Wollongong Small Industrial Areas Rezoning · PDF fileWollongong Small Industrial Areas...

Wollongong Small Industrial Areas Rezoning Advice

A Final Report

Wollongong City Council May 2006

This report has been prepared on behalf of:

This report has been prepared by:

SGS Economics and Planning Pty. Ltd. ACN 007 437 729

Suite 12/50 Reservoir Street,

Surry Hills NSW 2010 phone: 61 2 8307 0121

fax: 61 2 8307 0126

email: [email protected] web: www.sgs-pl.com.au

Table of Contents

1373wcc04 (Final)

1 Introduction ..........................................................................3

1.1 Background to the Study.....................................................................................................3 1.2 Remainder of the Report......................................................................................................5

2 Policy Context .......................................................................6

2.1.1 Regional Planning..................................................................................................6 2.1.2 Local Policies.........................................................................................................8 2.1.3 Rezoning Submissions .........................................................................................10 2.1.4 Other Documents ................................................................................................11 2.1.5 Key Implications..................................................................................................15

3 Socio-Economic Context ....................................................... 16

3.1 Population and Labour Market Characteristics ....................................................................16 3.2 Business Mix......................................................................................................................16 3.3 Journey to Work Trends.....................................................................................................17 3.4 Key Housing Indicators......................................................................................................20

3.4.1 Key Implications..................................................................................................22

4 Land Demand and Supply ...................................................... 23

4.1 Employment Land Market Analysis.....................................................................................23 4.1.1 Demand ..............................................................................................................23 4.1.2 Current Employment Land Supply........................................................................28

4.2 Residential Land Market Analysis .......................................................................................34 4.2.1 Demand ..............................................................................................................34 4.2.2 Current and Future Supply ..................................................................................34

4.3 Key Implications................................................................................................................35

5 Site Analysis ........................................................................ 36

5.1 Helensburgh......................................................................................................................36 5.1.1 Site Context........................................................................................................36 5.1.2 Rezoning Proposal and Implications.....................................................................39

5.2 Thirroul.............................................................................................................................43 5.2.1 Site Context........................................................................................................43 5.2.2 Rezoning Proposal and Implications.....................................................................46

5.3 Woonona...........................................................................................................................49 5.3.1 Princes Highway Site Context..............................................................................49 5.3.2 Rezoning Proposal and Implications.....................................................................51 5.3.3 Duke Street Site Context.....................................................................................53 5.3.4 Rezoning Proposal and Implications.....................................................................55 5.3.5 Woonona Supply and Demand Context and Impacts ............................................56

Table of Contents

1373wcc04 (Final)

5.3.6 Summary and Recommendations for Rezoning ....................................................57 5.4 Bellambi Lane....................................................................................................................58

5.4.1 Site Context........................................................................................................58 5.4.2 Rezoning Proposal and Implications.....................................................................62

5.5 Bellambi Street, Tarrawanna..............................................................................................65 5.5.1 Site Context........................................................................................................65 5.5.2 Rezoning Proposal and Implications.....................................................................68

5.6 Berkeley Road...................................................................................................................72 5.6.1 Site Overview......................................................................................................72 5.6.2 Rezoning Proposal and Implications.....................................................................75

6 Conclusions ......................................................................... 79

Appendix A – Employment Yield Calculations ................................ 81

©SGS Economics & Planning Pty Ltd [2005]. All rights reserved; these materials are copyright. No part may be reproduced or copied in any way form or by any means without prior permission. The proposals, ideas, concepts and methodology set out and described in this document are and remain the property of SGS Economics & Planning Pty Ltd and are provided to the Wollongong City Council in confidence. They may not be used or applied by the recipient or disclosed to any other person without the prior written consent of SGS Economics & Planning.

Wollongong Small Industrial Sites Rezoning Advice / Final Report

1373wcc04 (Final) P. 3

1 Introduction

1.1 Background to the Study

Wollongong City Council is under pressure from a number of land-owners seeking to rezone areas

from industrial to residential uses. Council are seeking guidance on the suitability of eight industrial areas to provide local employment opportunities in the future, and to make

recommendations on an appropriate zone and other planning provisions. The areas include:

• Parkes Street, Helensburgh - preliminary enquires have been received concerning the

possible rezoning of parcels in the 4(a) area.

• Cemetery Street, Helensburgh – Landcom have requested a minor (2,500m2 of industrial land will be lost) boundary adjustment at the eastern edge of the site.

• Railway Parade, Thirroul – preliminary enquires have been received concerning the possible

rezoning of parcels in the 4(a) area. • Princes Highway, Woonona – there have been no rezoning enquiries for this area, however

it is an area that has been isolated by surrounding residential development.

• Duke Street, Woonona – preliminary enquires have been received concerning the rezoning of this area to residential.

• Bellambi Lane, Bellambi – preliminary enquiries have been received rezoning this area to

residential or mixed-use. • Bellambi Street, Tarrawanna – preliminary enquiries have been received rezoning this area

to residential.

• Berkeley Road, Berkeley – a rezoning submission has been received for this site, proposing residential development.

The location of these sites is given overleaf.

There are a number of studies which inform the direction of this study and subsequent

recommendations. This includes the Council’s Housing Study and Economic Strategy, in addition to the Department of Planning’s Employment Lands Review. The study will also inform the direction

for the new dra ft LEP for the LGA.

Wollongong Small Industrial Areas Rezoning Advice / Final Report


Figure 1. Locat ion Map of Study Si tes

Source: SGS Economics and Planning



1.2 Remainder of the Report

The remainder of the report is structured as follows:

• The policy context in Section 2 considers the policy environment and the extent to which the

current and proposed uses of the study sites are meeting policy objectives; • Section 3 explores the Socio-Economic context of the study area;

• Section 4 considers employment land demand and supply;

• Section 5 explores the opportunities and constraints facing each site area; and • Section 6 concludes the report with recommendations.



2 Policy Context

This section provides a review of existing planning parameters which will guide future development of the sites and surrounding areas.

2.1.1 Regional Planning

Sydney Metropolitan Strategy

At a regional level, the Sydney Metropolitan Strategy, which was released in December 2005, is an initiative of the NSW state government aimed at guiding growth and change in the Sydney

Metropolitan Region over the next 25 years. The Strategy will guide major decisions and plans by

State and Local Government and inform private sector investment. Whilst the Sydney Metropolitan Strategy covers a geographical area that excludes Wollongong, the proximity of the LGA to the

Strategy Region means that it is useful to distil the key policy messages. The Illawarra Regional

Strategy is due to be released in mid to late 2006.

The Strategy has a strong focus on economic and employment development, particularly on

strengthening and concentrating employment in centres and employment lands. It contains housing and employment targets for 10 sub-regions in Sydney and employment targets for

strategic centres and employment precincts.

Some of the messages relevant to this study include the need to create better places to live and

work, forming healthy, vibrant and safe communities. Housing was a key issue identified during

the Sydney Futures Forum, highlighting ageing population, smaller household sizes, and population growth as the key drivers of demand for housing. A wider range of housing is needed to meet

these needs, and new land developments need to be more self-sustaining by providing services

locally, including jobs, access to transport, parks and community services. Key directions of the Metropolitan Strategy include the need to:

§ Plan for balanced growth within natural resource constraints. Growth will be managed by balancing urban renewal in centres and corridors with the staged release of new Greenfield

sites;

§ Manage growth and value non-urban areas through limiting urban sprawl; § Build liveable new communities;

§ Renew existing areas. New housing will be located in existing centres, focused in centres and

corridors. It will be well planned and designed with access to good public transport, services, parks and recreation

However, the Strategy also stresses that well-located and adequate supply of land for economic activity, supported by transport and communications infrastructure, is needed. Therefore, in

relation to employment lands, the Strategy has the following objectives:



§ Ensure that there are adequate stocks of well located land across Sydney to meet the needs of different industries and sub-regions;

§ Ensure that new employment lands are accessible and serviced in a timely way;

§ Prevent or manage conflicts between industrial and other activities; and § Ensure co-ordination between planning and infrastructure provision.

The strategy also encourages the redevelopment of well-located, disused industrial sites that are close to utilities and public transport, and in proximity to the labour force.

Illawarra Regional Environmental Plan No 1

According to the Illawarra Regional Environmental Plan, the key objectives relating to industrial

development in the region are to:

§ Ensure that there is sufficient industrially zoned land to meet industrial requirements,

§ Encourage industries and other enterprises to locate within the region to diversify the

economic base or act as stimuli to the local economy or both, and so provide new employme nt opportunities; and

§ Locate industrial land where it will meet the particular requirements of industry while having a

minimal adverse impact on the natural environment and the amenity of living areas.

Within the parameters of the Plan, a draft local environmental plan to substantially reduce the

amount of land zoned for industrial purposes shall be prepared only after the consent authority has:

§ Made an assessment of land availability, land value, servicing and the location and size of industrial lots within the relevant areas, and

§ can satisfy the Director that the reduction will not jeopardise the economy or job opportunities

within the relevant sub region.

The key objectives which related to residential development in the region are to:

§ Ensure that urban expansion is orderly and efficient having regard to the constraints of the

natural environment and that sufficient land is available to prevent price rises resulting from

scarcity of land; § Ensure that new residential land or land for higher density development is only developed

where there are adequate utility and community services available or there is a commitment

from the relevant authorities or developer to provide those services; and § Provide for a range of lot sizes, dwelling types and tenure forms to cater for varying household

needs in all local government areas.



2.1.2 Local Policies

Policy Document Relevant Messages

Draft Wollongong

LGA Economic

Development

Strategy, 2005

The report provides an economic development strategy for the Wollongong LGA. Future jobs

growth has been identified as one of the key challenges facing Wollongong, in particular the

need to ensure that future jobs growth is able to absorb anticipated population growth across

the region. According to the study, the future development of the Wollongong LGA will be

shaped by a range of issues including developments at Port Kembla and the Innovation

Campus, city centre revitalisation and residential development at West Dapto.

However, the availability of employment land, and more specifically the need for appropriate

action being taken to deal with long term constraints on the availability of industrial land, are

highlighted as issues which will have an impact on the LGA’s ability to capture future population

growth.

The study recommends that the findings from the Illawarra and South Coast Employment

Lands Study be incorporated in future land use planning, i.e. whilst there is sufficient land to

meet demand, there is a need to maintain current amounts of industrial land and ensure

f lexibility in land use planning to accommodate emerging industries.

Wollongong Local

Environmental Plan

1990

§ One of the key aims of this plan is to protect environmentally sensitive areas from

development, and to minimise adverse impacts of urban development on both the built and

natural environment.

§ The LEP defines ‘light industry’ as an industry, laboratory, data processing centre or

warehouse in which the processes carried on, the transportation involved or the machinery

or materials used do not interf ere with the amenity of the neighbourhood by reason of noise,

vibration, smell, fumes, smoke, vapour, steam, soot, ash, dust, waste water, waste

products, grit, oil, or otherwise;

§ Permitted uses in Zone No.4(a)(Light Industry Zone) include:

Ø A wide range of manufacturing and service activities, on the condition that it does

not interfere with the amenity of nearby residents.

Ø Other activities are also permitted within this zone, but must not impede on the

operations of existing or proposed manufacturing and services industries and also

must respect the amenities of existing residents.




Wollongong DCP 6:

Commercial and

Industrial

Development

Plan identifies relevant State and Council building and planning policies and establishes

Council's standards and guidelines affecting commercial and industrial development in

Wollongong. Relevant parameters include:

§ Light industry must be compatible with the locality in which it is proposed to be developed.

Where industrial development is proposed in an industrial zone which contains a high

proportion of residential dwellings, industrial operational must not diminish the existing

amenity for current residents.

§ Shops and commercial premises are generally permitted in Zone 4(a), but need to be:

- used in conjunction with a light industry;

- situated on the site in which the light industry is located; and

- of small scale, with retail gross floor space not exceeding 40% of the gross floor occupied

by the shop and the light industry or 250sqm.

In addition, only goods that have been assembled or manufactured on the land on which the

shop is situated can be sold.

According to the Plan, there is a shortage of suitably serviced light industrial and heavy

industrial land within the City of Wollongong.

Wollongong City

Economic

Development

Roadmap

§ Predicts significant population increases, particularly in adjacent coastal municipalities.

PNSW forecasts: Wollongong 23,100 between 1996-2026; Shellharbour = +25,700, and

Kiama by 6,400.

§ The lack of available industrial sites in Wollongong is considered to be a constraint on local

business and the attraction of new business, particularly manufacturing and other light

industry.

§ Population growth will be focused on newer residential areas of West Dapto, Albion Park,

and Shellharbour.

§ To accommodate growth, a recent structure plan allows for the Wollongong CBD’s total

commercial, residential and other floorspace to grow over three times the current level, to

1.9 million square metres.

Wollongong City

Centre Revitalisation

Strategy

§ Increased residential development next to the commercial heart of the city whilst ensuring

that commercial space capacity is not lost to the growing pressure of residential

development;

§ Providing an appropriate mix of 1,2 and 3 bedroom units;

§ Focus on issues such as housing affordability and the level of housing mix required to

provide best opportunities for everyone.

Wollongong Futures

City Strategy

The Wollongong Futures Programme aims to provide a co-ordinated ‘whole of Council’ policy

position on how to manage land across Wollongong in a sustainable manner and which

accounts for underlying themes of economy, community and the environment.

Wollongong City

Council Urban

Consolidation Policy

This policy complements and extends Council’s existing strategies to encourage urban

consolidation in appropriate locations. Specifically, the aims of this policy are to:

§ Maximise housing opportunities within existing urban areas with due regard to

environmental and infrastructure constraints;

§ Promote the efficient use of public investment in infrastructure in established and new

release areas;

§ Respond to changing housing needs resulting from reduced household sizes; and

§ Minimise adverse impacts on existing housing stock.

Council has developed a number of strategies to achieve these aims.


1373wcc04 (Final) P. 10

2.1.3 Rezoning Submissions

Current rezoning and boundary adjustment submissions which have been received by Council to date are summarised below:

Submission Title Key Points

Planning Report for the

Consideration of a Zoning

Adjustment,

GAT & Associates, July

2005

This submission supports the need for a boundary adjustment between Precinct 1 and 2

which together constitute a 6.2ha site owned by Landcom. The site is located in

Helensburgh, abutting Cemetery Road, Walker Street and Wilson Street. Precinct 1 is

currently zoned 2(a) Residential, while Precinct 2 is zoned 4(a) Industrial.

Landcom proposes to develop the site as part of a major residential development including 3

precincts in Helensburgh. The development proposal relating to this particular precinct

includes:

§ Subdivision allowing for large lots to accommodate light industrial activities;

§ An improved interface between residential and employment uses within the site;

and

§ Retention of industrial land as zoned, for employment purposes.

The boundary adjustment applies to 2,500 sqm of undeveloped land that is currently zoned

Industrial. It would in effect allow residential development to take place on the subject site.

Rezoning of Land – Berkeley

Road, Berkeley,

Martin, Morris & Jones, April

2005

The submission applies to the land located on Berkeley Road in Berkeley. The development

proposal includes:

§ The construction of a cul-de-sac from Berkeley Road to the west immediately

opposite the Imperial Drive intersection;

§ The subdivision of the site into 13 large residential allotments ranging from 600 to

865 square metres in size;

§ The establishment of a 20 m wide riparian corridor on the eastern side of Budjong

Creek and the dedication of the corridor for public open space.

In order to implement the above development the site, which is currently zoned 4(a), would

need to be rezoned to part 2(a) Low Density Residential Zone, and part 6(a) Public

Recreation Zone.

SGS understands that no further rezoning applications have been received by to date; however, Council has received informal verbal enquiries in relation to five further sites, these include:

- Parkes Street, Helensburgh; - Railway Parade, Thirroul;

- Duke Street, Woonona;

- Bellambi Lane, Bellambi; and - Bellambi Street, Tarrawanna.


1373wcc04 (Final) P. 11

2.1.4 Other Documents

Economic and Employment Land Studies

According to the Stage 2 Report of the Illawarra Employment Land Strategy the demand for

industrial zoned employment land will be driven by a range of forces, these include:

§ A perceived need to increase employment self-containment of the workforce, reducing the

present 20+% percent of the workforce commuting to Southern Sydney and providing them

with careers in Wollongong; and § The role of Shellharbour and Kiama as dormitory areas for Wollongong, together with the

shortage of employment land in those LGAs, means that some 50% to 60% of the increased

employment for their residents needs to be absorbed within the Wollongong LGA.

