37M

Summary of Activity

South Tweed continues to play an important role in supporting trade and commercial activity for Tweed Shire. The detailed planning for the advancement of the first stage of the major redevelopment of the Tweed City Shopping Centre is well underway, and its expected construction in the upcoming 12-24 months will provide a further re-activation of this precinct.

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ABOVE: New apartment housing being built in Pearl Street, Kingscliff.

Murwillumbah

Key Indicators

ESTIMATED VALUE 2013/14 2014/15 2015/16

Approved DAs $8.4M $19.2M $28.47M

Approved CCs $1.8M $3.3M $4.86M

Summary of Activity

The Murwillumbah CBD supports a thriving retail, professional services, cultural and food and beverage precinct, and more recently Council and the local business community have been working together to improve the connectivity between this precinct and the growing visitor attractions of the Tweed Regional Art Gallery and Museum. The emerging focus on restoring the Art Deco and other heritage character elements of the CBD, a burgeoning food and hospitality scene, and the art and cultural ventures, such as the Murwillumbah Country and Roots Music Festival, are all contributing to a reactivation of the town’s commercial appeal.

Kingscliff

Key Indicators

ESTIMATED VALUE 2013/14 2014/15 2015/16

Approved DAs $8.4M $19.2M $79.2M

Approved CCs $1.8M $3.3M $7.7M

Summary of Activity

In 2015/16, Council advanced a series of significant planning and approvals processes aimed at enhancing the environmental, recreational and commercial appeal of the Kingscliff foreshore, existing centre and broader locality.

The Kingscliff Foreshore Revitalisation is a three-stage $21.2 million project being undertaken by Council to protect and enhance facilities along the Kingscliff CBD coastline:

• Stage 1 will construct a permanent sea wall to protect the Cudgen Headland Surf Life Saving Club, Kingscliff Beach Holiday Park and Kingscliff Beach Bowls Club from erosion caused by storm events and projected sea level rises

• Stage 2 will refurbish and modernise the facilities and services at Kingscliff Beach Holiday Park, to better meet the demands of the visitors to the town, including a greater emphasis on cabin accommodation

• Stage 3 will create a Kingscliff Central Park, a community hub linking the Kingscliff central business district with the beach by providing oceans views from CBD businesses on Marine Park and establishing paths for improved beach access

Planning and approvals are well underway and construction is scheduled to start in early 2017, with work expected to be completed in 2019.

The broader planning of Kingscliff is also being advanced through the Kingscliff Locality Plan process. Following some earlier consultation stages, a draft Locality Plan is expected to be submitted to Council in the later part of 2016 to place on public exhibition. Within this process, Council is working closely with the local business community, residents of established areas, and the major landowner Gales Holding.

ABOVE: Council has boosted its presence in Tweed Heads by purchasing and redeveloping the Southern Cross University building, as well as upgrading library and community facilities at the existing Tweed Heads Civic and Cultural Centre.

Customer Service 1300 292 872 (02) 6670 2400

tsc@tweed.nsw.gov.auwww.tweed.nsw.gov.auFax: (02) 6670 2429PO Box 816Murwillumbah NSW 2484