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Explore the New Townhouse and Low-Rise Planning Code by SON Architects
6 April 2025 by SON Architects

Victoria New Townhouse And Low-Rise Planning Code

Announced in February 2025, Victoria State Government introduced a new 'townhouse code' designed to accelerate the approval process for new home buildings up to three stories high. In effect from 1 April 2025, the new Townhouse and Low-Rise Code, is expected to fast-track the approval of residential developments

Easier Planning Process for Townhouse and Low-Rise Development

Premier Allan emphasised the current planning system’s inefficiency, noting that it often causes delays and uncertainty for homebuilders. The process is seen as frustratingly slow, with many applicants spending excessive time navigating an approval system that appears designed to deny progress. According to the Premier, the average planning permit assessment time previously sat at 145 days, well beyond the statutory deadline.


She highlighted the bureaucratic hurdles involved, such as repeated requests for additional information, long notice periods, and appeals. For example, the average VCAT waiting time from lodgement to hearing is 175 days. While this may be suitable for large developments, it is hampering the growth of small, high-quality residential projects that fit well with local communities.


The Townhouse and Low-Rise Code sets out essential standards for developments to ensure they are well-designed and suitable for their neighbourhoods. These include:

  •  Front, side, and rear setbacks, including a minimum of six meters at the front;
  •  Tree canopy and open space requirements, protecting trees above a certain size;
  •  A variety of apartment sizes (1-, 2-, and 3-bedroom units) to support families;
  •  Protection against overlooking and overshadowing for neighbouring properties;
  •  Adequate sunlight, storage, room sizes, ventilation, and private outdoor space;
  •  Energy-efficient, sustainable building standards.


Applications that meet these criteria will be "deemed to comply", allowing for fast-tracked approvals. Affected neighbours will be notified and given the chance to provide feedback, but there will be no opportunity for third-party appeals at VCAT. If a proposal doesn't meet the standards, it will undergo the standard planning process, and third-party appeal rights will be preserved.


Projects in areas with additional local planning requirements—such as heritage overlays or flood zones—will still need to comply with these local rules in addition to the new code’s standards. 

Application of Residential Development Standards - By Victoria Department of Transport and Planning

New Solution For Efficient PLanning and Residential Developm

The New Planning Code opens great possibilities for investors and land owners to further develop the

Developed with input from 148 stakeholders and 61 submissions from local councils, the Townhouse and Low-Rise Code builds on the 14 ResCode standards introduced in 2023. The government is also working on a code for buildings between four and six stories high and is exploring options for its implementation.


Premier Allan also announced plans to rewrite the Planning and Environment Act 1987, which has been criticized for being outdated and overly complex. The government’s goal is to simplify the process and consult with all 79 councils to ensure faster, more efficient housing development. Among the changes being considered are reducing planning delays and addressing the costs associated with rezoning and structure plans.


This initiative is part of a broader effort to make it easier for young people and workers to access housing more quickly and to foster a more streamlined planning and development process in Victoria.


Read more about the new townhouse and low-rise planning code of Victoria at 

https://www.planning.vic.gov.au/guides-and-resources/guides/all-guides/residential-development/townhouse-and-low-rise-code

Planning a townhouse or subdivision project in Victoria?

With recent updates to Victorian planning frameworks and local council controls, unlocking the full potential of your site comes down to getting the details right from day one.
Whether you're navigating neighbourhood character, site coverage, or dual-occupancy opportunities, SON Architects helps you navigate the entire journey—from initial feasibility through to council planning approval and detailed architectural design.


Let’s check if your site meets the latest requirements and turn your development vision into reality.

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Frequently Asked Questions

Please reach us at admin@sonarchitects.com.au if you cannot find an answer to your question.

The Townhouse and Low-Rise Code is a major reform to Clause 55 of the Victoria Planning Provisions (formerly known as ResCode). It introduces a codified, quantifiable assessment system for multi-dwelling residential developments and apartment buildings up to three storeys, replacing subjective guidelines with measurable standards. 


The code applies to:

  • Two or more dwellings on a single lot (e.g., dual occupancies, duplexes, multi-unit townhouses).
  • Residential apartment buildings up to three storeys in height across standard residential and mixed-use zones.


"Deemed to Comply" means that if a proposed design meets the specified numeric standards in the code:

  • The corresponding planning objective is automatically satisfied.
  • The responsible authority (local council) is not required to review subjective decision guidelines or broader local policies for that item.
  • Council cannot refuse an application based on a requirement whose standard has been fully satisfied.


When an application fully satisfies the quantitative standards of the code, third-party objector appeal rights are substantially limited. If an objective is deemed to be met, council planners can approve the permit without protracted neighbour dispute delays, giving property owners and developers greater certainty. 


  • Reduced Front Setbacks: The baseline front setback has been reduced from 9 metres to 6 metres
  • Simplified Rules: Rather than averaging setbacks across adjoining properties, the standard allows referencing the lesser setback of an abutting dwelling.
  • Objective Assessment: Subjective neighbourhood character policies have been replaced with clear, codified building envelopes.


Site coverage limits are now differentiated based on residential zoning to encourage housing density near amenities:

  • Neighbourhood Residential Zone (NRZ) & Township Zone: 60%
  • General Residential Zone (GRZ): Increased to 65%
  • Residential Growth Zone (RGZ) & Mixed Use Zone (MUZ): Increased to 70%


To balance land efficiency with usable outdoor space, the minimum secluded private open space requirement at ground level has been adjusted from 40 m² down to 25 m², allowing for more efficient site layouts and compact footprints while maintaining functional outdoor areas. 


The code introduces specific environmental and landscape benchmarks:

  • Tree Canopy Coverage: Mandates a minimum canopy cover of 10% of the site area for lots up to 1,000 m² (and 20% for lots greater than 1,000 m²).
  • Street Tree Protection: Vehicle crossovers and driveways cannot encroach on a street tree’s Tree Protection Zone (TPZ) by more than 10%.
  • Solar & Waste: Protection for existing neighbouring rooftop solar panels, along with dedicated internal and external waste/recycling storage provisions.


If a project cannot meet a specific numeric standard (for example, due to unusual site topography or boundary constraints), it falls back to a performance-based assessment. The council will evaluate whether the design still achieves the overarching objective using the relevant planning decision guidelines. 


 While the new code provides a faster pathway, taking full advantage of the higher site coverages, reduced setbacks, and canopy rules requires precision:

  • Maximising Yield: Ensuring townhouses meet every "deemed to comply" threshold to bypass delays and objections.
  • Internal Amenity: Balancing tighter footprints with excellent natural daylight, ventilation, functional room sizes, and acoustic performance.
  • End-to-End Compliance: Navigating complex zoning overlays, site constraints, and council submissions smoothly from day one.


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