However, according to the study, forces acting against the need for proportional employment land

increases in Wollongong include:

§ The change in employment patterns in the steel industry where the dominant owner of

industrial land, BlueScope Steel, has a policy of contracting out services that were originally carried out by their own employees.

§ The perception and the classification of employment of moving from manufacturing to service

industries is disguising the fact that many of the people now recorded as working in “service” industries were formerly working in those same activities , but as part of the workforce of a

large “manufacturer”, (e.g. transport, maintenance, storage, materials handling, information

technology, etc) § The present 800+ hectares of BlueScope Steel owned land has an employee/hectare ratio of

12 compared with a manufacturing norm of 30-35 and a warehousing/storage ratio of 12-15.

The influx of an additional 1,200 maintenance project workers still only raises that ratio to 13. § Over a period of twenty years BlueScope Steel has the potential to raise its output and its

employment of its own and contract employees by 4,000-5,000 without increasing its land

needs. It has worked at that level in the past. § A major expansion of activity at Port Kembla is expected in the future, as some operations are

shifted from the Port of Sydney. However, expansion of Port Kembla operations is unlikely to

make major demands on employment land before 2020. § Major retail development is moving away from the Wollongong CBD which could increase its

turnover through redevelopment of existing land. The Buchan report (2003) shows that

Stockland Shellharbour Square retail turnover overtook Wollongong CBD in 2000. § Tourism NSW predicts that tourism facilities should be able to cope with expected tourism

growth. For Wollongong, the most likely growth in tourism will be day visitors from western

and southern Sydney, as an alternative to visiting traditional east coast Sydney beaches. These visits will increase retail and restaurant trade without major increases in overnight

stays.


1373wcc04 (Final) P. 12

Stage 3 of the Illawarra and South Coast Employment Lands Strategy is being finalised, but a draft was issued in October 2005. The strategy recommends that a set of guiding principles be

considered by the Steering Committee with regard to employment lands generally, these include:

§ Ensure that an adequate supply of employment land is kept within the development pipeline,

to encourage sustainable regional economies and the maintenance of the established centre

hierarchy; § Reduce land use conflicts by clustering businesses and industries with similar environmental

impacts;

§ Consolidate trip generating businesses around public transport nodes; and § Ensure that new Urban / Greenfield release provides an adequate mix of employment land, so

that supply does not undermine the existing centre hierarchy for the region and is flexible in

use to meet long term employment demand.

With regard to light industrial land, the strategy recognises the growth across the region and the

importance of the light industrial sector as a major employer. Recommended guiding principles include:

§ Preserving large parcels and clusters of light industrial land; § Protecting light industry clusters from encroachment of incompatible land uses; and

§ Preserving a supply of light industrial land in the pipeline, to support the long term need for

employment lands; § Provide opportunities for a mixture of on site operations including light industrial, wholesaling,

showroom and administrative activities that ‘support and service’ the zone;

§ Provide for a broad range of light industrial and warehouse land uses, excluding Business Parks.

Thus the strategy largely advocates retention of the region’s industrial lands. However, in recognising the need for a flexible approach to employment land zoning to ensure that economic

opportunities are not lost in the future, spot rezoning is permitted, subject to a range of criteria

being met. In particular:

‘A rezoning application must consider the compatibility of the existing zoning and its permitted

uses to the surrounding uses, balanced with: - The long term employment demands for the local area and availability of land to meet

those needs;

- The regional significance of these lands to economic growth and employment; and - Long term economic viability of that site for that operation.’

It should be noted that the above represents a final list of principles from Stage 3 of the Employment Lands Strategy for the Illawarra and South Coast. DoP advise that the list and the

Stage 3 document have not been made public at this stage.


1373wcc04 (Final) P. 13

The draft Wollongong Economic Development Strategy identifies macro and micro economic drivers of the economy and recommends a strategy to realise the potential of these opportunities.

Key areas of growth of relevance to this study include:

• Metal and engineering products. This growth is largely anticipated within the southern part of

the LGA, including Berkeley;

• Construction, led by residential, commercial, and industrial development; and • Transport and storage, boosted largely through the development of the Port.

The Strategy recommends that new sites need to be identified and developed to service demand within these sectors.

SGS Employment Lands and Housing Studies

SGS Economics and Planning has carried out two studies which will have an impact on the future

demand and supply of industrial and residential land across the Wollongong LGA, these are briefly

summarised below:

§ Employment land supply and demand issues were assessed in the “West Dapto Economic

and Employment Analysis”. According to the study:

o Employment growth across Wollongong LGA will generate demand for an additional

302 ha of employment land by 2022. At face value there appears to be sufficient supply of zoned employment land to cater for this level of anticipated demand.

However, if development constraints such as such as contamination, flooding and

heritage issues are taken into account, there is only 230 ha of vacant developable employment land in the LGA, hence there will be a shortage of unconstrained

employment land by 2016, assuming an annual average take -up rate of 16 ha.

o However, the study also notes that new release areas at West Dapto will incorpate approximately 175ha of industrial land within Kembla Grange (149ha) and Horsley

(26ha). Approximately 57ha of this figure is additional industrial land to the current

Wollongong offer. Thus, with this additional supply being brought on stream the demand can largely be met, with only a small shortfall of approximately 7ha.

§ According to the “Wollongong Housing Study”, there will be an unmet demand for housing of 19,482 dwellings across Wollongong by 2031, if only vacant infill opportunities are

considered. However, if new release areas in West Dapto are realised, there will be potential

for another 19,400 dwellings, hence there will be sufficient supply to cater for the anticipated level of demand. With regard to the six suburbs included in the study area, the report notes

that:


1373wcc04 (Final) P. 14

o Helensburgh offers infill potential for 167 low density dwellings and 8 medium density dwellings.

o Bellambi offers limited development potential, with infill opportunities for only 2

additional medium density dwellings on vacant land. o Tarrawanna offers potential for 46 low and density development on vacant land.

o Berkeley is characterised by the presence of low density dwellings, and there are

opportunities for further 469 low density, as well as 11 medium density dwellings to be developed. Opportunities exist for both redevelopment as well as development on

vacant residential land.

o Woonona – opportunities exist for 427 medium and 16 low density dwellings which can be supplied on vacant land.

o There are opportunities for 201 low density dwellings (58 of which on vacant land),

and 66 medium density dwellings (50 on vacant land) in Thirroul.

Environmental and Land Capabil ity Data

The Wollongong City Council Draft Illawarra Escarpment Strategic Plan assesses the current condition of the Escarpment, identifies the processes that is degrading it and outlines

proposed planning, management and implementation strategies to undertake sustainable plans and

management of the Escarpment.

Relevant issues include:

§ To identify areas suitable for residential development;

§ To ecologically enhance identified areas;

§ To provide an environmental buffer to the escarpment high conservation zones; § To allow opportunities for ecotourism facilities;

§ To protect visual amenity;

§ To provide for agricultural opportunities and ensure agricultural undertakings implement best practice;

§ To protect and conserve creeks and their buffer areas; and

§ To allow some diversity of activities that will not prejudice the above activities.

The plan proposes two new land use zonings: the Escarpment High Conservation Zone aims to

protect areas that comprise of high flora and fauna conservation significance, high visual amenity, creeks and their buffer zones, and areas of high cultural and historical value; and the Landscape

Support zone will allow for limited and environmentally sensitive development opportunities.


1373wcc04 (Final) P. 15

2.1.5 Key Implications

• The policy environment supports urban consolidation actions, however clear recommendations are made

about the need for sustainable communities that balance employment against residential development,

thus contributing towards economic, social, and environmental objectives.

• Policies recognise the need for employment land to be well located and adequately supplied to meet

demand. Location is key in achieving business competitiveness – ensuring land is available close to sea

and airports, and on major freight route intersections.

• Addressing service and access constraints for outlying industrial areas is a priority. However, the

location of these sites needs to be considered, particularly if the location is not meeting the requirements

of industry and/or is having an adverse impact on the natural environment and the amenity of living

areas.

• In rezoning industrial land, consideration needs to be given to the extent to which these parcels meet the

indicative guidance from DOP arising from the Employment Lands Review.

• Future residential development needs to consider the appropriate product mix to meet future demand.

• A reduction in employment land is generally not supported by the DOP unless:

- The long term employment demands for the local area and availability of land to meet those needs

are not compromised;

- These lands are not of regional significance to economic growth and employment; and

- The long term economic viability of that site for that operation is ensured.


1373wcc04 (Final) P. 16

3 Socio-Economic Context

This section provides an overview of the economic context in which each of the six sites is situated, through an examination of key economic indicators at a suburb level. These indicators have been

benchmarked against Wollongong LGA as a whole.

3.1 Population and Labour Market Characteristics

Key population and labour market characteristics are illustrated in below. As can be seen, all study

sites under consideration are located in suburbs that are characterised by a below average

proportion of working age population, and below average labour force participation compared with the Wollongong average.

Bellambi and Berkeley suffer unemployment rates which are significantly higher than the LGA average (17.1% and 14.4% compared with 9.1% for Wollongong as a whole).

Table 1. Popu lat ion and Labour Market Character is t ics by Suburb, 2001

Total Population

Working Age (15 – 64 years)

(%)

Labour Force Participation

(%)

FT Empl.1

(%)

PT Empl. (%)

Female Empl. (%)

Male Empl. (%)

Unemploy-ment (%)

Helensburgh 5,358 63.5 69.4 59.2 30.9 43.9 56.1 4.0

Thirroul 5,594 66.6 61.9 59.6 31.9 45.2 54.8 5.8

Woonona 9,742 63.1 56.7 59.2 30.9 44.3 55.7 7.1

Bellambi 4,359 64.9 51.9 50.2 28.6 45.4 54.6 17.1

Tarrawanna 1,428 57.9 51.6 59.7 30.0 41.3 58.7 7.1

Berkeley 7,498 62.8 48.1 60.6 30.1 42.2 57.8 14.4

Total LGA 180,358 67.0 58.2 62.9 34.1 43.8 56.2 9.1

NSW 6,371,745 65.4 62.2 65.7 31.2 45.1 54.9 7.2

Source: Census of Population, ABS, 2001

3.2 Business Mix

Table 2 shows the current sectoral distribution of employment using Journey-to-Work (JTW)

destination data for Wollongong and the five suburbs in which the study sites are located. This

gives an indication of the current business mix in each of these locations.

1 The difference between the proportion of full-time employees and part-time employees includes persons that did not state the number of hours worked during the 2001 ABS Census.


1373wcc04 (Final) P. 17

Table 2. Industr ia l Breakdown, 2001

Bellambi Berkeley Helensburgh Tarrawanna Thirroul Woonona Woll. LGA

Agric/For'st/Fish 0.5% 0.3% 0.5% 0.0% 0.3% 1.6% 0.4%

Mining 2.1% 0.2% 19.0% 0.2% 0.3% 4.8% 1.0%

Manufacturing 18.8% 32.5% 5.9% 4.8% 3.7% 5.5% 18.8%

Elect/Gas/Water 1.3% 0.1% 0.0% 1.2% 0.0% 0.3% 0.9%

Construction 8.5% 8.7% 7.4% 4.1% 8.6% 7.4% 5.4%

Wholesale 3.2% 9.1% 2.1% 3.4% 2.4% 2.8% 4.0%

Retail 11.6% 11.2% 16.4% 32.3% 22.9% 21.1% 15.1%

Acc., Cafes & Rest 4.0% 3.5% 4.4% 7.2% 10.0% 9.6% 5.2%

T'port & Storage 1.8% 3.1% 2.7% 1.2% 5.0% 1.0% 3.7%

Communic Serv 3.9% 1.2% 0.9% 1.1% 0.7% 0.8% 1.6%

Finan & Insur 0.5% 0.3% 2.6% 6.2% 3.6% 1.9% 3.3%

Prop & Bus Serv 5.2% 4.8% 11.7% 8.9% 9.3% 7.2% 10.0%

Gov Admin 8.3% 3.2% 0.5% 3.9% 0.3% 1.8% 4.0%

Education 20.1% 7.1% 11.4% 7.1% 6.8% 13.5% 9.5%

Health&Com.Serv 6.2% 5.4% 8.6% 10.4% 17.1% 13.8% 11.5%

Cult/Recr. Serv 1.4% 5.5% 2.0% 2.3% 2.5% 2.9% 2.0%

Pers/Oth Serv 2.6% 3.5% 4.1% 5.8% 5.6% 3.9% 3.6%

Total Empl’ment 1,142 2,073 664 1,769 907 1,161 66,067

Source: TDC 2001

It is apparent that Wollongong LGA, as a whole, is a relatively diverse economy, illustrating the success of diversification activity over the last two decades. Key sectors in Wollongong LGA in

employment terms include manufacturing (18.8%), retail trade (15.1%), health and community

services (11.5%) and property and business services (10%).

With regard to the individual suburbs, it can be seen that a strong representation of manufacturing

can be found in Berkeley (32.5%) and Bellambi (18.8%) while all other suburbs have a very small proportion of employment in the manufacturing sector. The business mix in these latter suburbs

tends to be dominated by population-driven services such as retail with some representation of

other services such as health and community, and education services.

3.3 Journey to Work Trends

Analysis of the JTW database reveals that there are more jobs available in Wollongong LGA than are currently accessed by residents, i.e. people outside the sub-region are travelling into the area

to access employment opportunities. Table 3 illustrates the number of resident workers in

Wollongong LGA, and the number of resident workers working in Wollongong LGA.


1373wcc04 (Final) P. 18

Table 3. Employment Se l f-Suf f ic iency

2001

Total Resident Workers in Wollongong LGA 72,399

Local Job Stock 49,354

Jobs : Workforce Ratio 68.2%

Using the figures above, it is apparent that the self-sufficiency of Wollongong LGA (the number of

jobs within Wollongong accessed by resident workers against the number of resident workers) is 68.2%.

Expanding the local job stock will create more opportunities for wealth retention as local supply chains are created and the local economy diversifies. Importantly, the current outward exodus of

resident labour might also be reduced. Reducing the distance travelled to employment can, in

turn, improve lifestyle and recreation choices, conserve resources currently devoted to transport and allow for greater local capture of retail and domestic services expenditure.

The employment that industry within an area provides for local residents can be examined by calculating rates of ‘self-containment’. Table 4 shows that 75% of Wollongong residents also work

within the LGA.

