Councils in Greater Sydney will have to disregard homeowners' complaints about issues such as height when assessing proposals for low-rise apartments within 800 metres of a transport hub.

The NSW government is overriding local government planning rules, preventing councils from blocking duplexes and other medium density buildings in "high value" areas close to buses and trains.

The government is hoping to build another 112,000 homes with the rule change, in councils across Greater Sydney, the Hunter, Central Coast and Illawarra.

It will mean residents living within the 800m radius of their suburban centre cannot object to having a townhouse or six-unit apartment block next door, because of its height alone.

Planning Minister Paul Scully said all but two local government areas were currently rejecting plans for new medium density housing in areas where they are allowed to be built.

"This is about making sure that the zoning that's on the tin, is delivered," he said.

"We're doing this in within 800m of a transport hub of a town centre.

"There will be a group of conditions — such as height, such as minimum lot size and floor space ratio — which won't be able to be a basis for refusal."

 

Planning Minister Paul Scully said building height will no longer be a basis for refusal.(ABC Illawarra: Tim Fernandez)

The Property Council's NSW executive director, Katie Stevenson, said councils had been complicit in the housing crisis by rejecting residential building such as townhouses.

"For too long, councils have been able to use the excuse of planning for the existing residents rather than planning for those new communities, those new young families looking to move in," Ms Stevenson said.

Campbelltown Mayor George Greiss said he was happy to approve more medium density buildings in his town centre.

"Campbelltown is fortunate to have access to seven railway stations through the spine of our city that can support this increased density and unlock opportunities for the delivery and greater diversity of homes," Dr Greiss said.

The government will enforce the minimum requirements for councils by changing the State Environmental Planning Policy, which does not require a law change.

'Cookie cutter' criticisms

The change reflects the Minns government's rhetoric about fixing the housing shortage by building closer to the city, rather than further expanding Sydney on its outer fringes.

But Opposition Leader Mark Speakman said the government was ramming through changes without consulting councils.

"The government just arrogantly has a one-size-fits-all policy," he said.

"We accept there has to be increased density. But in the first instance you should try and bring local communities along."

He argued the government should also reduce the migrant intake.

 

Councils can currently block duplexes and other medium density buildings in "high value" areas.  (Supplied)

The changes will allow dual occupancies and terraces on all land zoned R2 Low Density residential, so long as they are within the 800m radius of the local transport hub.

It will also allow residential apartment buildings in areas zoned R3 — Medium Density residential.

Hills Shire Mayor Peter Gangemi said a "cookie cutter" approach to planning was wrong.

Mr Gangemi said the changes would significantly increase densities within the Hills Shire, which he said was one of the few metropolitan councils meeting its housing targets.

"These were densities that were never envisaged when the roads were designed, when we allocated the amount of sports fields and passive space for those areas," he said.

"Poor planning leads to poor outcomes."

North Sydney Mayor Zoe Baker said rezoning for higher density did not mean it would be built.

"No council can force the developer to build," Ms Baker said.

"Developers are rightly not in it for anything other than to make a profit, and so they want to do it at the right time in the market when developer finance is at its cheapest."

She gave the example of a proposed residential high-rise next to the Pacific Highway.

The land was rezoned in 2019, but North Sydney Council did not receive a development application (DA) until last month.

"That's four years between rezoning and DA submitted."