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SDA Investments Group Pty Ltd v Newcastle City Council [2025] NSWLEC 1834 | Case summary | Zoe

NSWNSWLEC

SDA Investments Group Pty Ltd v Newcastle City Council

[2025] NSWLEC 1834

Land and Environment Court (NSW)|2025-11-28|Before: Gray C

View on NSW Caselaw

General information, not legal advice.

At a glance

Source facts

Court

Land and Environment Court (NSW)

Decision date

2025-11-28

Before

Gray C

Catchwords

APPEAL — development application — two group homes —
conciliation conference — agreement reached — orders
made

Source

Original judgment source is linked above.

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Catchwords

APPEAL — development application — two group homes —conciliation conference — agreement reached — ordersmade

Judgment

Source: NSW Caselaw (www.caselaw.nsw.gov.au). Converted to plain text by ZoeLaw. Not the official version.

Medium Neutral Citation: SDA Investments Group Pty Ltd v Newcastle City Council [2025] NSWLEC 1834

Hearing dates: Conciliation conference 12 and 13 November 2025

Date of orders: 28 November 2025

Decision date: 28 November 2025

Jurisdiction: Class 1

Before: Gray C

Decision: The Court orders that:
(1) The name of the applicant is changed to SDA Investments Group Pty Ltd pursuant to r 19.2 of the Uniform Civil Procedure Rules 2005.
(2) Leave is granted to the Applicant to amend the development application and rely on the plans and documents listed under Order 2(a) above.
(3) The appeal is upheld.
(4) Development Application DA2025/00248 for demolition of existing structures and construction of two new single storey group homes including Torrens title subdivision at 64 Devon Street, Wallsend, is determined by granting development consent, subject to the conditions in Annexure ‘A’.

Catchwords: APPEAL — development application — two group homes — conciliation conference — agreement reached — orders made

Legislation Cited: Environmental Planning and Assessment Act 1979 (NSW), ss 4.15, 4.16, 8.7
Land and Environment Court Act 1979 (NSW), ss 34, 34AA
Environmental Planning and Assessment Regulation 2021 (NSW), ss 27, 38 Newcastle Local Environmental Plan 2012, cl 6.1 State Environmental Planning Policy (Housing) 2021, Ch 3, Pt 2, s 66A State Environmental Planning Policy (Resilience and Hazards) 2021, ss 2.10, 4.6 State Environmental Planning Policy (Sustainable Buildings) 2022, s 2.1 Uniform Civil Procedure Rules 2005, r 19.2