Wollongong Small Industrial Sites Rezoning Advice / Final Report

1373wcc04 (Final) P. 19

Table 4. Percentage Dest inat ion Spl i t for Or ig in Sub- region Workers , 2001

Sou

th S

ydne

y-

Bot

any

Bay

Bla

ckto

wn

Blu

e M

ount

ains

Can

terb

ury-

Ban

ksto

wn

Par

ram

atta

- A

ubur

n

Ces

snk/

M'la

nd/

Pt S

tph

Eas

tern

S

ubbu

rbs

Fairf

ield

-Hol

royd

Out

er S

W

Syd

ney

Gos

ford

-Wyo

ng

Hor

nsby

- K

urrin

gai

Bau

lkha

m H

ills-

H

awke

sbur

y

Cen

tral W

este

rn

Syd

ney

Inne

r W

este

rn

Syd

ney

Pen

rith

New

cast

le-

Inne

r

New

c (R

emai

n)/

Lk M

acq

Nor

ther

n B

each

es

Inne

r NW

S

ydne

y

St G

eorg

e

Nor

th S

ydne

y

Sut

herla

nd

Inne

r City

S

ydne

y

Wol

long

ong

South Sydney- Botany Bay 35% 3% 2% 10% 5% 0% 19% 3% 4% 2% 4% 2% 9% 16% 2% 0% 0% 4% 5% 16% 6% 12% 11% 2%Blacktown 0% 33% 6% 1% 5% 0% 0% 5% 2% 1% 1% 8% 1% 1% 14% 0% 0% 0% 1% 0% 0% 0% 0% 0%Blue Mountains 0% 0% 45% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 1% 0% 0% 0% 0% 0% 0% 0% 0% 0%Canterbury-Bankstown 1% 3% 1% 34% 5% 0% 1% 7% 9% 0% 1% 2% 5% 3% 2% 0% 0% 0% 1% 8% 1% 6% 1% 1%Parramatta- Auburn 2% 16% 7% 7% 33% 0% 2% 16% 6% 2% 5% 13% 7% 4% 11% 0% 0% 2% 5% 3% 2% 2% 2% 1%Cessnk/ M'land/ Pt Stph 0% 0% 0% 0% 0% 70% 0% 0% 0% 0% 0% 0% 0% 0% 0% 8% 6% 0% 0% 0% 0% 0% 0% 0%Eastern Subburbs 12% 1% 0% 2% 1% 0% 36% 1% 1% 0% 1% 0% 2% 4% 0% 0% 0% 1% 2% 4% 2% 3% 4% 1%Fairfield-Holroyd 0% 8% 3% 3% 7% 0% 0% 34% 9% 0% 1% 4% 2% 1% 7% 0% 0% 0% 1% 1% 0% 1% 1% 0%Outer SW Sydney 0% 2% 1% 3% 2% 0% 0% 8% 50% 0% 0% 1% 1% 1% 3% 0% 0% 0% 1% 2% 0% 2% 1% 3%Gosford-Wyong 0% 0% 0% 0% 0% 1% 0% 0% 0% 72% 1% 0% 0% 0% 0% 1% 3% 0% 0% 0% 0% 0% 0% 0%Hornsby- Kurringai 1% 2% 0% 1% 3% 0% 1% 1% 0% 6% 35% 6% 1% 1% 1% 0% 0% 3% 4% 0% 2% 0% 1% 0%Baulkham Hills- Hawkesbury 0% 8% 3% 0% 5% 0% 0% 2% 1% 1% 4% 39% 1% 0% 5% 0% 0% 0% 1% 0% 1% 0% 0% 0%Central Western Sydney 1% 3% 1% 7% 5% 0% 1% 4% 2% 1% 2% 2% 26% 4% 2% 0% 0% 1% 3% 3% 1% 2% 2% 0%Inner Western Sydney 4% 1% 1% 5% 2% 0% 3% 1% 1% 0% 1% 1% 7% 22% 1% 0% 0% 1% 2% 4% 1% 2% 3% 0%Penrith 0% 5% 19% 0% 1% 0% 0% 1% 1% 0% 0% 3% 0% 0% 41% 0% 0% 0% 0% 0% 0% 0% 0% 0%Newcastle- Inner 0% 0% 0% 0% 0% 4% 0% 0% 0% 0% 0% 0% 0% 0% 0% 35% 12% 0% 0% 0% 0% 0% 0% 0%Newc (Remain)/ Lk Macq 0% 0% 0% 0% 0% 23% 0% 0% 0% 2% 0% 0% 0% 0% 0% 50% 76% 0% 0% 0% 0% 0% 0% 0%Northern Beaches 1% 1% 0% 1% 1% 0% 1% 0% 0% 1% 3% 1% 1% 1% 0% 0% 0% 53% 3% 0% 5% 0% 1% 0%Inner NW Sydney 5% 5% 2% 3% 10% 0% 4% 3% 2% 4% 16% 7% 7% 6% 2% 0% 0% 10% 39% 3% 13% 2% 5% 1%St George 2% 0% 0% 6% 1% 0% 2% 1% 2% 0% 0% 0% 2% 2% 0% 0% 0% 0% 1% 30% 1% 11% 1% 2%North Sydney 5% 1% 1% 2% 2% 0% 4% 1% 1% 2% 6% 2% 4% 5% 1% 1% 0% 8% 9% 2% 30% 2% 6% 0%Sutherland 1% 0% 0% 2% 0% 0% 1% 0% 1% 0% 0% 0% 0% 1% 0% 0% 0% 0% 0% 5% 0% 41% 0% 4%Inner City Sydney 29% 8% 6% 14% 12% 0% 26% 8% 8% 5% 17% 7% 22% 29% 6% 2% 0% 16% 20% 18% 33% 13% 60% 4%Wollongong 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 1% 0% 75%Kiama/ Shellharbour 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 4%

Des

tinat

ion

Origin

Wollongong Small Industrial Areas Rezoning Advice / A Final Report

1373wcc04 (Final) P. 20

3.4 Key Housing Indicators

This sub-section offers an insight into the socio -economic context of each location, compared to Wollongong LGA as a whole. This gives an indication of the type of people living in each area,

which impacts upon the nature of residential property demand.

Figure 2 shows the composition of families in the suburbs surrounding the study sites compared

with that found in Wollongong as a whole. The chart indicates that the Helensburgh has a

relatively high proportion of families with children (62.2%) compared with the other suburbs, and the Wollongong average of 47.1%. The lowest proportion of this family type can be found in

Bellambi (41% of all households).

Bellambi, Berkeley and Helensburgh all have a below Wollongong average proportion of couples

without children, while Tarrawanna has a higher than average percentage of this family type.

Figure 2. Fami ly Composi t ion 2001

0.0%

10.0%

20.0%

30.0%

40.0%

50.0%

60.0%

70.0%

Couple Family 41.0% 45.4% 62.2% 45.9% 48.2% 47.2% 47.1%

Couple without children 27.0% 30.7% 24.5% 39.4% 36.2% 35.0% 35.5%

One parent family 30.1% 22.6% 12.4% 13.5% 13.9% 16.7% 15.8%

Other family 1.9% 1.2% 0.9% 1.3% 1.7% 1.2% 1.5%

Bellambi Berkeley Helensburgh Tarrawanna Thirroul WoononaWollongong

LGA

Source: ABS, 2001


1373wcc04 (Final) P. 21

Figure 3 shows the income profiles for the five suburbs in terms of family weekly income.

Figure 3. Average Household Income, 2001

0.0%

5.0%

10.0%

15.0%

20.0%

25.0%

30.0%

Negative/Nil income 0.6% 0.6% 0.2% 0.5% 0.5% 0.3% 0.7%

$1-$299 17.7% 17.3% 6.4% 16.8% 11.0% 13.7% 22.2%

$300-$499 23.4% 23.2% 9.1% 19.9% 14.4% 16.3% 16.0%

$500-$699 10.7% 11.0% 7.2% 9.7% 8.7% 10.2% 11.1%

$700-$999 12.5% 11.8% 14.3% 8.6% 11.8% 11.7% 14.9%

$1,000-$1,499 14.0% 14.1% 23.8% 17.1% 17.7% 17.2% 14.8%

$1,500-$1,999 6.7% 6.5% 15.7% 9.3% 13.8% 10.7% 5.6%

$2,000 or more 2.4% 3.2% 11.8% 7.7% 11.8% 8.9% 4.4%


LGA

Source: ABS, 2001

Helensburgh has a markedly higher proportion of families in the higher income range, with a high

peak of families in the $1,000 to $1,499 weekly income bracket, and a higher proportion of families

earning $1,500+ than the Wollongong average. By comparison, both Bellambi and Berkeley have a larger proportion of families in the lower income categories. It should be noted, however, that all

suburbs under consideration have a lower proportion of families in the lowest income bracket (less

than $300 per week) compared with the Wollongong average.

The nature of the residential built form that currently exists across the five study locations is

illustrated through an examination of dwelling types, as shown in Figure 4. It is apparent from this figure that both Helensburgh and Berkeley have above average proportions of detached housing,

accounting for 84.4% and 86.4% respectively of all housing in each suburb. By comparison,

Bellambi has a significantly lower proportion of detached housing (53%) and a very high proportion of semi-detached dwellings (25.1% compared with a Wollongong average of 8.1%).

Tarrawanna and Woonona both have below average proportions of detached housing, with Tarrawanna also featuring an above average numbers of units.


1373wcc04 (Final) P. 22

Figure 4. Dwel l ing Type, 2001

0.0%

10.0%

20.0%

30.0%

40.0%

50.0%

60.0%

70.0%

80.0%

90.0%

100.0%

Separate house 53.0% 84.4% 86.4% 69.4% 67.3% 63.9% 72.2%

Semi-detached, row/terrace house,townhouse

25.1% 2.9% 6.2% 4.7% 14.9% 12.6% 8.1%

Flat, unit or apartment 15.5% 7.3% 0.9% 19.8% 8.0% 16.5% 17.3%

Other 0.4% 0.1% 1.0% 0.5% 1.0% 0.4% 1.8%


LGA

Source: ABS, 2001

3.4.1 Key Implications

• The negative impact on employment opportunities which is associated with a reduction in employment

land needs to be considered – particularly in high unemployment areas such as Bellambi and Berkeley.

• Employment opportunities within Helensburgh, Tarrawanna and Woonona are largely population driven.

Export oriented activity is low, particularly in Tarrawanna and Woonona. Removing industrial land that

tends to cater for export oriented activity could have a negative impact upon the income generating

potential of these suburbs.

• Berkeley has a significant activity base in the manufacturing industry. Care must be taken that the loss

of employment land that caters for the needs of this industry does not have a negative impact on

business competitiveness.

• Wollongong is the regional centre for the Illawarra. As such, it provides employment for residents of

Kiama and Shellharbour LGA’s. The provision of employment land within the LGA encourages self-

sufficiency and self-containment objectives. Clearly a net loss in employment land could contravene

these efforts.

• Areas such as Tarrawanna and Woonona have smaller household sizes, which is indicative of the nature

of future housing demand as this trend is expected to continue.

• Over-representation of low density housing in Helensburgh and Berkeley relative to anticipated demand.

Consideration needs to be given to the nature of demand for different product types, if rezoning was to

proceed.


1373wcc04 (Final) P. 23

4 Land Demand and Supply

This section presents a brief summary of the current demand and supply characteristics for both employment and residential land across the Wollongong LGA. Suburb specific assessments are

outlined in the following section (Site Context).

The analysis is largely based on previous SGS studies (West Dapto Employment and Economic

Study and Wollongong Housing Strategy) and the DOP Illawarra and South Coast Employment

Land Use Strategy.

4.1 Employment Land Market Analysis

4.1.1 Demand

Future demand for employment land across the Wollongong SSD was previously assessed by SGS as part of the SGS West Dapto Economic and Employment Study, for which an employment yield

model using input-output modelling was developed. The approach SGS uses to employment

forecasting is outlined in the box below.

As a general rule of thumb, employment in each industry can be estimated as a ratio of total industry production. Therefore, if

the growth in each industry sector is known then it should be possible to forecast the associated level of employment.

A common form of economic analysis that utilises industry production is a regional Input-Output Model. Such a model has

been developed for the Wollongong SSD by SGS Economics & Planning using statistical adjustment of the national Input-

Output coefficients. The method used by SGS is similar to that used by the Queensland Treasury and various other statistical

agencies.

As part of an Input-Output Model, the total value of exports (international & inter-regional) for each industry is estimated.

Assuming that exports grow in proportion to forecasted Gross State Product (GSP) and applying regional employment

multipliers, it is possible to project the amount of employment that will be generated by a region as industry sectors change

their production levels to service the export demand.

The SGS Employment Forecasting Model also takes into account the impact of population growth by looking at consumer

spending habits in the region. This growth in consumer spending (based on population growth and 1998-99 ABS Household

Expenditure Survey) will need to be supported by the labour force that would be earning wages and salaries. In other words,

any increase in demand due to growth in consumer spending would in turn require an increase in wages (for this new

population). Hence, the population in an area can be treated as an industry with both supply (wages) and demand streams

(consumer spending). The effect of this pseudo industry will not only provide its own economic stimulus but also magnify the

economic stimulus that is provided due to export growth.


1373wcc04 (Final) P. 24

By using an Input-Output table it is possible to produce regional employment multipliers. Using these employment multipliers it

is then possible to project the amount of employment that would be generated in each of the regions as industry sectors

increase their production to meet export demand and total household expenditure in the region grows due to population

growth.

In short, SGS Employment Forecasting Model simulates the regional economy through regional Input – Output (IO) Model and

projects employment based on two key economic stimuli – growth in exports (international and inter-regional exports) and

growth in resident population and the resultant consumer spending.

SGS translates employment growth projections into floorspace requirements using standard industry floorspace ratios

(i.e. sqm required per employee).

The output from the model includes a forecast of the number of jobs created over the 2001-2027 period in Wollongong SSD, and the implications of this analysis in terms of floorspace/land

requirements. The following information illustrates the forecast growth of the Wollongong SSD

economy. Table 5. Employment Growth over T ime in Wol longong SSD, 2001 -2022

Cumulative Growth: 2001-2022

Jobs: 2007 2012 2017 2022

Agriculture; hunting and trapping 18 43 67 90

Forestry and fishing 4 9 14 19

Mining 100 177 253 329

Meat and dairy products 6 10 15 19

Other food products 30 57 82 107

Beverages, tobacco products 2 4 5 7

Textiles 12 21 29 38

Clothing and footwear 76 132 186 239

Wood and wood products 24 45 66 86

Paper, printing and publishing 57 109 160 209

Petroleum and coal products 5 10 14 18

Chemicals 32 56 79 103

Rubber and plastic products 7 14 20 27

Non-metallic mineral products 75 124 173 222

Basic metals and products 1,404 2,229 3,047 3,861

Fabricated metal products 66 120 172 224

Transport equipment 27 50 72 93

Other machinery and equipment 95 168 238 307

Miscellaneous manufacturing 37 65 93 120

Electricity, gas and water 71 130 187 243

Construction 37 78 117 155

Wholesale trade 266 507 738 966

Retail trade 1,285 2,424 3,509 4,569

Repairs 172 344 508 668 Accommodation, cafes and restaurants 526 1,013 1,483 1,944

Transport and storage 307 553 792 1,027


1373wcc04 (Final) P. 25


Jobs: 2007 2012 2017 2022

Communication services 128 250 368 485

Finance and insurance 324 640 949 1,255

Property and business services 775 1,530 2,268 2,998

Government administration 76 140 203 264

Education 762 1,395 2,017 2,634

Health and community services 676 1,301 1,905 2,499

Cultural and recreational services 142 288 427 562

Personal and other services 212 423 623 818

Total Jobs 7,838 14,457 20,879 27,206


Over the 2001-2022 period, an additional 27,206 jobs are forecast to be created through

population drivers, local demand, and export growth within the Wollongong SSD as a whole.

In addition to employment numbers, the employment yield model calculates floorspace

requirements, by industry type, on a year-by-year basis. Overall, an additional 1,791,299m2 of

floorspace will be required to accommodate the employment growth in Wollongong SSD by 2022. This translates into approximately 302ha of employment land when employment land ratios are

applied (see Table 6).


