Nov 02, 2026
Business

New South Wales proposes planning changes for multi-story warehouses and distribution centers

New South Wales proposes planning changes for multi-story warehouses and distribution centers

The proposals would also classify industrial land by significance and establish indicative annual targets for development-ready sites.

 

The New South Wales government put proposed planning changes aimed at making it easier to develop and operate multi-story warehouses, distribution centers and other facilities supporting online retail, freight and logistics. The proposals went on public exhibition Oct. 29, with submissions closing at 5 p.m. on Nov. 26.

The changes are part of the state’s efforts to streamline planning approvals and give businesses greater flexibility in using industrial land. A separate proposal would introduce a classification system for industrial land and set indicative annual targets for development-ready sites.

State cites rising demand for industrial land

Demand for both industrial land and housing is growing, the government said, and the state must make better use of existing industrial and employment areas while securing land for future growth.

Planning and Public Spaces Minister Paul Scully said simpler planning rules would reduce red tape and remove productivity.

Framework would classify industrial land by significance

A separate proposal covers regional New South Wales, the Central Coast and the Lower Hunter. It would categorize land as state, regionally or locally significant, based on its role, scale, infrastructure connections and economic contribution. The government said the categories would guide planning decisions on making land available in suitable locations for future demand.

The proposal is also on public exhibition until 5 p.m. on Nov. 26.

Proposal lists yearly hectare targets

Indicative targets for development-ready industrial land are 50 hectares a year across the Central Coast and Lower Hunter and 40 hectares a year across regional New South Wales. The proposal also identifies investigation areas to explore unlocking additional industrial land and addressing infrastructure and servicing constraints.

Statewide policy precedes latest proposals

The government finalized the Statewide Policy for Industrial Lands in August 2026. It is the first action in the Industrial Lands Action Plan, which the government released in January 2025. A draft was on exhibition from Dec. 10, 2025, to Feb. 27, 2026. Scully said the reforms complete every action in the plan.

Department works on parallel amendments

New South Wales Planning Minister Paul Scully’s office said in its Oct. 29 release that minor amendments to industrial land planning controls are expected to take effect before the end of 2026. The Department of Planning, Housing and Infrastructure is preparing them in response to stakeholder feedback, separate from the two exhibitions.