COMMISSIONER: SDA Investments Group Pty Ltd (SDA) seeks to construct two single storey group homes at 64 Devon Street, Wallsend, and subdivide the land into two Torrens title lots, with one group home on each subdivided lot. Each group home contains two bedrooms and is intended to be home to two disabled residents. SDA lodged a development application with Newcastle City Council (the Council) on 20 March 2025, which was refused on 15 August 2025. Following the period after which a development application is deemed to be refused, but before the actual refusal, SDA lodged an appeal pursuant to s 8.7 of the Environmental Planning and Assessment Act 1979 (NSW) (EPA Act). In exercising the functions of the consent authority on the appeal, the Court has the power to determine the development application pursuant to ss 4.15 and 4.16 of the EPA Act. The final orders in this appeal, outlined in [10] below, are made as a result of an agreement between the parties that was reached at a conciliation conference.
The proposed development includes the demolition of the existing structures and the construction of two single storey group homes, each comprising two bedrooms and a carer’s room. Access to each group home is by a single driveway for each home, with tandem parking for two cars on each driveway within the front setback. The proposed development also includes Torrens title subdivision, with one group home to be located on each subdivided lot.
Although this appeal does not concern a development application to which s 34AA(1)(a) of the Land and Environment Court Act 1979 (NSW) (LEC Act) applies, the Court arranged a conciliation conference between the parties, pursuant to s 34AA(2)(a). The conciliation conference commenced on 12 November 2025. I presided over the conciliation conference.
At the conciliation conference, an agreement under s 34(3) of the LEC Act was reached between the parties as to the terms of a decision in the proceedings that was acceptable to the parties. The agreement was filed on 13 November 2025. The agreement was reached following an amendment to the development application, which was approved by the Council pursuant to s 38 of the Environmental Planning and Assessment Regulation 2021 (NSW) (EPA Regulation 2021). The amendments include changes to the private open space to improve solar access, changes to the pedestrian pathway within the front setback of each home to achieve a 1:20 grade, and the widening of the tandem car spaces. The amended development application includes an updated Plan of Management.
The decision agreed upon is for the grant of development consent subject to conditions of consent pursuant to s 4.16(1) of the EPA Act. The signed agreement is supported by a statement of Jurisdictional Prerequisites (the Statement) that sets out the requirements for the Court to exercise its functions to grant development consent. I have considered the contents of the Statement, together with the documents referred to therein, the Class 1 Application and its attachments, and the documents that are referred to in condition 1. Based on those documents, I have considered the matters required to be considered pursuant to s 4.15(1) of the EPA Act.
As the presiding Commissioner, I am satisfied that the decision to grant development consent to the amended application subject to conditions of consent is a decision that the Court could have made in the proper exercise of its functions, this being the test applied by s 34(3) of the LEC Act. This test is concerned with there being no jurisdictional constraints that preclude the making of orders in accordance with the decision that the parties’ have agreed upon (see McMillan v Taylor (2023) 111 NSWLR 634; [2023] NSWCA 183 at [4], [51]). I formed this state of satisfaction as each of the jurisdictional preconditions identified by the parties is met, for the following reasons:
The development works are for the purpose of two group homes, and a group home is a nominated permissible use in the R2 Low Density Residential zone in which the site is located, pursuant to the Newcastle Local Environmental Plan 2012 (NLEP).
The proposed development complies with the height, floor space ratio and minimum subdivision lot size development standards that apply pursuant to the NLEP.
Although the site is mapped as being affected by Class 5 Acid Sulfate Soils, the proposed development does not fall within one of the categories of works to which cl 6.1 of the NLEP applies.
Consideration has been given as to whether the subject site is contaminated as required by s 4.6 of the State Environmental Planning Policy (Resilience and Hazards) 2021 (SEPP RH). As the site has a history of use for the purposes of residential premises, it is unlikely to be contaminated.
The site is within the coastal environment area, pursuant to the SEPP RH. Based on the stormwater engineering plans dated 9 September 2025 and the location of the site, I have considered the matters in s 2.10(1), and, consistent with s 2.10(2)(a), I am satisfied that the development will not have any adverse impacts on the matters set out in s 2.10(1) of the SEPP RH.
Consistent with the requirements of s 27 of the EPA Regulation 2021, the development application is accompanied by the BASIX certificate dated 12 November 2025. Based on the BASIX certificate, I am satisfied of the requirement in s 2.1(5) of the State Environmental Planning Policy (Sustainable Buildings) 2022.
Whilst Ch 3 Pt 2 of the State Environmental Planning Policy (Housing) 2021 contains provisions for group homes, none of those provisions apply to the proposed development and s 66A does not apply to a Torrens title subdivision of land.
The development application was advertised for 14 days between 27 March and 10 April 2025, and five written submissions were received. I have considered the issues raised in those written submissions.
Having reached the state of satisfaction that the decision is one that the Court could have made in the exercise of its functions, s 34(3)(a) of the LEC Act requires me to “dispose of the proceedings in accordance with the decision”. The LEC Act also requires me to “set out in writing the terms of the decision” (s 34(3)(b)).
In making the orders to give effect to the agreement between the parties, I was not required to make, and have not made, any evaluative judgment on the matters that were originally in dispute between the parties, or any assessment of the merits of the development application against the discretionary matters that arise pursuant to an assessment under s 4.15 of the EPA Act.
The Court notes:
That Newcastle City Council approves the amendment of the development application to rely on the following documents, referred to at (2)(a) of the signed agreement filed on 13 November 2025, pursuant to s 38(1) of the Environmental Planning and Assessment Regulation 2021 (NSW):