1373wcc04 (Final) P. 26

Table 6. Floorspace (m2) and Employment Land (ha) requirements by sector , 2001-2022, Wol longong SSD


2007 2012 2017 2022

M2 Ha Empl Land M2 Ha Empl Land M2 Ha Empl Land M2

Ha Empl Land

Agriculture; hunting and trapping 2,626.8 0.3 6,346.6 0.6 9,827.3 1.0 13,185.4 1.3

Forestry and fishing 612.7 0.1 1,379.8 0.1 2,103.2 0.2 2,804.9 0.3

Mining 14,620.5 1.5 25,851.2 2.6 36,983.7 3.7 48,045.6 4.8

Meat and dairy products 574.9 0.1 1,037.5 0.2 1,483.0 0.3 1,920.3 0.4

Other food products 2,444.1 0.5 4,566.3 0.9 6,592.1 1.3 8,573.7 1.7

Beverages, tobacco products 158.8 0.0 300.5 0.1 435.7 0.1 567.9 0.1

Textiles 694.2 0.1 1,231.4 0.2 1,751.9 0.4 2,264.4 0.5

Clothing and footwear 6,824.2 1.4 11,853.4 2.4 16,727.2 3.3 21,525.3 4.3

Wood and wood products 1,082.1 0.2 2,041.2 0.4 2,969.9 0.6 3,882.9 0.8

Paper, printing and publishing 3,959.9 0.8 7,628.7 1.5 11,168.9 2.2 14,646.8 2.9

Petroleum and coal products 1,049.9 0.2 1,900.4 0.4 2,728.1 0.5 3,544.3 0.7

Chemicals 6,416.2 1.3 11,204.0 2.2 15,885.8 3.2 20,511.6 4.1

Rubber and plastic products 1,087.0 0.2 2,098.7 0.4 3,071.0 0.6 4,024.5 0.8

Non-metallic mineral products 5,981.7 1.2 9,940.5 2.0 13,847.0 2.8 17,721.3 3.5

Basic metals and products 168,467.9 33.7 267,428.3 53.5 365,638.5 73.1 463,290.4 92.7

Fabricated metal products 1,976.1 0.4 3,592.8 0.7 5,167.6 1.0 6,720.7 1.3

Transport equipment 1,347.1 0.3 2,487.9 0.5 3,585.9 0.7 4,663.3 0.9

Other machinery and equipment 5,729.0 1.1 10,050.2 2.0 14,270.8 2.9 18,438.5 3.7

Miscellaneous manufacturing 2,387.9 0.5 4,233.5 0.8 6,030.8 1.2 7,803.7 1.6

Electricity, gas and water 8,576.1 2.9 15,617.2 5.2 22,454.2 7.5 29,185.5 9.7

Construction 5,489.7 1.1 11,654.8 2.3 17,535.2 3.5 23,287.5 4.7

Wholesale trade 58,552.2 11.7 111,442.2 22.3 162,459.4 32.5 212,564.0 42.5


1373wcc04 (Final) P. 27


2007 2012 2017 2022

M2 Ha Empl Land M2 Ha Empl Land M2 Ha Empl Land M2

Ha Empl Land

Retail trade 38,538.6 2.6 72,722.0 4.8 105,264.9 7.0 137,060.7 9.1

Repairs 9,452.8 0.6 18,908.7 1.3 27,929.6 1.9 36,750.1 2.5 Accommodation, cafes and restaurants 15,794.9 1.1 30,392.9 2.0 44,475.5 3.0 58,325.1 3.9

Transport and storage 67,576.6 13.5 121,599.8 24.3 174,194.6 34.8 226,029.1 45.2

Communication services 15,361.3 5.1 30,008.9 10.0 44,188.3 14.7 58,149.5 19.4

Finance and insurance 8,111.7 0.2 16,009.0 0.5 23,729.4 0.7 31,372.2 0.9

Property and business services 19,377.4 0.6 38,239.1 1.1 56,697.6 1.6 74,955.8 2.1

Government administration 2,700.9 0.2 4,955.6 0.3 7,160.2 0.5 9,340.4 0.6

Education 26,932.4 5.4 49,282.6 9.9 7,1260.4 14.3 93,071.5 18.6

Health and community services 23,903.0 3.2 45,987.4 6.1 67,316.5 9.0 88,309.0 11.8

Cultural and recreational services 5,016.7 0.7 10,166.5 1.4 15,071.5 2.0 19,865.7 2.6

Personal and other services 7,494.7 0.5 14,952.4 1.0 22,014.3 1.5 28,897.1 1.9

Total Jobs 540,920.3 93.1 967,112.2 164.2 1,382,020.2 233.5 1,791,298.9 302.0



1373wcc04 (Final) P. 28

In summary, the key findings from the ‘West Dapto Economic and Employment Study’ are that:

§ Over the 2001 to 2022 period, an additional 27,206 jobs are forecast to be created across the Wollongong SSD through population drivers, local demand, and export growth.

§ Overall, an additional 1,791,299m2 of floorspace will be required to accommodate the

employment growth in Wollongong SSD by 2022. This translates into approximately 302ha of employment land by 2022, when employment land ratios are applied.

By comparison, according to DOP’s Stage 2 Illawarra and South Coast Employment Lands Strategy, the demand for employment land is estimated to be between 288ha and 332ha by 2021. This

additional demand comprises between 145ha and 167ha of industrial land, 20ha to 23ha of

commercial land, and between 123ha and 142ha of land for special uses (such as schools, sport stadiums etc.).

4.1.2 Current Employment Land Supply

According to data supplied by Wollongong City Council, the LGA as a whole has a total employment

land supply of 2,293 ha. A breakdown of this land resource by employment zone is provided in

Table 7 . Table 7. Employment Land Supply Wol longong LGA (ha)

Employment Zone Wollongong LGA

(ha) Proportion of Total

Empl. Land

3(a) (General Business) 139.4 6.1%

3(b) (Neighbourhood Business) 18.5 0.8%

3(c) (Regional Business) 36.8 1.6%

3(d) (Commercial Services) 78.7 3.4%

3(e) (R&D Business Zone) 28.9 1.3%

4(a) (Light Industrial) 535.2 23.3%

4(b) (Heavy Industrial) 1,333.6 58.2%

4(c) (Extractive Industrial) 121.9 5.3%

Total 2,293.0 100.0%

Source: Wollongong City Council, 2005

As can be seen, the majority of Wollongong’s employment land (58.2% or 1,333.6 ha in absolute

terms) is zoned 4b (heavy industry), and just under a quarter (23.3%) is zoned 4a (light industry). Industrial land accounts for 86.8% of all employment land, or 1,990.7 ha in absolute terms. In

addition, new release areas at West Dapto includes 175.2 ha of industrial land of which

approximately 57ha is additional to the current supply. Of this additional figure, 31ha can be found in Kembla Grange, and a further 26ha is anticipated within Horsley.


1373wcc03 (Final) P. 29

DOP have produced a detailed audit of the demand and supply for employment land in the Illawarra and South Coast. SGS Economics and Planning undertook Stage One of the study, an

audit of all employment land across the region and this has enabled intelligence to be drawn from

this analysis to inform the study. The table below illustrates available employment land by study suburb according to the DOP data.

Table 8. Summary of Avai lab le Employment Land by Suburb

Total Employment Land by suburb (ha)

3a 3b 3d 4a 4b Total Helensburgh 4.4 - - 2.92 - 7.2 Thirroul 5.3 - - 0.7 - 6.0 Woonona 5.4 0.3 1.8 20.9 - 28.4 Bellambi - 0.1 - 12.4 - 12.6 Tarrawanna - 0.4 - 2.9 - 3.3 Berkeley 3.3 0.5 - 1.3 53.2 58.3

Total Study Area 18.4 1.3 1.8 41.1 53.2 115.8

Vacant Undeveloped Employment Land (ha)

3a 3b 3d 4a 4b Total Helensburgh 0.6 - - 0.7 - 1.2 Thirroul 0.1 - - - - 0.1 Woonona 0.1 - 0.9 4.3 - 5.2 Bellambi - - - 0.7 - 0.7 Tarrawanna - - - - - - Berkeley - - - - 7.0 7.0 Total Study Area 0.8 - 0.9 5.6 7.0 14.3

Vacant Developed Employment Land (ha)

3a 3b 3d 4a 4b Total Helensburgh 0.2 - - - - 0.2 Thirroul 0.2 - - - - 0.2 Woonona 0.1 - - - - 0.1 Bellambi - - - - - - Tarrawanna - - - 0.4 - 0.4 Berkeley 1.4 0.1 - - - 1.5 Total Study Area 1.9 0.1 - 0.4 - 2.4

Total Vacant Employment Land (ha)

3a 3b 3d 4a 4b Total Helensburgh 0.8 - - 0.7 - 1.5 Thirroul 0.3 - - - - 0.3 Woonona 0.1 - 0.9 4.3 - 5.3 Bellambi - - - 0.7 - 0.7 Tarrawanna - - - 0.4 - 0.4 Berkeley 1.4 0.1 - - 7.0 8.5 Total Study Area 2.6 0.1 0.9 6.1 7.0 16.7

Source: Illawarra and South Coast Employment Land Survey, July 2004

2 This figure cannot be directly compared to Table 5 because of different source s (Table 6, DOP; Table 5, WCC). According to WCC there is 6.5ha of 4(b) land in Helensburgh, however only 2.9ha was identified and surveyed as part of the DOP study.


1373wcc03 (Final) P. 30

In addition, a summary of total employment land per (working age) capita measure is presented in Table 9 .

Table 9. Summary of Employment Land Per Work ing Age Capi ta (sqm)

Total Employment Land by suburb (sqm per Working Age Resident)

3a 3b 3d 4a 4b Total

Helensburgh 12.9 0.0 0.0 8.5 0.0 21.2

Thirroul 14.3 0.0 0.0 2.0 0.0 16.2

Woonona 8.8 0.5 2.9 34.0 0.0 46.2

Bellambi 0.0 0.4 0.0 43.8 0.0 44.5

Tarrawanna 0.0 4.8 0.0 35.1 0.0 39.9

Berkeley 7.0 1.1 0.0 2.8 113.0 123.8

Total Study Area 7.3 0.8 1.0 22.6 29.7 61.2

Total Wollongong LGA 11.5 1.5 6.5 44.3 110.4 174.2

As can be seen, Berkeley has high amounts of employment land based on this measure, while all

other suburbs are under-represented compared with the Wollongong LGA as a whole, illustrating

the role of these suburbs as largely residential in nature. The discrepancy between these suburbs and Wollongong may be explained by the fact that the Wollongong total includes areas with

significant industrial activity, such as Unanderra and Port Kembla.

The location of key industrial sites in the Wollongong LGA is shown in Figure 5.


1373wcc03 (Final) P. 31

Figure 5. Indust r ia l Land Locat ion Map


Table 10 summarises the key characteristics of Wollongong’s industrial land supply offer.

Table 10. Industr ia l Land Supply in Wol longong LGA

Total Area

(ha)

Comments

North

Wollongong

52 North Wollongong’s industrial areas contain some of the LGAs prime industrial real-

estate. Montague Street is at the top end of Wollongong industrial land prices. Estate

agent intelligence suggests a very strong demand in this area. The industrial areas have

good access and there is an established core of businesses active in wholesaling, bulky

goods retail, and metal manufactures.

Bulli 65 Bulli industrial areas are distanced from the freeway. There is poor access from Bulli

Pass. The area is dominated by small local service industries (such as timber

merchants, panel beaters, auto electricians, brick manufacturers, etc). Most businesses

employ people who live on-site or nearby .


1373wcc03 (Final) P. 32

Total Area

(ha)

Comments

Corrimal –

Woonona

139 Industrial areas at Corrimal-Woonona are closer to the freeway than those at Bulli. The

area is dominated by small local service industries though there is also a large coal

preparation site.

Coalcliff 46 Industrial land in Coalcliff is zoned 4(c) – extractive industrial.

Unanderra 251 Many of the users are associated with the Steelworks. There are also a number of local

service industry users (such as building supplies, automotive parts, motor mechanics,

etc). Land prices in this area are rising rapidly as the remaining vacant plots are

developed. There is a mix of 4(a) – light industrial and 4(b) – heavy industrial zoning.

Some remaining vacant lots are large (>4,000 m2) but may be difficult to develop.

Port Kembla 1259 Land zoned 4(b) – heavy industrial or 5(a) – special uses port. The area is dominated by

heavy industry, metal manufacturers, transport and logistics.

Kemblawarra 39 Kemblawarra land is suitable for heavy industry. Remaining vacant land has been

purchased by Bel Morgan for development.

Kembla Grange

&

(Dapto)

520

(75)

A mixture of 4(a) – light industrial and 4(b) heavy industrial zoning. Large parts of the

southern end of the site are flood-affected and parts of the northern boundary are steeply

sloping which makes them difficult to develop. While there is around 481 ha of vacant

land, only around 230 ha of this is developable. Small parcels of land in Dapto currently

house a range of small local service industries.

Yallah 21 Industrial land in Yallah is a mixture of various businesses. Servicing and access is

incomplete on many sites but this is expected to improve once residential areas are more

developed. An estimated 21 ha of undeveloped land exists but has been labelled

‘unusable’ by property agents.


According to the DOP study, the vacant land resource that could be found in the Wollongong LGA was 478.4ha in 2004. Of this figure, 449.8ha was undeveloped vacant land, and 28.6ha had been

developed previously, but was vacant at the time of the survey.

Table 11. Stage 1 F ind ings on Avai lab le Employment Land – Wol longong (Hectares)

Occupied Vacant

Undeveloped - 449.8

Developed 1,774.4 28.6

Total 1,774.4 478.4

Source: SGS Economics and Planning, Employment Lands Strategy - Stage 1 Report (July 2004)

SGS has been provided with further intelligence on the constraints on employment lands in the

Wollongong LGA, including contamination, flooding, and heritage values. Through a rough

calculation of the coverage of these constraints, assumptions have been made about the developability of vacant land in the LGA. The results from this analysis are outlined in Table 12

below. As can be seen, only approximately 51% of the total vacant land resource, or 238ha in

absolute terms is free from any of the above constraints, and therefore available for future development.


1373wcc03 (Final) P. 33

Table 12. Avai labi l i ty of Employment Land in Wol longong SSD

Total Vacant Land (ha) % Encumbered Land Unencumbered Land

Area (ha)

Wollongong LGA 481.43 49.7 237.9

Unanderra 100.4 23.0 77.3

North Wollongong 1.2 10.0 1.1

Fairy Meadow 6.3 70.0 1.9

Fernhill 6.1 10.0 5.5

Bellambi 7.4 35.0 4.8

Bulli 1.8 47.0 1.0

Thirroul 0.4 25.0 0.3

Mt Saint Thomas 16.3 25.0 12.2

Wonoona 5.3 34.0 3.5

North Kembla Grange 35.6 30.0 24.9

Wollongong 19.3 15.0 16.4

Kembla Grange 265.1 70.0 79.5

Dapto 7.8 76.0 1.9

Berkeley 8.5 10.0 7.7

Source: DOP, SGS Economics and Planning.

It must be noted that whilst this amount of employment land is vacant and developable in the LGA,

land ownership presents a further tier of potential development constraints. Vast tracts of vacant employment land are present around the steelworks and the port, however, these lands are owned

by BHP/Bluescope, and Port Kembla and their intentions towards developing these lands for

employment purposes are either unknown (in the case of BHP/Bluescope) or tied up for future port-related activity in the case of Port Kembla.

Nevertheless, the above analysis shows that, at face value, there is sufficient employment land available within Wollongong LGA to meet forecast demand for employment land up to 2022.

However, if development constraints are taken into account, only 238ha of employment land are

available, i.e. land immediately available for future development. Compared with estimated demand for employment land of 302ha by 2022 (see previous section), this means that there will

be a shortage of unconstrained employment land within Wollongong LGA. Assuming an annual

average take up of 16 ha of employment land, it is estimated that the LGA will run out of currently zoned employment land in 2016, and thus additional land resources will need to be identified to

cater for anticipated employment growth. However, with the additional supply brought on-stream

through West Dapto (approximately 57ha) the demand can largely be met, with only a small shortfall of approximately 7ha.

The 2003 ‘Wollongong Economic Development Roadmap’ identifies a range of key issues relating to Wollongong’s employment land resource, these can be summarised as:

3 Please note that the discrepancy of 3 ha is due to the methodology used to derive the suburb breakdown.


1373wcc03 (Final) P. 34

§ Wollongong faces a number of major constraints such as inadequacy of infrastructure (central city, road, rail, and telecommunications), as well as limited availability of industrial land and

higher quality commercial space;

§ Strong regional population growth and major housing development with limited new industry to provide regional jobs, is expected to have an impact on the future availability of

employment lands;

§ Future opportunities for Wollongong include the redevelopment of under-utilised industrial land, the development of business incubator areas, and the establishment of an ‘Employment

Lands Development Group’.

However, the report also notes that, based on the ‘Wollongong Futures: Regional Economy

Overview’ which was carried out by Leyshon Consulting in 2002, Wollongong also has a limited

supply of land for new residential development.

4.2 Residential Land Market Analysis

4.2.1 Demand

SGS Economics and Planning have previously conducted a housing demand forecasting exercise as part of the ‘Wollongong City Housing Study’. Estimates of the number of households according to

family type and dwelling structure were made, based on population projections by sex and age and

using a stable migration scenario.

According to these estimates, the population of the Wollongong LGA is expected to increase by

52,600 residents by 2031, requiring an additional 32,384 private dwellings. The analysis further suggests that this additional supply should comprise:

§ 50% separate houses (16,192 dwellings in absolute terms); § 31% semi-detached or townhouses (10,039 dwellings in absolute terms); and

§ 19% high density dwellings (6,153 dwellings in absolute terms).

4.2.2 Current and Future Supply

The study identified opportunities to provide new dwellings through high density developments

(including mixed use developments), medium density dwellings and Greenfield developments,

which within Wollongong’s existing urban area may take place on:

§ Residential vacant land;

§ Brownfield sites, through the redevelopment of both existing low-density housing and ‘non-housing’ sites.

SGS estimated that there was potential for an additional 12,902 dwellings to be added across the Wollongong LGA through infill development. This figure can be broken down as follows:


1373wcc03 (Final) P. 35

§ 7,348 low density § 1,666 medium density dwellings; and

§ 3,888 high density

Table 13. Resident ia l Demand and Supply In teract ion (Excluding West Dapto)

Residential Demand by 2031 Future Supply opportunities Balance (Unmet Demand)

Low Density 16,192 7,348 -8,844

Medium Density 10,039 1,666 -8,373

High Density 6,153 3,888 -2,265

Total 32,384 12,902 -19,482


As can be seen from these figures above, there will be unmet demand for 19,482 dwellings across the Wollongong LGA given current supply through infill development opportunities. However, new

release areas in West Dapto offer potential for an additional 19,400 dwellings through Greenfield

development. If these development opportunities are taken into account, there will be sufficient demand to cater for the estimated increase in residential demand as outlined above.

