THE 2025 SUNSHINE COAST PLANNING SCHEME — WHAT DEVELOPERS NEED TO KNOW

A complete breakdown of the 15 biggest development advantages shaping the next decade.

The Sunshine Coast is entering one of its most transformative planning eras in 20 years. The new 2025 Planning Scheme reshapes density, housing diversity, mixed-use potential, rural tourism, and feasibility economics across the entire region.

Below is a consolidated, developer-ready analysis of every major advantage emerging from the draft scheme — and what it means for future projects.

1. A Major Expansion of Permissible Housing Types

Across LDR, LMDR, MDR and HDR zones, the range of allowed housing products has increased dramatically.

Now supported:

• Detached homes, dual occupancies, home-hosted rooming

• Townhouses, terraces, row houses, small-lot homes

• Medium-rise apartments (3–6 storeys)

• High-rise towers (7–8+ storeys)

• Aged care, vertical retirement, specialist accommodation

Why it matters: ✔ More yield paths ✔ Density without rezoning ✔ Flexibility across market cycles

This is the widest residential permission framework the Coast has ever offered.

2. The New LMDR Zone — A True “Missing Middle” Engine

LMDR (Low–Medium Density Residential) is designed to enable the housing types SEQ is desperate for.

Density: 25–80 dwellings/ha (2–3 storeys) Supported product:

• Townhouses

• Terraces

• Small-lot homes (~300m²)

• Dual occupancies

• Low-rise apartments

Why it matters: ✔ Makes many previously marginal sites viable ✔ Ideal for affordability + downsizer product ✔ Massive uplift for infill opportunities

Expect LMDR to become one of the most strategic zones on the Sunshine Coast.

3. Significant Height & Density Uplifts

Across MDR, HDR, Mixed Use and Tourist Accommodation zones, density has increased substantially.

MDR:

• 3–4 storeys → 60–150 dwellings/ha

• 5–6 storeys → 150–250 dwellings/ha

HDR:

• 7–8 storeys → 250–350 dwellings/ha

• 8 storeys → 300+ dwellings/ha

Mixed Use / Tourist Accommodation: Mirror these density tiers.

Why it matters: ✔ Stronger feasibility for apartments ✔ Better yields on infill parcels ✔ Supports coastal and centre-based intensification

4. Removal of the Protected Housing Layer

A major barrier to infill development is gone.

What this means: ✔ Dual occupancies viable across more suburbs ✔ Suburban gentle density is now achievable ✔ Reduced planning risk for small developers

A huge shift for low-impact infill.

5. Smaller Minimum Lot Sizes → Higher Yields

LDR: Many mapped areas allow lots as small as ~450m² LMDR: 300m² lots and 180m² terrace lots supported MDR/HDR: No small lots — these must be multi-unit used

Why it matters: ✔ Lower land cost per dwelling ✔ Increased flexibility in masterplanning ✔ Better affordability outcomes

This is one of the biggest levers for supply.

6. Strong Shift Toward Walkable, Connected, Transit-Aligned Design

All residential zones require high permeability, strong street networks, and integration with centres and transport.

Developer Advantage: ✔ Supports compact, higher-yield communities ✔ Strengthens DA justification ✔ Improves long-term valuation and livability

7. Mixed Use Zone — A Powerhouse for Flexible, Multi-Use Projects

The Mixed Use zone has broadened dramatically:

Now supports:

• Medium + high-density residential

• Micro-breweries, service industry

• Small-format retail/office

• Ground-floor activation with upper-level living

Why it matters: ✔ Perfect for corridor development ✔ Creates long-term landbanking value ✔ Enables high-yield boutique mixed-use buildings

8. Tourist Accommodation Zone — Huge Potential for Lifestyle & Resort Projects

The Tourist Accommodation Zone now formally encourages:

• Resorts

• Short-term accommodation

• Specialized tourism precincts

• Retail, food & beverage, entertainment

Density: 60–350+ dwellings/ha depending on height

Developer Advantage: ✔ Resort and hotel feasibilities strengthened ✔ Hybrid hotel/apartment models become viable ✔ Aligns with Olympics-driven tourism uptick

9. The Rural Zone — Quietly Becoming a Tourism Goldmine

Suburban housing still prohibited — but tourism is now significantly supported.

Allowed (with limits):

• Nature-based tourism

• 4–8 cabins depending on lot size

• Eco-resorts (potentially consistent)

• Camping grounds

• Wineries, distilleries, tourism production

Why it matters: ✔ Ideal for eco-stays and cabin retreats ✔ Strong alignment with agri-tourism expansion ✔ Powerful new commercial use for rural land

Expect rural lifestyle tourism to surge over the next decade.

10. Clearer Built Form Guidelines = Faster Approvals

The scheme now provides detailed built form expectations for every zone:

• Deep planting

• Human-scale streets

• Slender tower massing

• High open-space ratios

Developer Benefit: ✔ Easier to design compliant buildings ✔ More predictable approvals ✔ Encourages design excellence (and filters out low-quality entrants)

11. Industry Consensus: Property Council Endorsement

The Property Council’s review highlights key positive shifts:

• Increased density along transport corridors

• Introduction of LMDR

• Removal of protected housing layer

• Smaller lot sizes

• Height increases

This shows the market and industry are aligned with the new direction.

12. Zones Strategically Positioned for Olympics & Growth

Higher density is concentrated around:

• Transport corridors

• Coastal nodes

• Mixed-use spines

• Centre peripheries

These locations will attract infrastructure spend — and uplift.

13. Infill Development is Now the Core Strategy

Greenfield opportunities are constrained. Infill is the engine of future growth.

Opportunity: Developers who move early will secure the best sites.

14. Expanded Use Tables = More Revenue Pathways

Across nearly all zones, allowable uses are broader:

Mixed Use: Bars, dining, clinics, office, retail, showrooms

Tourist Accommodation: Resorts, entertainment, boutique hospitality

Rural: Cabins, eco-resorts, distilleries, event spaces

Benefit: ✔ Multi-stream income ✔ Flexible project staging ✔ Adaptability through market cycles

15. Design Quality Is Now a Competitive Advantage

The scheme prioritises:

• Livability

• Urban design excellence

• Landscape integration

• Street presence

• Pedestrian-first environments

Strong design-first developers now have a strategic lead.

THE SUMMARY — WHAT THIS ALL MEANS FOR DEVELOPERS

The 2025 Planning Scheme creates the MOST favourable conditions for Sunshine Coast development in two decades:

✔ More density ✔ More height ✔ Smaller lots ✔ New housing types ✔ Strong mixed-use support ✔ Tourism expansion ✔ Rural diversification ✔ Fewer barriers to infill ✔ Clear, predictable design controls ✔ Industry momentum for even more flexibility ahead

The next cycle belongs to the developers who understand — and act on — this new framework first.