Residential zones in significant portions of coastal towns in Tweed and Byron Shires are now dominated by non-hosted short-term rental accommodation (STRA), removing much-needed housing from the long-term rental market, pushing up real estate prices and reducing community cohesion.
With 1,400 non-hosted short-term accommodation properties in the Tweed Shire ‘where the host does not also reside on the property’ Tweed Councillor Dr Nola Firth will be putting a Notice of Motion (NoM) to this afternoon’s Tweed Shire Council (TSC) meeting to begin a process of ‘enabling local control by Council over short-term housing’. As part of this proposal, they seek the introduction of ‘a 60-day cap on such short-term accommodation’ as has been granted to Byron Shire.
Kingscliff Ratepayers and Progress Association (KRPA) has supported the NoM telling councillors that ‘KRPA has long been concerned at the detrimental impact of the state’s STRA framework on accommodation availability in our community, particularly in relation to long-term rental accommodation’.
In a letter in October 2021 to the, then, NSW Planning Minister Robert Stokes they highlighted the risks of the STRA framework when first implemented.
‘As with coastal and other regional communities across the country, here in the Tweed we are in the midst of an unprecedented housing crisis, particularly in relation to availability and affordability of the long-term accommodation needed by community members,’ the letter stated.
‘Many people are unable to retain/find accommodation and remain in the community, resulting in many impacts, not the least of which is a lack of workers to actually ensure viability of tourism and other business. Throwing this damaged and fragile residential market open to short-term, Airbnb type accommodation will clearly exacerbate what is already a dire situation for our community members.’
Mr Newron told councillors that, ‘the concerns as outlined in the letter have sadly come to pass.’
‘Cr Firth’s NoM in seeking a commitment from the state government to reduce the cap on short-term rentals to 60 days, similar to what has been agreed for Byron LGA, is a strong first step in mitigating the negative impact of the STRA framework. Accordingly, we would respectfully ask councillors to support the NoM,’ he said.
Review and implementation a drain on Council resources
As part of the announcement of the 60-day cap for Byron Shire a review of STRA in NSW has also been confirmed by Housing and Homelessness Minster, Rose Jackson recently at the local government NSW annual conference, said Cr Firth.
The Council management recognised that, ‘The increase in short-term rentals in the region has coincided with population growth alongside a lagging supply of new housing completions, resulting in very tight supply and high prices in the residential housing market. Whilst this is profound in smaller destination locations like Byron Shire it is equally apparent in the Tweed Shire, where the demand for new housing and growth pressures generally are among the highest in the State.’
Over 10,000 lots approved for development on Tweed
The irony is that in Tweed Shire there is significant housing approved, but yet to be built, between developments at Kings Forest on the Tweed Coast (upwards of 4,500 lots), Cobaki on the northern Tweed border (upwards of 5,500 lots) and for Gales Holdings in Kingscliff.
Council staff highlighted the cost of a review and the cost of ongoing compliance to implement any measures.
‘Officers’ views are that Council should more holistically continue to work with LGNSW to advocate a return to the previous model where Development Applications are required for short-term holiday letting in order to adequately control the locations and number within any precinct. Any other model will ultimately be a drain on Council resources and make compliance difficult to monitor and enforce,’ staff said.
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