4.3 Key Implications

• The LGA hosts 1,990.7ha of industrial land in to tal, constituting 86.8% of the LGA’s employment land

resource.

• Anticipated future employment demand (+27,206 jobs by 2022) will require 302ha of employment land.

Given that the amount of vacant, unconstrained land in the LGA equals 238ha, illustrating a shortfall in

supply. At current take-up levels of 16 ha per annum, supply will run out in 2016. West Dapto is

expected to include 175 hectares of industrial employment land. Some of this figure is a subset of the

current supply, however approximately 57 hectares will be additional. This will bring supply to 295ha

thus falling short of anticipated demand over the next twenty years by approximately 7ha.

• Wollongong has 174.2 sqm of employment land per working age resident. In contrast, the study area as

a whole has only 61.2 sqm, illustrating the role they play as residential communities. Thirroul is

particularly under-represented, with only 16.2 sqm. In contrast Berkeley offers 123.8 sqm illustrating the

significant industrial land offer within this suburb.

• Wollongong has 535.2 hectares of 4a employment land. This translates into 44.3 m2 per capita

(working population). It is apparent that certain areas such as Berkeley are over-represented on this

measure, illustrating the extent to which the suburb has industrial land of regional significance.

• An important criterion to be met in rezoning industrial land is the ability to offset this loss elsewhere in

the LGA. Employment lands that are anticipated to come on-stream in the future include West Dapto

(approximately 57 hectares additional).

• The population of Wollongong is expected to increase by 52,600 by 2031, requiring an additional 32,384

dwellings. The estimation of infill capacity indicates that 12,902 dwellings can be supplied in the future.

Therefore, there will be unmet demand for 19,482 dwellings. The West Dapto Greenfield development

will help address this gap. Of particular note, under existing plans for West Dapto there will be a

shortfall in medium density dwellings. Any rezoning application should demonstrate how this deficiency

could be met.


1373wcc03 (Final) P. 36

5 Site Analysis

This section presents an overview of the location and key characteristics of each of the six industrial sites on which this study is focused on, and an assessment of the contribution that each

site can offer to meeting future demand for employment land. These are largely derived from

discussions with local real estate agents in each area, as well as discussions with DOP and Council staff.

5.1 Helensburgh

5.1.1 Site Context

Location

Helensburgh’s industrial land resource comprises of 6.4 ha of land located in the Glymea Glade

neighbourhood at Helensburgh, along Cemetery Road and Parkes Street. The site is largely

undeveloped and consists of mainly bushland, although the northern portion of the site is developed and occupied by local service providers.

The figure below illustrates the site’s position relative to surrounding urban areas and transport infrastructure.

Figure 6. Helensburgh Industr ia l Si te and Surrounds



1373wcc03 (Final) P. 37

Site photographs are given below.

Nature of Existing and Surrounding Uses

Existing uses of the site include a range of small local service providers such as smash repairs, a

fire station and various retail activities, which are located along Parkes Street. In addition, a number of residential dwellings are located within the developed component of the site, and it is

likely that they accommodate business activities of some sort, but the nature of these could not be

established through visual inspection.

The eastern portion of the site consists of open space and bushland. Being part of a larger precinct

which is owned by Landcom, the site adjoins Landcom residential development which is under construction to the east. The site is currently zoned 4(a) Light Industrial. A more detailed

breakdown of the current uses is presented below.

Table 14. Parkes Street and Cemetery Road Land Use Audi t , 2005

% of total land Number of Parcels

Vacant undeveloped 79.5% 8

Vacant developed 1.6% 1

Occupied 18.9% 11

29 Other Manufacturing 1.4% 1

53 Motor Vehicle Retailing and Services 4.9% 3

67 storage 1.6% 1

92 Other Services 2.1% 1

Residential 8.8% 5

Total 100% 20


These uses are illustrated in the figure overleaf.


1373wcc03 (Final) P. 38

Figure 7. Land Use Survey - Helensburgh

Source: SGS Economics and Planning Key:

• UD Undeveloped

• R Residential

• PV Possibly Vacant

• 29 Other Manufacturing

• 53 Motor Vehicle Retailing and Services

• 67 Storage

• 96 Other Services


1373wcc03 (Final) P. 39

Surrounding areas include existing residential development to the east along Walker Street, new residential development to the north, and a cemetery and bushland to the south of the site. Council

advises that the surrounding bushland to the west of the site is under environmental protection,

and as such unavailable for alternative uses. As such there is currently no alternative for expansion to the existing industrial component within the suburb. Council notes that commercial agents have

indicated demand for industrial land in the area.

The impact of industrial uses on residential amenity is considered low at the northern portion of the

site, but could be somewhat more significant at the southern part given the proximity of the site to

the residential development, depending on the types of industries that would be attracted to the site.

Access

The site has good access to the local and regional road network. Cemetery Road and Parkes Street

border the site to the west, and offer a relatively high level of access to the surrounding arterial

road network, in particular the Princes Highway and the Southern Freeway, both of which provide a key link to Sydney to the north and Wollongong and the Illawarra region to the south.

The site itself is accessible from two main roads, Parkes Street and Ceme tery Road. In addition, SGS understands that Landcom plans to build a road through the site.

At present, all key services and infrastructure are provided for the western part of the site. Access to supporting infrastructure such as education, health, and recreation is provided.

Proximity to Potential Workforce

The site has access to a wide labour pool that can benefit from employment opportunities provided

by industrial development. While Helensburgh is in commuting distance to both Wollongong and Sydney, it also provides a potential workforce of approximately 3,400 working age residents. Other

major sub-regional centres in the vicinity of the site include Campbelltown and South West Sydney.

5.1.2 Rezoning Proposal and Implications

Current Proposal and Policy Implications

A formal rezoning application has been submitted to Council for a boundary adjustment within the

study site, which would in effect allow residential development to take place on 2,500 sqm of undeveloped land that is zoned 4(a) Industrial uses. The boundary adjustment is aimed at

allowing implementation of Landcom’s Masterplan for the site, and to improve the interface

between residential and employment uses within the site. In addition, preliminary enquiries have been made regarding the possibility for rezoning other areas within the remainder of the study site.


1373wcc03 (Final) P. 40

The table below sets out how the proposal for boundary adjustment meets relevant policy messages.

Policy Document Key Criteria

Illawarra Regional

Environmental Plan No 1

The proposal does not substantially reduce the amount of land zoned for industrial

purposes and leaves sufficient industrially zoned land to meet industrial

requirements.

Wollongong Local

Environmental Plan 1990

Environmentally sensitive areas are protected from development, and adverse

impacts of urban development on both the built and natural environment are

minimised.

Wollongong DCP 6: Commercial

and Industrial Development

Light industry is compatible with the locality in which it is proposed to be developed,

and the proposal does not diminish the existing amenity for current residents.

Wollongong City Economic

Development Roadmap

Proposal would only have a limited impact (2,500 sqm) on the availability of

industrial sites in Wollongong and is therefore not considered to be a constraint on

local business and the attraction of new business, particularly manufacturing and

other light industries.

Wollongong City Centre

Revitalisation Strategy

Proposal does not result in a significant loss of commercial space capac ity due to

growing pressure of residential development.

Wollongong City Council Urban


Proposal helps to maximise housing opportunities within existing urban areas with

due regard to environmental and infrastructure constraints; and reduces adverse

impacts on existing housing stock.

Wollongong LGA Economic

Development Strategy

Proposal would only have a limited impact (2,500 sqm) on the availability of

industrial sites in the Wollongong LGA and is therefore not considered to pose a

significant constraint on the availability of employment land within the region.

Thus it can be seen that the proposed boundary adjustment does not conflict with any policy

messages and planning parameters which apply to the LGA. This is mainly because the suggested

boundary change would effectively result in a reduction of 2,500sqm of industrial land within the suburb, accounting for 3.5% of total employment land within Helensburgh.

An assessment against the criteria for spot rezoning as recommended in the Stage 3 Illawarra and South Coast Employment Lands Strategy is outlined below:

Criteria Rezoning application

Long term demand for employment

lands in the local area

Due to the 6.4 ha stock of undeveloped land within which the boundary adjustment

would occur, the ability of the suburb to cater for future employment growth would not

be significantly constrained.

Employment land of regional

significance4

Land parcel is currently not classified as employment land of regional significance.

Long term economic viability of

that site for that operation

No potential conflicts given that no operations occur on the subject site at present.

Opportunities for residential development based on residential development underway

adjacent to the site.

4 The strategy recommends that regional significant precincts for employment lands include Port Kembla, Albion Park, Nowra Air Base, Mouya and Merimbula Airports, regional commercial centres and business parks, Wollongong City Centre, as well as sites that meet all heavy industry principles, both current and potential.


1373wcc03 (Final) P. 41

Preliminary enquiries have also been received concerning the possible rezoning of sites to the north of the proposed boundary adjustment (Parkes Street). Approximately 0.6ha of the site is occupied

by industrial users. The land use survey of this site has been applied to standard floorspace ratios

to calculate the potential employment capacity of the occupied parcels, which has been identified as 74 employees. Clearly rezoning these parcels to residential uses would have a negative impact

on these figures.

Consulta tion Findings (Agents and Stakeholders)

Agents suggest that the residential market in Helensburgh has been very quiet with only 43 houses

being sold in the Helensburgh area during the past seven months. However, this trend is not expected to last as agents anticipate the property market to pick up during the warmer months. In

terms of the types of investors, Helensburgh is most likely to attract owner occupiers and family

households.

Agents suggested that the main issue facing the property market in Helensburgh is that the supply

of buildable land is declining, and thus going to have an impact on current demand and future growth in the area. Also, there is high demand for new residential blocks, and this was illustrated

by one agent, who claimed that a half-finished residential dwelling within Landcom’s Chadwick

Grove (new residential estate near the subject site) recently sold for $585,000. The fact that the average house price in Wollongong is about $350,000-$450,000 further reinforces the high

demand for new residential sites within this suburb.

However, further large scale residential development which is taking place adjacent to the site will

result in an increase in housing stock within the area. Agents expect this new development to be

very popular and quickly taken up.

Agents noted that, despite good road access to the south of the LGA, industrial land demand is

very limited within Helensburgh. Nevertheless, one agent strongly argued that the industrial areas had been there first and also that the encroachment of residential development currently

surrounding the subject site was a result of uncontrolled urban sprawl, suggesting that a balanced

approach needs to be exercised in order to mitigate potential land use conflicts.

Generally speaking, agents were supportive of a move towards rezoning the site for residential

uses. However, consultations with DOP and Council suggest that the limited supply of employment land in Helensburgh is a concern, thus retaining employment land should be a priority, particularly

given the presence of an environmental protection zone which limits further expansion into

undeveloped land.


1373wcc03 (Final) P. 42

Wider Supply and Demand Context and Impacts

The current supply of employment land within the Helensburgh suburb is illustrated in Table 15.

As can be seen there is only a limited amount of vacant land zoned for employment (1.5ha in

total), of which only 0.2 ha is undeveloped land available for commercial uses. Table 15. Helensburgh Employment Land Supply 2004 (ha)

3a Zone 4a Zone Total Employment

Total Zoned Employment Land 4.4 2.9 7.3

Total Vacant Employment Land 0.8 0.7 1.5

Vacant Developed Employment land 0.6 0.7 1.3

Vacant Undeveloped Employment Land 0.2 - 0.2

Source: Illawarra and South Coast Employment Lands Strategy Stage 1

Summary and Recommendations for Rezoning

Summary:

• The site offers 6.4 ha of industrial land which represents the entire stock of Helensburgh 4(a) land, and is largely

undeveloped. Existing uses to the north of the site include population-driven services such as smash repair and

emergency services.

• As an industrial site, advantages include good access and well serviced by infrastructure and labour. Agents indicate that

despite these advantages, demand for industrial land is limited within Helensburgh.

• Environmental protection limits further expansion of development to the west of the site. Anecdotal evidence reveals the

presence of a bushfire threat that is a further development deterrent.

• Residential amenity may be negatively impacted on by further industrial development on the boundary adjoining the

Landcom development to the industrial area.

• The area is one of high residential demand.

• The policy environment would support the slight boundary adjustment of 2,500m2 (a 4.1% decrease on the current 4(a)

supply). As the land in question is vacant, there will be no negative impact on current employment levels.

• However, the policy environment would not generally support rezoning the remainder of the site to residential uses,

particularly given the adverse employment impact which could result in the potential loss of up to 74 employees (please

see Appendix A for further detail on methodology).

Based on current policy messages, overall impact on the provision of employment land and nature

of surrounding land uses, it is recommended that Council should retain 4(a) land with the exception of the 2,500 sqm for the proposed boundary adjustment, which is not considered to have

an adverse impact on the supply of employment land.


1373wcc03 (Final) P. 43

5.2 Thirroul

5.2.1 Site Context

Location

The site comprises of 10 lots located along Railway Parade, in Thirroul, covering an area of 0.7 ha in total. The site is located adjacent to the Thirroul Railway Station, and is currently occupied by

two motor mechanics (smash repairs), with the remaining lots occupied by single storey detached

housing. The site is currently zoned 4(a), and Council advises that whilst no official rezoning application has been received to date, there have been preliminary enquiries for the potential to

rezone the site to allow a mixed-use outcome.

A map illustrating the location of the site in relation to key population centres and transport nodes

is provided below.

Figure 8. Thir roul Industr ia l Si te and Surrounds


Site photographs are given overleaf.


1373wcc03 (Final) P. 44

A Master plan has been prepared for the Thirroul Village area, which comprises the industrial sites

under consideration. The vision for Thirroul Village includes strengthening existing commercial and

retail activities, as well as encouraging mixed-use development to foster the development of a lively main street Village Centre. The key objectives that are relevant to this study include:

§ To support a retail frontage and encourage retail activities along Lawrence Hargrave Drive wherever possible;

§ To encourage a viable village through a variety of uses and activities;

§ To maintain a village character with a safe pedestrian environment; § To create a built form that compliments the existing urban fabric;

§ To reinforce links to surrounding areas, in particular Thirroul Beach.

The southern side of Thirroul Village in particular (which is the area in which the industrial land is

contained) has a prominent village theme due to the provision of services that meet day-to-day

needs of residents.


The site is fully developed and used for light industrial and residential purposes, the latter

consisting of detached housing. Two motor mechanics and an air conditioning business are currently located at the rear of these residential properties, and these activities are not considered

to impact negatively upon the amenity of the surrounding area.

The site is located adjacent to Thirroul railway station, a major transport hub for northern Illawarra

residents. To the north of the site runs Lawrence Hargrave Drive, Thirroul’s only maijor

thoroughfare which contains small retailers, including café/restaurants, a video hire shop, newsagent, a grocer, real estate agents, and fast food outlets. Residential areas are located to the

west and the southern part of the site.


1373wcc03 (Final) P. 45

Table 16. Thirroul Land Use Audi t , 2006


Vacant undeveloped 0 0

Vacant developed 0 0

Occupied 100 10

53- Motor Vehicle retailing and Services 8.3 1

53 – Motor Vehicle retailing and services (70%)

42 – Refrigeration Installation (30%)

15.3 1

Residential 76.4 8

Total 100.0 10


These uses are illustrated in the figure below. Figure 9. Land Use Survey - Thi r roul


• R Residential

• 53 Motor Vehicle Retailing and Services

• 42 Refrigeration Mechanics


1373wcc03 (Final) P. 46

Access

The railway bridge which separates Thirroul into two parts, is the only access road linking suburbs

to the north to Bulli and suburbs further south. At times of peak hour traffic, congestion increases

through this area, creating difficulties for motorists leaving and entering Lawrence Hargrave Drive, which provides direct access to the site. The intersection between Railway Parade and Lawrence

Hargrave Drive provides access difficulties for large vehicles and general traffic, mainly due to poor

visibility.


The site is located in the heart of Thirroul - as of 2001 the suburb’s population stood at 5,594

people, of which 3,725 were of working age. In addition, given the site’s close proximity to the

railway station, it provides good access to surrounding population centres such as Bellambi and Woonona.


Current Proposal and Policy Implications

No formal rezoning proposal has been submitted to Council to date. However, the following table

demonstrates how a rezoning proposal to allow a commercial / residential mixed use outcome

would relate to key relevant policy messages.


