1/ How much does Melbourne’s zoning restrict housing supply? We ran the numbers in Boroondara, one of Melbourne’s wealthiest areas, comparing current zoning to 6-storey height limits.
The results? Stark. 🧵 👇
The results? Stark. 🧵 👇
Comments
This kind of extreme profitability should either:
✅ Make apartments cheaper
✅ Be reflected in land prices.
Neither has happened.
The super-profits available suggest zoning in Boroondara is *incredibly restrictive*. But restrictive zoning doesn't have the same impact everywhere.
Even with 6-storey zoning, people wanting detached houses would still outbid apartment developers. The effect of zoning is muted in lower-demand areas.
Restrictive zoning forces apartments off the market, driving up prices where demand is high.
By allowing taller buildings around train stations and tram stops, we can reduce price distortions caused by restrictive zoning—and make housing more affordable for everyone. 🚉🏗️
The time for action is now.