New planning overlays in Subiaco and South Perth aim to control apartment growth, but builders warn stricter guidelines could stall housing supply in a market crying out for options.
Perth's most ambitious infill precincts are facing a design reckoning. This week, the City of Subiaco finalised updated planning controls that will require developers to justify tower heights above 12 storeys and mandate active street frontages on all new residential blocks—a significant tightening that marks a broader shift across the metropolitan area.
The changes come as demand for apartments near transit corridors remains fierce. With the median Perth home price holding at around $680,000 and vacancy rates below 1 per cent, councils are caught between housing pressure and neighbourhood preservation. South Perth Council has introduced similar density caps along the Canning Highway corridor, while Joondalup's planning scheme now requires 30 per cent of new apartments to accommodate families with three or more bedrooms.
"The old model—build high, build fast—isn't working for established suburbs," says Cr Jennifer Walsh, Subiaco's planning portfolio holder. "We're seeing six-storey developments with no ground-floor activation, no trees, no connection to the street. These new guidelines push quality over volume."
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The rules target common developer shortcuts: featureless concrete facades, car park domination, and insufficient setbacks from heritage streetscapes. New provisions in both councils now require architectural review for projects above $50 million in value and mandate tree canopy coverage of at least 15 per cent per site.
Property developers are split. Smaller operators applaud clearer expectations; major housebuilders warn of project delays and cost inflation. One Subiaco-based agent reports three stalled applications since March, with revised designs adding six months to timelines. "The intent is good, but the bureaucracy is killing momentum," one developer said anonymously.
The planning shift reflects growing tension in Perth's rapid-growth cycle. While outer suburbs like Wanneroo and parts of Joondalup continue explosive expansion—median prices in new release areas approaching $550,000—inner suburbs are applying the brakes. Subiaco's new framework also introduces mandatory community consultation for projects within 100 metres of Parks and Gardens reserve, extending approval windows further.
Industry bodies are calling for state-level harmonisation. "Every council writing its own rules creates compliance chaos," the Property Council WA said in a statement this month.
The changes take full effect from 1 August. Early signs suggest they'll reduce speculative high-density zoning but may tighten apartment supply precisely when first-home buyers need options most—a national problem Perth's planning overhaul now mirrors locally.
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