Illawarra Regional


Whilst a rezone would not substantially reduce the amount of land zoned for industrial

purposes (0.7ha), the site represents the entire industrial land resource within the

suburb. The proposal would therefore fail to leave sufficient industrially zoned land to

meet industrial requirements in the local area. However, the impact on the supply of

industrial land across the region as a whole would only be minimal.

Wollongong Local


Environmentally sensitive areas would remain protected from development, and thus

adverse impacts of urban development on both the built and natural environment

minimised.



Reduction of industrial land may increase the existing amenity for current residents in

surrounding areas.



A mixed-use zone would help to maximise housing opportunities within existing urban

areas with due regard to environmental and infrastructure constraints; and reduce

adverse impacts on existing housing stock.


1373wcc03 (Final) P. 47



Development Roadmap /



A rezone to allow mixed uses would only have a limited impact on the availability of

employment land in the Wollongong LGA as a whole, and would therefore not

represent a significant constraint on the availability of employment land within the

region. In addition, given that the number of employees to floorspace ratio is generally

higher for retail / commercial uses than it is for industrial uses, the overall employment

outcome is unlikely to be lower.



Long term demand for

employment lands in the local

area

A rezone to allow mixed uses would not diminish the overall supply of employment

land within the suburb, and therefore long term demand for employment would be met.

It should also be noted that employment forecasts for the LGA as a whole indicated

significant employment growth in the in the service sector by 2022.


significance

Land parcel does not represent employment land which is of regional significance.



Whilst current uses are considered economically viable on that site, there are

opportunities for a mix or commercial and residential uses (or commercial and light

industrial) given the broader planning context for the Thirroul Village precinct.

Consultation Findings (Agents and Stakeholders)

Residential agents indicate that housing demand in Thirroul continues to be relatively strong with

buyers originating mainly from Wollongong’s northern suburbs and as far as Sydney. Demand is particularly strong for detached housing. Those seeking residential property in Thirroul are

attracted to its ‘village’ atmosphere and frequent transport connections to Sydney. However,

agents note that two residential developments are currently under development in Thirroul, and these are likely to meet housing demand in the short to medium term. The two sites noted include

the development along Station St and the former Bowling Club site. Once completed, both

developments will offer a mix of 2-3 bedroom residential apartments.

According to agents dealing with commercial property in Thirroul, due to the reopening of Lawrence

Hargrave Drive at Coalcliff, and Thirroul being the first major town south of Sydney, there is strong demand for small retail space, with enquiries coming from beauticians, antique shops, gift shops

etc. However, agents suggested that there is a lack of commercial space in Thirroul, and noted

that, given its proximity to the railway station, there may be opportunities to change the current zoning of the industrial site to allow mixed use development including retail/commercial as well as

residential uses.


1373wcc03 (Final) P. 48

Council advises that there has been a poor take -up rate of the industrial land located on the site under consideration. In addition given that the site is located adjacent the station, and therefore a

‘first entry point’ to the suburb, Council raised concerns as to whether the current use of the site is

appropriate from a visual point of view. However, Council also notes that the ‘Retail Centres Study’ did not identify the need for Thirroul to expand upon its existing provision.

The Department of Planning endorses a zone that allows for a mixed-use outcome (commercial / residential or commercial / light industrial) in the longer term, given its proximity to key transport

infrastructure and surrounding uses. In addition, this type of use would fit into the broader

planning context for the Thirroul Village precinct, whilst the overall loss of employment land to residential uses would be minimised.

Wider Supply and Demand Context and Impacts

The current supply of employment land within the suburb of Thirroul as a whole is illustrated in Table 17. As can be seen there is only a limited amount of vacant land zoned for employment

(0.3ha in total), of which only 0.1 ha is undeveloped land available for commercial uses.

Table 17. Thirroul Employment Land Supply 2004 (ha)

3a Zone 4a Zone Total Employment


Total Vacant Employment Land 0.3 - 0.3

Vacant Developed Employment land 0.2 - 0.2

Vacant Undeveloped Employment Land 0.1 - 0.1



Summary:

• The site covers 0.7 ha and is zoned 4(a) and is fully occupied.

• The site is close to the local road network, and has a high level of visibility for passing traffic. However, the site has some

access difficulties during peak traffic hours, which may limit the types of industrial activities that can be carried out on the

site, particularly those that rely on frequent v ehicle movements.

• The site is located adjacent to Thirroul train station, therefore providing good pedestrian access.

• The policy environment would support rezoning to mixed uses. However vehicle access deficiencies will have to be

addressed through appropriate planning mechanisms if rezoning proceeds .

• Industrial land take up on the site has been generally fairly low, and the majority of the site is currently occupied by

residential uses. Current industrial uses include motor vehicle repairs and retailing, as well as construction services

(refrigeration installation).

• Employment Land per capita in Thirroul is 16.2 m2. If the entire site was rezoned to allow residential uses, the impact

upon employment is likely to be a loss of 4 employees.

• Stakeholder consultation with DoP reveals support for a mixed use zone encompassing a mix of commercial / residential

or commercial / light industrial uses.


1373wcc03 (Final) P. 49

The location of the Railway Parade site lends itself to some form of commercial use, given the

proximity to established transport infrastructure and the broader planning context for the area.

However, as the site is currently occupied and no formal rezoning submission has been received by Council, it is recommended that the current zoning be maintained in the short term. If the site was

to be considered for future rezoning proposals, it is recommended that a mixed use zone

encouraging commercial and medium density residential uses should be explored, in line with the broader planning context for the Thirroul Village precinct. However, land capability issues would

need to be considered separately.

5.3 Woonona

There are two sites within Woonona that are being considered for rezoning. These include a site on the Princes Highway, and one on Duke Street.

5.3.1 Princes Highway Site Context

The site consists of three small lots which are located on Gray Street, corner of Princes Highway, in

Woonona, covering a total area of 0.3 ha. The site is relatively small and flat, and currently occupied by an auto-electrics firm, a pet food and produce wholesaler, and mechanical repairs. It is

currently zoned 4(a), and Council advises that no rezoning application for the site has been

received to date.

A map showing the location of the site in relation to key population centres and transport nodes is

provided overleaf. Figure 10. Pr inces Highway Industr ia l Si te and Surrounds



1373wcc03 (Final) P. 50

Site photographs are shown below.


The site is fully developed and used for light industry and retail purposes, which, overall, are not

considered to impact negatively upon the amenity of the surrounding residential area.

Figure 11. Land Use Survey - Woonona



1373wcc03 (Final) P. 51

The site adjoins the Edgewood residential estate to the south, as well as established housing to the

west and north, which mainly consists of high and medium residential development comprising one and two-storey dwellings. The surrounding land is zoned 2(b).

Access

The site has good access to the local road network, and its location on the Princes Highway offers a high level of access to the surrounding north to south arterial network, as well as excellent visibility

for passing traffic.


The site is located on the edge of Edgewood estate, a major new residential development, which would provide both, a significant workforce as well as demand for retail and other population driven

services if the site were be retained as employment land. Edgewood is expected to house a total

population of 1,930 residents5 upon completion.


No formal rezoning proposal has been submitted to Council to date. The following table

demonstrates how a rezoning proposal of this kind would relate to key relevant policy messages.

Current Proposal and Policy Context


Illawarra Regional



purposes and leaves sufficient industrially zoned land to meet industrial requirements

(28 ha across Woonona).

Wollongong Local


Environmentally sensitive areas are protected from development, and adverse impacts

of urban development on both the built and natural environment are minimised.



Reduction of industrial land may increase the existing amenity for current residents in

surrounding areas.


Development Roadmap

Proposal would only have a limited impact on the availability of industrial sites in

Wollongong as a whole and is therefore not considered to be a constraint on local

business and the attraction of new business.



Proposal does not result in a significant loss of commercial space capacity due to




Proposal helps to maximise housing opportunities within existing urban areas with due

regard to environmental and infrastructure constraints; and reduces adverse impacts

on existing housing stock.

5 This figure is based on an anticipated housing yield of 742 combined with an average occupancy rate of 2.6 persons per dwelling in Woonona (according to ABS 2001 Census data).


1373wcc03 (Final) P. 52




within the LGA and is therefore not considered to be a significant constraint on the

availability of employment land within the region.

As the information in the above table demonstrates, a rezoning proposal to allow residential

development would not interfere with any local policies. Furthermore, Woonona has a reasonable

employment land resource (28.9 ha) of which the Princes Highway site accounts for less than 1% and thus a rezoning to residential would only have a small impact on the availability of employment

land.

An assessment against the criteria for spot rezoning as recommended in the Stage 3 Illawarra and

South Coast Employment Lands Strategy is outlined below:




area

As the overall impact on employment lands within the local would be limited, there

would be sufficient land left to cater for long term demand for employment land.


significance

The site does not constitute employment land of regional significance.



Current uses, or any similar types of retail and commercial uses are considered

economically viable on that site, and should be protected in the future.


While the site offers a good location for medium density residential development, DOP stakeholders have a preference for a range of uses on the site rather than purely residential. In particular,

given the topography of the land and the highway frontage the site is considered to be suitable for

commercial activities associated with residential uses, such as small scale retailing / neighbourhood businesses (note that Edgewood estate is currently not serviced by a neighbourhood shopping

centre), although consideration would have to be given to how impacts upon the Woonona retail

centre. Another viable alternative to a rezone to residential uses would be a mixed use zone (allowing retail and residential uses) featuring ground floor retailing and a range of top shop

apartments.

Local agents consider the site to be suitable for retail or commercial uses, in light of low demand

for housing in the area and a strengthening commercial property market. In addition, the site’s

prime frontage onto the Princes Highway provides exposure for commercial/ retail purposes. With regard to the types of uses that would be suitable for future uses of the site, one agent noted that

given the current conditions and configurations of the buildings present across the three lots, the

site would most likely need to be redeveloped with a view to using the space directly fronting the Princes Highway more efficiently. Furthermore, a consolidation of the three lots would make the

site appropriate for bulky goods retailing if traffic improvements could be met.


1373wcc03 (Final) P. 53

5.3.3 Duke Street Site Context

The Duke Street site comprises 1.7 ha of developed land, which is identified in planning documentation as Lot 1 DP208287, located in an established residential area in Woonona. Council

has received a verbal e nquiry for the site to be rezoned from industrial to residential uses.


provided below.

Figure 12. Duke Street Industr ia l Si te and Surrounds


A number of site photographs are given below.


1373wcc03 (Final) P. 54


The site is located at the southern edge of Edgewood estate, and according to Council represents the last remaining site of former industrial land within the area. Further established residential

areas are located directly adjacent to the site to the south, as well as between the site and the

Princes Highway. Figure 13. Land Use Survey – Duke St ree t , Woonona


A retaining basin situated north of the site catches runoff, posing considerable problems with

pollution.

Council advises that the lot adjoining the site to the east is currently zoned 4(a) and owned by

Council for open space purposes and is likely to be rezoned for open space in the future.

Access to Potential Workforce

While the site is located close to population centres such as Woonona and Corrimal to the south, it

is located a fair distance from Woonona railway station (located approximately 1.5 km away from the site on the other side of the Princes Highway) and access to the Princes Highway is restricted

through residential areas surrounding the site.


1373wcc03 (Final) P. 55


SGS understands that no formal rezoning submission has been received by Council to date. However, preliminary enquiries have been made regarding a possible rezoning for the site to

residential. The policy implications are illustrated in the table overleaf.



Illawarra Regional


A rezone to residential would not substantially reduce the amount of land zoned for

industrial purposes and leaves sufficient industrially zoned land to meet industrial

requirements (28.9 ha across Woonona).

Wollongong Local


Adverse impacts of urban development on both the built and natural environment

would be minimised.



Reduction of industrial land may increase the existing amenity for current residents

in surrounding areas.


Development Roadmap

Proposal would only have a limited impact on the overall availability of industrial

sites in Wollongong as a whole and is therefore not considered to be a constraint

on local business and the attraction of new business.















area

As the overall impact on employment lands within the local would be limited,

there would be sufficient land left to cater for long term demand for employment

land.


significance

The site does not represent employment land of regional significance.



No economic activities at present. Given the site’s location, both residential or

commercial activities would be considered viable, subject to these activities

being compatible with the neighbouring residential area.

Consultation Findings

DOP stakeholders are concerned about the cumulative loss of employment land which has resulted from the development of the Edgewood residential estate, which surrounds the industrial site under

consideration, and are thus hesitant to allow further employment land to be rezoned to residential.


1373wcc03 (Final) P. 56

Furthermore, given that the development of the Edgewood estate is likely to drive further demand for employment land for population driven services in the surrounding area, there are opportunities

for the site to be used for these purposes.

Thus, stakeholders would overall prefer the land to be kept as employment land. However, due to

access problems to the site and a possible conflict between industrial and residential uses, the

current 4a zoning is considered to be inappropriate. Instead, opportunities for commercial uses should be considered so that the residential amenity in surrounding areas is maintained.

Agents suggested that the site lends itself to rezoning from industrial to residential uses, given that the site is now disconnected from Duke Street, and access by trucks through the new housing

estate at Edgewood is inappropriate.

However, although access is difficult to the site, the site currently houses a large shed that could

be adapted for various light industrial uses i.e. storage or light manufacturing. One agent noted

that there is higher demand for developed industrial zoned land than an undeveloped site. Demand for employment land is mainly from smaller industrial companies wanting to reduce

overheads (minimising current rent overheads or maximising the profits on the land they currently

hold in the greater Sydney Area).

5.3.5 Woonona Supply and Demand Context and Impacts

The current supply of employment land within the suburb is illustrated in Table 18. As can be

seen, Woonona has a reasonable amount of land zoned for employment (26.9 in total, of which 18.9 ha are zoned for industrial uses). Of this land resource, 5.3 ha are currently vacant, the

majority of vacant land being undeveloped and zoned for industrial uses.

Table 18. Woonona 4a Employment Land Supply 2004 (ha)

3a Zone 3b 3d 4a 4b Total

Employment

Total Zoned Employment Land 5.4 0.3 1.8 18.96 - 26.9

Total Vacant Employment Land 0.2 - 0.9 4.3 - 5.3

Vacant Developed Employment land o.1 - - - - 0.1

Vacant Undeveloped Employment Land 0.1 - 0.9 4.3 - 5.2


6 Note that approximately 2 ha of 4a land which is being developed for SEPP Senior Living development has already been discounted from the total land resource.


1373wcc03 (Final) P. 57

5.3.6 Summary and Recommendations for Rezoning

Princes Highway:

• The site covers 0.3 ha and is zoned 4(a) and is fully occupied. The uses are compatible with surrounding residential

amenity.

• The site has good access to the local road network, and has a high level of visibility for passing traffic.

• The policy environment would support rezoning to residential uses; however concern was raised as to the extent to which

Woonona is losing employment land resources as a result of residential encroachment (i.e. Edgewood Estate).

• Residential demand for the area is currently relatively low, whilst commercial demand is increasing.

• Employment Land per capita in Woonona is 46.2 m2. If rezoned to residential uses, the impact upon employment is likely

to be a loss of up to 7 employees.

• Stakeholder consultation reveals support for a mixed use zone encompassing retail and residential uses.

Duke Street:

• The site covers 1.7ha and is located on the southern edge of the Edgewood estate.

• The site is poorly served by main roads (i.e. the Princes Highway) and the train station at Woonona.

• There are issues between the 4(a) zone and residential amenity that suggest that the current zone is inappropriate.

• The policy environment would support a rezone to residential uses, however:

• DOP are concerned about the cumulative loss of employment land which has resulted from the Edgewood development.

The growth in population as a result of the development should drive population driven services and therefore the site

should seek to cater for these demands.

• The site is currently vacant, and therefore rezoning will not have a negative impact on current employment levels. Agents

revealed that demand for developed industrial land such as this is relatively high and as such the opportunity cost of

rezoning this land to residential needs to be considered.

Woonona is fairly well served by 4(a) land with 18.9 hectares in total, and as such a rezoning

action of either the Duke Street site (1.7 ha) or the Princes Highway site (0.3 ha) would not have too much of a detrimental effect on overall supply. However, the cumulative loss of employment

land should be considered if both sites were to be rezoned at the same time.

In a site specific context, given the concern by DOP about the general impact of Edgewood on

employment land supply, the opportunity cost of rezoning the Duke Street site should be

considered. It is estimated that the site could host up to 64 employees. Therefore the current zoning should be maintained, however the provisions of the zone in this location need to be

considered to target uses which do not result in residential conflict.

