The State Government is making changes to the planning rules, to increase housing diversity and provide more affordable homes in existing streets and suburbs.

The Minister for Planning has adopted the Future Living Code Amendment, which will introduce a new form of co-located housing that allows more homes to be built in established suburbs without impacting their existing character, heritage and streetscape.

The new policies allow for existing homes to be retained, altered, and extended to create ‘co-located’ housing, rather than demolishing a house and subdividing the site to build multiple homes.

This new form of co-located housing is unique in that all homes within the development are of similar scale. It is also unlike conventional units because the existing home is retained and open space is shared.

The changes will preserve the character of these neighbourhoods, including mature trees and established gardens, as well as build a greater sense of community, through shared open space rather than small private gardens.

Each home that is part of the co-located housing development could be bought and sold separately and would be managed through a community title scheme, which would include rules governing behaviour and responsibilities.

The State Planning Commission has worked in partnership with the University of South Australia, City of Unley, Town of Walkerville, City of Campbelltown, City of Burnside, City of Prospect and Alexandrina Council to develop the code amendment.

The Minister for Planning has written to these six Councils, seeking confirmation of their support to apply the new Co-located Housing Overlay to the Established Neighbourhood Zone of their local government area.

The six participating councils will be able to review the policy framework and upon their confirmation, the new planning rules would come into effect in their specific area. Any interested council could look to apply this policy in future through their own code amendment processes, which would include consulting with their local communities.

There will be clear guidelines to help inform design and development plans, such as specifications for a minimum of 24m² of communal open space per dwelling on the block of land.

The new policy will also require safe and convenient pedestrian access throughout the site by avoiding steps in pathways, parking areas and common areas.

There will be a requirement for at least two off-street car parking spaces for co-located housing comprising 3 or more bedrooms, with all car parking to be in a shared arrangement.

While this new form of housing was originally conceived for older people wishing to downsize in their own community, co-located housing is also expected to appeal to a range of South Australians looking for more diverse, small and affordable housing options.