The location of the Princes Highway site lends itself to some form of commercial use. However, as

the site is currently occupied and no formal rezoning submission has been received by Council, it is

recommended that the current zoning be maintained. If the site as to be considered for future rezoning proposals, it is recommended that a mixed use zone encouraging neighbourhood business

and medium density residential uses should be explored. However, land capability issues would

need to be considered separately.


1373wcc03 (Final) P. 58

5.4 Bellambi Lane

5.4.1 Site Context

The site is located in Bellambi, between Bellambi Lane and Albert Street, and adjacent to the Northern Distributor. Covering an area of 8.7ha of land which is zoned 4(a) Industrial, the site

represents a major industrial land resource within the suburb, and Wollongong LGA as a whole. In

terms of its topography, the site is largely flat, gently sloping towards the north, with a creek running through the site. Council has received a rezoning enquiry to allow residential or mixed use

development of the site.


provided below.

Figure 14. Bel lambi Lane Industr ia l Si te and Surrounds


A number of site photographs are given overleaf.


1373wcc03 (Final) P. 59


The site was originally used for cottage industries, and a number of these surround the industrial component. The site is currently being used for industrial purposes including mechanical repairs, a

former bus depot, smash repairs and a scrap yard. A more detailed breakdown of the current uses

of the site is presented overleaf.


1373wcc03 (Final) P. 60

Table 19. Bel lambi Lane Land Use Audi t , 2005

% of total land Number of Parcels7

Vacant undeveloped 3.1% 4

Vacant developed 0% 0

Occupied 96.9% 41

22 Textile, Clothing, Footwear and Leather

Manufacturing

0.8% 2

23 Wood and Paper Product Manufacturing 0.4% 1

25 Petroleum, Coal, Chemical and Associated

Product Manufacturing

0.8% 1

27 Metal Product Manufacturing 6.4% 1

42 Construction Trade Services 0.4% 1

45 Basic Material Wholesaling 11.5% 1

52 Personal and Household Good Retailing 0.8% 1

53 Motor Vehicle Retailing and Services 22.9% 5

66 Services to Transport 6.8% 1

67 storage 19.0% 5

93 Sport and Recreation 11.0% 3

95 Personal Services 0.8% 1

Residential 15.3% 22

Total 100% 45


These uses are illustrated in the figure overleaf.

7 *Note: Parcels that have more than one use will appear twice in the above table, with the result

of a slight increase in the number of parcels actually present.


1373wcc03 (Final) P. 61

Figure 15. Land Use Survey – Be l lambi Lane


• UD Undeveloped

• Residential

• 22 Textile, Clothing, Footwear and Leather Manufacturing

• 25 Petroleum, Coal, Chemical and Associated Product

Manufacturing

• 27 Metal Product Manufacturing

• 45 Basic Material wholesaling

• 53 Motor Vehicle retailing and Services

• 66 Services to Transport

• 67 Storage

• 93 Sport and Recreation

• 95 Personal services

Access

There is good access to the site. In particular, the site is located adjacent to the Northern Distributor and as such has excellent access to major road connections to the north and south.

However, it should be noted that all access points from Bellambi Lane and Albert Street into the

site currently lead through the residential areas.


The site has good access to surrounding population centres, with Bellambi, Woonona, and Corrimal

being located within a 2 km radius. In addition, the site is situated in close proximity to Bellambi

Railway station, and is serviced by major roads as mentioned above.


1373wcc03 (Final) P. 62



No formal rezoning proposal has been submitted to Council, but verbal enquiries have been made

relating to future residential uses. The table below considers whether a rezone to allow residential

uses meets current policy objectives.


Illawarra Regional


§ Proposal fails to ensure that there is sufficient industrially zoned land to meet

industrial requirements, and

§ Fails to encourage industries and other enterprises to locate within the region

to diversify the economic base or act as stimuli to the local economy or both,

and so provide new employment opportunities

Wollongong Local


§ Environmentally sensitive areas are unaffected by a rezone to residential uses



§ Rezoning to residential uses may help reducing negative impact on adjacent

residential areas from industrial development.


Development Roadmap

§ Rezone would further reduce availability of industrial sites in Wollongong, and

this is considered to be a constraint on local business and the attraction of new

business, particularly manufacturing and other light industry.



A rezone would be complementary with Council’s existing strategies to encourage

urban consolidation in appropriate locations, and to maximise housing opportunities

within existing urban areas



A rezoning proposal to allow residential uses would reduce the availability of 4(a)

land in the LGA by 1.6%, and by 70% in the suburb of Bellambi.

As can be seen from the above table, the rezoning proposal fails to meet key policy messages, in particular those relating to the provision of employment land within the Wollongong LGA. The site

represents a significant employment land resource particularly within the northern part of the LGA,

and constitutes about a half of the suburb’s total industrial land resource. Therefore a rezoning to residential uses cannot be justified based on the current policy environment.


1373wcc03 (Final) P. 63



Long term demand for employment

lands in the local area

Loss of 8.7ha of industrial land is likely to have a significant impact on the available

land resource to cater for long term demand.


significance8

The land is currently not classified as being of regional significance – however, given

the scale of industrial activity on the site and its connectivity with key road

infrastructure, it is recommended that the Bellambi Lane site be included in the

strategy as employment land of regional significance.


that site for tha t operation

Current activities are considered economically viable and should be allowed to

continue in the longer term.


According to DOP and Council stakeholders the Bellambi Lane site is currently well serviced and

suited for employment uses, with good access to the Northern Distributor and the local road

network. The site is also considered to meet the criteria to make it a regionally significant employment site (i.e. size of existing cluster, proximity to transport infrastructure, proximity to

surrounding activity centres etc).

Given that the site currently accommodates significant industrial activity, a rezoning to residential

uses would result in a significant economic loss (using current floor space take up and standard

ratios we estimate the site to provide employment for up to 252 employees). In addition, DOP recommend that further consideration should be given to rezoning the residential land directly

surrounding the industrial site to employment uses, and also increasing the residential density on

Albert Street.

Local agents suggest that the rezoning of the land from industrial uses to residential uses would

reduce the amount of industrial zoned land in the northern suburbs of land significantly. Furthermore, businesses affected would have difficulty finding sufficient and appropriate land

elsewhere in the Wollongong LGA. Agents also noted that site’s good access to Bellambi Lane

which provides good links to both the Northern Distributor and the Princes Highway.

The southern boundary of the area is known to be flood prone and currently has a smaller creek

flowing through it, and one agent suggested that land which is flood prone is more suitable for industrial uses rather than residential developments. However, noise disruptions and truck

movements have led to conflicts between current uses and residents of Albert St in the past, and

interrupted the operations of the businesses.

8 According to the strategy, regional significant precincts for employment lands include Port Kembla, Abion Park, Nowra Air Base, Mouya and Merimbula Airports, regional commercial centres and business parks, as well as sites that meet all heavy industry principles, both currentandpotential.


1373wcc03 (Final) P. 64

Supply and Demand Context and Impacts

The current supply of employment land within the suburb is illustrated in Table 20. As can be seen there is only a very limited amount of vacant land zoned for employment (0.7ha in total), all of

which is undeveloped land available for industrial uses. The Bellambi Lane site accounts for 70%

of the suburb’s total employment land resource. Table 20. Bel lambi Employment Land Supply 2004 (ha)

3b Zone 4a Zone Total Employment


Total Vacant Employment Land - 0.7 0.7

Vacant Developed Employment land - - -

Vacant Undeveloped Employment Land - 0.7 0.7



Summary:

• The site covers 8.7ha of 4(a) employment land. As Bellambi only hosts 12.6 hectares of employment land (total) this

represents a significant proportion at 70%.

• The site is largely flat, with relatively good access to the regional road network and the train station. However, the route in

and out of the site currently leads through residential areas, representing a threat in terms of road safety and having a

potentially negative impact on residential amenity. Some of the uses of the site (i.e. metal product manufacturing) are

likely to create noise, whilst others (services to transport) are likely to result in high traffic movements.

• The site is largely occupied with a potential employment yield of approximately 2529. If rezoned, this figure represents the

potential loss. Given the high unemployment of the study area, this action may have a further negative impact.

• A rezoning action would not meet policy objectives associated with employment development. In particular, DOP felt it is

of a sufficient size to be considered of regional employment significance and as such, rezoning is unlikely to be supported.

• Agents cited the positive attributes of the site as an industrial location, and were concerned at the ability to relocate the

businesses affected within the northern suburbs of Wollongong.

It is recommended that the 4(a) status of this site is retained to provide local employment opportunities. It is apparent that there are some land-use conflicts between existing users of the

site and residential amenity which may require some resolution through planning controls and

economic development actions. DOP suggested that the employment zone should be extended to encompass residential land surrounding the site up to Bellambi Lane, and this should be further

explored as an option through the review of the LEP.

9 SGS Economics and Planning through applying Floorspace Ratios to developable area – please see Appendix A for further information.


1373wcc03 (Final) P. 65

5.5 Bellambi Street, Tarrawanna

5.5.1 Site Context

Overview

The industrial site located on Bellambi Street in Tarrawanna comprises around 2.9 ha and is occupied by local service industries such as construction, mechanics etc all of which are mainly

popula tion driven service industries. It is located near the escarpment, in the middle of a

residential estate and was historically developed to serve Wollongong’s mining industry.

Council advises that some preliminary verbal enquires have been received today, but no rezoning

application.


provided below. Figure 16. Bel lambi Street Industr ia l S i te and Surrounds


A number of site photographs are given overleaf.


1373wcc03 (Final) P. 66


A breakdown of existing industrial uses is presented in the table below. As can be seen, a

significant proportion (40.8%) of the employment land zone contains residential dwellings. These are likely to host some form of business (either manufacturing or other business services)

activities, either in the back garden or with contained within the house, therefore the nature of the

individual activity could not be established. As for industrial uses, it is apparent that the majority of employment land is occupied by construction trade services (23.3%).

Table 21. Bel lambi Street Land Use Audi t , 2005


Vacant undeveloped 0 0

Vacant developed 0 0

Occupied 100% 21

53-Motor Vehicle Retailing and

services

7.2% 1

27- Metal Product Manufacturing 6.2% 1

42- Construction Trade Services 23.3% 5

67- Storage 8.2% 2

61- Road transport 9.6% 2

22-Textile, Clothing, Footwear and

Leather Manufacturing

4.8% 1

Residential 40.8% 10



1373wcc03 (Final) P. 67

These land uses are illustrated in the map below. Figure 17. Land Uses - Tarrawanna


Impact on amenity on surrounding residential area could be an issue given current uses (construction and associated noise).


1373wcc03 (Final) P. 68

Access and Proximity to Potential Workforce

Whilst the site is located in close proximity to a number of key population centres, access to the

study area is considered a key constraint. The site is not close to main roads, and the Freeway is 2

km away. Corrimal train station is located approximately 1.5 km away from the site, and in addition to that the site is poorly served by secondary roads.



Council advises that no rezoning submission has been received to date, however, it is apparent that given the location of the site and its attributes that it lends itself to some form of rezoning.


Illawarra Regional


§ A rezone to residential uses fails to ensure that there is sufficient employment

land to meet industry’s requirements (the site represents Tarrawanna’s entire

industrial land resource of 2.9 ha);

§ However, Plan encourages industries to locate zones where adverse impacts on

residential community are minimised.

Wollongong Local


§ Rezone would ensure that industrial activities do not interfere with amenity of

surrounding areas through noise etc.

§ However, any development needs to ensure that adjacent environmentally

protected areas are protected.



§ Industrial activity is considered to interfere with surrounding area given that it

contains high proportion of residential development.


Development Roadmap






A rezone to residential would help maximising housing opportunities within existing

urban areas (while regard should be given to environmental constraints, i.e.

escarpment); and reduces adverse impacts on existing housing stock.



Proposal would have some impact on the availability of light industrial land across the

LGA (accounting for 0.5% of the LGAs total 4(a) employment land resource), and

100% of the suburb’s industrial land resource.


1373wcc03 (Final) P. 69





area

The ability to cater for long term demand for employment land in the local area would

be significantly reduced, as the site represents the entire industrial land resource of

the suburb of 2.9ha.


significance10

Land parcel does not represent employment land of regional significance.



Poor access and impacts on surrounding residential area are considered to have a

detrimental impact on the long term viability of some uses, such as industrial uses that

rely on frequent vehicular access as well as offensive industries.


With regard to demand for residential land, agents suggest that the Tarrawanna residential market

is steady with one agent having received about 10-12 housing related inquiries at the month of

July. Most home buyers within Tarrawanna tend to be owner occupiers with young families who are seeking 3-4 bedroom detached dwellings with a backyard.

With the area having a predominantly older housing stock from 400sqm to 420sqm, agents note an under-supply of new and larger family homes, which may help explain why house prices in

Tarrawanna are on average $50,000 more than Wollongong’s average (about $500,000 to

$600,000 compared with $450,000).

Furthermore, it appears that houses near the subject site are in high demand with an agent

suggesting that a residential dwellings adjoining the site recently sold for $750,000-$840,000, and a lot with 4 units in Harrington Street, which is south of the subject site sold for $770,000.

Consultations with commercial agents indicate that demand for industrial lots within Tarrawanna is overall diminishing, and this can be attributed to a whole range of reasons, such as the trend of big

companies squeezing smaller operators out of business. This has significant implications for

demand as smaller operators are most likely to take up sites that have similar characteristics as the subject site (size, location, etc).

With regard to the subject site, agents believe that leasing or selling properties for light industry uses (as stipulated under the zoning parameters) has been difficult, due to issues such as:

10 According to the strategy, regional significant precincts for employment lands include Port Kembla, Abion Park, Nowra Air Base, Mouya and Merimbula Airports, regional commercial centres and business parks, as well as sites that meet all heavy industry principles, both current and potential.


1373wcc03 (Final) P. 70

§ Its isolation from other business of a similar nature; § Difficulties for potential occupiers to locate the site;

§ Closure of an anchor development (auto wrecker);

§ Fear of back-lash from surrounding neighbours; § Reduction in operational flexibility (hours of operations, noise emission) due to its proximity to

residential developments;

§ Transportation difficulties (manoeuvring of trucks); § Limited access – site is not located near a major freeway and has no direct access to

Wollongong CBD;

§ Lack of growth opportunities; and § Its land value is too high (approximately $300sqm, where as at Unanderra industrial land, it

comes to 120sqm).

One agent considered the current zoning (4(a) light industry of the subject site as a result of

historic land uses, and it fails to meet current trends within the manufacturing industry and current

land use patterns. A proposed rezoning to residential would therefore help utilise the land more effectively and also take into consideration the location of and access to, the site.

Stakeholder consultations with DOP and Council confirm these results, suggesting that given issues such as topography, lack of access and surrounding uses the site would lend itself to residential

development rather than a continuation of industrial activities. However, the impact of rezoning on

current uses needs to be considered.


The current supply of employment land within the suburb is illustrated in Table 22. As can be seen

Tarrawanna has 3.3 ha of employment land in total, of which only 0.4 ha are currently vacant, but developed and available for industrial uses. The site at Bellambi Street accounts for all industrial

zoned employment land within this suburb.

Table 22. Tarrawanna Employment Land Supply 2004 (ha)

3b Zone 4a Zone Total Em ployment


Total Vacant Employment Land - 0.4 0.4

Vacant Developed Employment land - 0.4 0.4

Vacant Undeveloped Employment Land - - -



1373wcc03 (Final) P. 71


Summary:

• The site covers 2.9 hectares and is fully occupied by local service industries. Industries that are likely to have a negative

impact upon residential amenity include metal product manufacturing (noise etc), and road transport (heavy traffic

movements).

• The site is poorly located, on the edge of the escarpment and subsequently steep, and surrounded by residential areas.

The Freeway is approximately 2km away from the site. The train station is approximately 1.5 km away. As such, access

to the site by employees will encourage private car usage, thus having a negative impact in environmental terms.

• Residential demand is high in the area.

• In contrast, demand for light industry is limited due to access, high prices, and community concern.

• The policy environment would largely support a rezone to residential. However, the loss of 2.9 of employment land is an

issue.

• The employment yield of the site is up to 58 employees. As such, the economic impact of rezoning actions would have to

be considered. Furthermore, the site constitutes the sum of Tarrawanna’s 4(a) resource.

The site lends itself to rezoning to residential, given the poor access, steep topography, and impact

upon residential amenity. However, clearly the site is fully occupied currently, and managing the

process of rezoning through relocating businesses and maintaining employment levels is an imperative. These are issues that require further exploration. Actions to be pursued by Council

include:

• Business support advice in relocation and finding new premises within the local area e.g.

Bellambi; and

• Identification of more appropriately located land for 4(a) investment.

However, it should be noted that these recommendations are based on economic conditions only,

and therefore land capability issues need to be assessed separately.


1373wcc03 (Final) P. 72

5.6 Berkeley Road

5.6.1 Site Overview

The site covers a total area of 1.3 ha and is located on the western side of Berkeley Road, opposite the intersection with Imperial Drive, and bounded by Budjong Creek to the west. It is identified in

planning documentation as Lot 10 DP534781. Council have received a rezoning application for this

site to allow low density detached housing.

It should be noted that that the site represents an isolated industrial site, which is surrounded by

low density residential development. Wollongong’s primary industrial areas of Unanderra and Port Kembla are situated approximately 1 and 2.5 km north and east of the site. A map showing the

location of the site in relation to key population centres and transport nodes is provided below.

Figure 18. Berkeley Road Industr ia l S i te and Surrounds


A site photograph is illustrated overleaf.


1373wcc03 (Final) P. 73


The site is generally flat and has been developed for industrial development, with current uses

including a metal clad building, material storage and car parking facilities. The rear portion of the site is grassed and used for material storage purposes.

The site is surrounded by existing residential uses, as well as new residential development. The current housing mix which characterises the surrounding area includes mainly low density,

detached housing comprising single and two storey dwellings. The impact from current industrial

usage on residential amenity is considered low.

The land to the south of the site is occupied by a Kingdom Hall with associated car parking and

garden surroundings.

The figure overleaf illustrates current uses on the site.


1373wcc03 (Final) P. 74

Figure 19. Land Use Survey - Woonona


Access

The site has good road connections, with vehicular access provided from Berkeley Road. This road

represents a major transport link with Wollongong to the north Lake Illawarra to the south. The site also lies approximately 2 km east of the F6 freeway which provides a connection with both

Wollongong and Sydney to the north, and the Illawarra region to the south.


Key population centres surrounding the site include Berkeley, Unanderra and Lake Illawarra. In addition, the site is located approximately 5 km south of Wollongong City Centre.


1373wcc03 (Final) P. 75



Council has received a rezoning submission fo r the subject site which would see the site rezoned

from industrial to residential uses. The development proposal includes:

§ The construction of a cul-de-sac from Berkeley Road to the west immediately opposite the

Imperial Drive intersection;

§ The subdivision of the site into 13 large residential allotments ranging from 600 to 865 square metres in size; and

§ The establishment of a 20 m wide riparian corridor on the eastern side of Budjong Creek and

the dedication of the corridor for public open space.

The proposal in light of current planning parameters and policy messages is considered below.


Illawarra Regional



purposes and leaves sufficient industrially zoned land to meet industrial

requirements (58.3 ha across Berkeley).

Wollongong Local


Environmentally sensitive areas are protected from development, and adverse

impacts of urban development on both the built and natural environment are

minimised.



Reduction of industrial land may increase the existing amenity for current residents

in surrounding areas.


Development Roadmap






Proposal does not result in a significant loss of commercial space capacity due to









Proposal would only have a limited impact on the availability of industrial sites



As can be seen from the above table, the proposed rezoning to residential does not conflict with

any key policy messages. The site accounts for less than 2% of the suburb’s total employment

land resource, and the proposal does therefore not have a significant impact on the overall employment land resource, both within Berkeley and Wollongong LGA as a whole.


1373wcc03 (Final) P. 76





area

With an industrial land resource of 58.3 ha across Berkeley, the ability of the suburb to

cater for future employment growth would not be significantly constrained.


significance

Land parcel does not represent employment land which is of regional significance.



Given that the site is only an isolated industrial land parcel within an established

residential area, the long term economic viability of current operations on that site is

limited. There are considerable industrial land resources elsewhere within the suburb,

and these may be better placed to house current uses.


Consultations with agents suggest that the subject site has currently only one user (metal manufacturer), and like other areas zoned 4a within Wollongong LGA which are being investigated

for potential rezoning, this site also has limited potential for expansion as it is also surrounded by

residential dwellings. A Bridgestone tyre franchise used to occupy the site but has relocated elsewhere.

In terms of surrounding provision of industrial land, agents suggest that an industrial precinct is located about 1km away on Industrial Avenue off Berkeley Road. It is slowly expanding with five

new lots being put on the market. Also a new industrial site is being developed in West Dapto

(White Gully), and agents suggest that other than these opportunities, there is not much industrial land on the market in Berkeley.

With regard to the local housing market, Berkley can be separated into two sections, the new and the old. The old area is predominantly characterised by old ex-housing commission stock (three-

bedroom fibro dwelling with 90sqm in size) while the new area has relatively newer housing stock,

with some premium two-story 400sqm houses valued at approximately $500,000 onwards. Average price for a single to 2 storey single residential dwelling in Berkeley fetches around

$300,000 - $400,000, and about $200,000 for an empty block. This is below the average of

Wollongong ($450,000) and agents attribute this to the stigma Berkeley has gained from its past reputation. Agent estimates that about $20,000 to $30,000 in values is reduced from homes in

Berkeley solely on its negative reputation. Most home buyers within Berkeley tend to be owner

occupiers who are also first time buyers.

Agents suggest that the demand for property has been sluggish for the present moment and they

have attributed this to issues such as:


1373wcc03 (Final) P. 77

§ People being unwilling to spend and thus enter into the housing market; § Previous booms have made housing cost too expensive and unaffordable;

§ Steady increase in living standards (higher petrol prices); and

§ Low consumer confidence in the markets at the present period.

Nevertheless, agents expect Berkeley to be a desirable location for residential development in the

future due to the following reasons:

§ Located in proximity to Lake Illawarra (views);

§ Located in proximity to major employers (BHP, Blue Stone); § Located in proximity to shopping centre (Warrawong shopping centre), and

§ 10 minutes from Port Kembla beach;

For these reasons, agents considered the site to be overall more appropriate if zoned for residential

uses rather than as it currently exists.

Other key stakeholders consulted have no particular preference and residential uses may be

allowed on the site, subject to adequate levels of employment land within the LGA being

maintained.


The current supply of employment land within the suburb is illustrated in Table 23. As can be seen

Berkeley has a considerable stock of employment land, at 58.3 ha in total, the majority of which is zoned for industrial uses. Of this land resource, 8.5 ha are currently vacant, and mostly

undeveloped industrial land.

Table 23. Berkeley Employment Land Supply 2004 (ha)

3a Zone 3b 4a 4b Total

Employment

Total Zoned Employment Land 3.3 0.5 1.3 53.2 58.3

Total Vacant Employment Land 1.4 0.1 - 7.0 8.5

Vacant Developed Employment land 1.4 0.1 - - 1.5

Vacant Undeveloped Employment Land - - - 7.0 7.0



1373wcc03 (Final) P. 78


Summary:

• The site covers 1.3 hectares and is the only 4(a) site in Berkeley. Berkeley is well supplied by 4(b) land, at approximately

53 hectares.

• The site has good road connections to Berkeley Road, and is located 2km from the F6 Freeway.

• The site has one user, a metal product manufacturer, for whom employment is estimated at 5411. The economic impact

of rezoning needs to be considered.

• Agents indicated that industrial land is available elsewhere in the suburb to accommodate the relocation of this industry.

Based on the employment and housing analysis a rezoning to residential could be supported, but

land capability issues would need to be considered. Care should be given to the nature of residential development, as the proposed use promotes larger lots with low density dwellings. The

Housing Strategy indicated that the supply of low density housing would be adequate if West Dapto

comes on-stream, and consideration needs to be given to the supply of medium density housing. Furthermore, Berkeley is over-supplied by low density dwellings, and consideration needs to be

given to the needs of the future population if policy objectives such as ageing in place are to be

realised. However, SGS also notes that the lack of retail and other population driven services within the vicinity of the site is likely to reduce the overall suitability of the site to medium density

housing development.

Wollongong City Council should also work proactively to relocate the existing user of the site within

the local area, if the site is rezoned according to the recommendations within this report.

11 SGS Economics and Planning, through the application of Floorspace Ratios to developable area


1373wcc03 (Final) P. 79

6 Conclusions

In summary, it is recommended that Council consider the following actions:

• Parkes Street, Helensburgh – recommend that the site is retained as 4(a) employment land

as it has a potential employment yield of 74 and the site is relatively well located for typical 4(a) users.

• Cemetery Road, Helensburgh – boundary adjustment should be approved. This will result

in a loss of 2,500m2 of 4 (a) land, but will have no negative impact on current employment levels.

• Railway Parade, Thirroul – recommended that the site is retained as employment land, but

could be rezoned to allow mixed-use development to encourage neighbourhood business and commercial activities and medium density residential in the longer term.

• Princes Highway, Woonona – recommend the site is retained as employment uses, but

could in future be rezoned to a mixed use zone that would encourage neighbourhood business and medium density residential.

• Duke Street, Woonona – recommend that the site is retained, despite relatively poor access

and potential conflict between residential and industrial users, given the need for employment land in Woonona to serve population driven industries. It is also recommended that the

zoning provisions relating to this site are considered to address potential residential/industrial

user conflicts. • Bellambi Lane, Bellambi – this site should be retained as 4(a) as it accounts for a significant

proportion of Bellambi’s employment land resource (approx. 50%) and has a potential

employment yield of 252 employees which is significant in an area of high unemployment such as Bellambi. It is recommended that consideration should be given to the extension of this

employment zone.

• Bellambi Street, Tarrawanna – the site should be rezoned to residential as it has a number of negative features as 4(a) land. However, with a potential employment yield of 58

employees, and accounting for the sum total of Tarrawanna’s 4(a) resource, consideration

needs to be given to relocation of industry to more appropriately located land in the vicinity. • Berkeley Road, Berkeley – this site is the only 4(a) site within Berkeley, however the area is

well supplied by 4(b) land. The site should be rezoned to residential, preferably in a staged

manner if the ownership patterns facilitate this occurrence. Care needs to be taken to manage the process of relocation of existing users.

If the recommendations outlined in this report are pursued, the outcome will be a decrease of 4.37ha of 4(a) employment land within Wollongong, which constitutes 0.8% of the LGA’s 4(a)

total. Of this figure, 1ha (Princes Highway, Woonona and Railway Parade, Thirroul) would be

rezoned to other employment uses. Therefore, overall, the strategy would result in the net loss of 3.37ha of employment land in the LGA, which accounts for 0.6% of the LGA’s employment land

total (all employment zones). Council need to identify where this loss can be accommodated

elsewhere in the LGA. Opportunities include West Dapto, which anticipates 57 hectares of additional industrial land becoming available over the next twenty years.


1373wcc03 (Final) P. 80

The strategy could result in the net loss of 123 jobs if the process of rezoning is not managed properly. However, as it is recommended that some of the sites be rezoned to allow employment

uses other than industrial, the potential job yield could is likely to balance any possible loss. Key

strategies that the Council should pursue include:

• Identification of land which could be rezoned to 4(a) to cater for dislocated demand within the

local areas affected; and • Proactively working with firms affected to ease relocation to another site within the local area.

It is also recommended that a survey of affected businesses should be undertaken for any rezoning application to establish the number of employees that are likely to be affected. This task will

provide a cross-check against the assumptions in this report.

Care should also be taken that the housing product offered by those sites that are rezoned to

residential meets the needs of the future population, as identified in the Housing Study. This

includes smaller, medium density products that will accommodate the trend of decreasing household size. Clearly the suitability of these product types will vary according to the location of

the site in question.

Rezoning applications tend to focus on the impact within local areas; however the overall net

impact on the LGA can be considerable over time. It is recommended that Wollongong City Council

should standardise the approach they take to spot rezoning requests in the future, ensuring that the response is strategic in nature and recognises the resultant impact on the LGA as a whole.

The advice in this report is only economic in nature; Council will have to assess land capability issues which may be represent before pursuing the recommendations within this report.


1373wcc03 (Final) P. 81

Appendix A – Employment Yield Calculations

This section illustrates the method which was used to estimate potential employment impacts which could be achieved on each site under consideration. The methodology that was used can be

summarised as follows:

§ Current uses on each site were established through site inspection;

§ Floorspace to land area ratios were applied to establish developable floorspace on each site;

§ Floorspace per employee ratios were applied to calculate the potential employment yield on each site.

The results from this exercise are illustrated in Table 24 below. Table 24. Potent ia l Employment Yie ld Calculat ions

Current Uses

(ANZSIC) Land use (ha)

Developable

land area12

sqm

developable

Floorspace per

employee13

Estimated

employment

Textile Manuf 0.1 0.05 481 60 8

Wood and Paper 0.0 0.02 171 45 4

Petr. Coal. Man. 0.1 0.03 342 200 2

Metal Products 0.6 0.28 2791 120 23

Construction 0.0 0.02 175 150 1

Mat. Wholesal. 1.0 0.50 4999 220 23

Pers HH gds Ret. 0.1 0.10 1047 30 35

Motor Vehicles14 2.0 1.00 9957 220 45

Serv. to Transport 0.6 0.30 2968 220 13

Storage 1.7 0.83 8268 220 38

Sport and Recr. 1.0 0.67 6684 220 30

Bellambi Lane

Personal Serv. 0.1 0.10 1036 35 30

Total Bellambi Lane 252

Motor Vehicles 0.2 0.10 1044 220 5

Metal Products 0.2 0.09 899 120 7

Construction 0.7 0.34 3378.5 150 23

Storage 0.2 0.12 1189 220 5

Road Transport 0.3 0.14 1392 220 6

Textile Manuf 0.1 0.07 696 60 12

Bellambi Street

Residential 1.2 0.59 5916

Total Bellambi Street 58

12Please refer to Table 23 for floorspace ratios 13 Please refer to Table 234for further detail on floorspace per employee ratios 14 floorspace ratios relating to wholesaling were applied to motor vehicle retailing and sport and recreation uses based on the consultant team’s knowledge about the scale of activities in these areas from site inspection.


1373wcc03 (Final) P. 82

Current Uses

(ANZSIC) Land use (ha)

Developable

land area15

sqm

developable

Floorspace per

employee16

Estimated

employment

Wholesaling 0.1 0.06 600 220 3Princes Highway

Motor Vehicles 0.2 0.09 900 220 4

Total Princes Highway 7

Berkeley Road Metal product 1.3 0.65 6500 120 54

Total Berkeley Road 54

Duke Street vacant developed 1.7 0.85 8500 N/a

Total Duke StreetN/a

Other Manuf. 29 0.1 0.05 461 65

Motor Vehicles 53 0.3 0.16 1562 220

Serv. To Transport 67 0.1 0.05 520 220Helensburgh

Other Services 96 0.1 0.20 2019 35

Total Helensburgh 74

Thirroul Motor Vehicles 0.1 0.07 700 220 3

Machinery & equip 0.0 0.02 150 150 1

Thirroul Total 4

Grand Total 449

Table 25. Floorspace to Land Area Rat ios

Industry Floorspace / land area

Basic metals and products 0.5:1

Transport and storage 0.5:1

Wholesale trade 0.5:1

Fabricated metal products 0.5:1

Retail trade 1.5:1

Repairs 1.5:1

Cultural and recreational services 0.75:1

Personal and other services 1.5:1

Petroleum and coal products 0.5:1

Other food products 0.5:1

Clothing and footwear 0.5:1

Textiles 0.5:1

Miscellaneous manufacturing 0.5:1

Wood and wood products 0.5:1

Construction 0.5:1

Source: Other SGS Studies, Wollongong 1990 LEP

15Please refer to Table 25 for floorspace ratios 16 Please refer to Table 26 for further detail on floorspace per employee ratios


1373wcc03 (Final) P. 83

Table 26. Floorspace to Employee Rat ios

Industry Average Floorspace ratio (m2 per job)

Basic metals and products 120

Transport and storage 220

Wholesale trade 220

Retail trade 30

Repairs 55

Cultural and recreational services 220

Personal and other services 35

Petroleum and coal products 200

Other food products 80

Clothing and footwear 90

Textiles 60

Miscellaneous manufacturing 65

Wood and wood products 45

Construction 150


Date post:	06-Feb-2018
Category:	Documents
Upload:	duonghanh
View:	215 times
Download:	0 times