JUDGMENT
1 COMMISSIONER: This is an appeal against the deemed refusal by Waverley Council (the council) of a development application to demolish an existing residential flat building and construct a new residential flat building at 15 Kenneth Street, Tamarama (the site).
2 The issues between the parties have been resolved through amended plans and they are seeking consent orders from the Court.
3 Adjoining neighbours were notified of the amended plans and the consent orders. Although there was some confusion in the notification process, I am satisfied, on the advice of the parties, that it is not an impediment to the determination of the application.
4 The concerns of the residents have been largely resolved through the amended plans and conditions of consent with the exception of Mr and Mrs Hall who are purchasers of units 3 and 4 at 11 Kenneth Street. They currently have a licence to occupy the units and will settle when the strata is finalised at the end of the month. As they are not registered owners, they were not notified of the amended plans. They had reviewed the original plans as part of their purchase of the property. Their principal concern is that the amended plans project balconies forward of the original existing building, which will impact on their privacy and views. Their understanding of the original plans (upon which they relied to purchase the property) was that the development was within the envelope of the existing building on the site.
5 With the parties' agreement, Mr Green spoke on behalf of the Halls, but I did not grant leave to Mr Green to cross-examine witnesses or for the report of his expert, Mr Fleming, to be tendered.
6 The Court heard expert evidence from Mr Nash, on behalf of the council. On the site, Mr Aday, for the applicant, Mr Fleming for the Halls and Mr Juradowitch, for the owner of 17 Kenneth Street were available to answer questions.
The site and its locality
7 The site is located on the southern side of Kenneth Street adjoining the coastal reserve, the coastal walk and the Pacific Ocean. It is between Bondi and Tamarama Beaches, opposite a rocky inlet known as McKenzies Bay. The site has an area of 565 sqm with a frontage to Kenneth Street and the reserve of 12.1 m and a depth of about 42.5 m. It has a fall from Kenneth Street of about 11 m.
8 The site has a four-storey residential flat building with a hipped roof set back from the rear boundary and the coastal reserve about 18 m. There is no off-street car parking.
9 The surrounding development is a mixture of one, two and three-storey dwelling houses and three to five-storey residential flat buildings. The adjoining site to the west, 11 Kenneth Street, has a new five-storey residential flat building. The adjoining development to the east, 17 Kenneth Street, is a dwelling house.
Background and the proposal
10 The background to the site and 11 Kenneth Street is set out in the Statement of Environmental Effects, the Statement of Facts and Contentions and the Statement of Facts and Contentions in Reply and in the following decisions of the Court:
· On 17 November 2005, in Woronora Investments Pty Limited v Waverley Council 2005 NSW LEC 679, Brown C approved consent orders for a development application for a residential flat building at 11 Kenneth Avenue. This development has recently been constructed.
· On 7 August 2007, in Woronora Investments Pty Limited v Waverley Council number 2, 2007 NSW LEC 562, Brown C upheld, in part, a s 96 application for 11 Kenneth Street. The part of the s 96 application that was refused was the amendment to reduce the southern setback of the upper levels by 2.505 m.
· On 21 December 2007, in CG Australasia v Waverley Council 2007 NSW LEC 868, Brown C refused a development application for a residential flat building on the site.
11 A conciliation conference under s 34 of the Land and Environment Court Act 1979 (the Court Act) for the original plans was held on site on 1 December 2008 with Brown C presiding. No agreement was reached and the conference was terminated. A report under s 34(4)(a) identified the following issues remaining in dispute:
- The setback to the coastal walk - the council maintains a minimum setback of 6 m should be provided.
- View loss from 17 Kenneth Street - the council maintains that view loss in a westerly direction is unacceptable because of the proposed rear building setback.
- View loss from 11 Kenneth Street - the council maintains the view loss in an easterly direction at ground level is unacceptable because of the extension of the building to the rear. Also the loss of water views from Bedrooms 1, 2, and 3 on Level 2 of 11 Kenneth Street is unacceptable.
- Loss of natural light/sky views from 11 Kenneth Street - the council maintains the loss of natural light to Bedrooms 1, 2 and 3 on the eastern side (Levels 1 and 2) is unacceptable.
12 Following the s 34 conference, the parties held further discussions, which resulted in the amended plans. The main changes include:
· setback of the lower ground floor (Level 1) from the rear boundary increased to six metres to comply with DCP control;
· the deletion of part of the Level 2 unit south of the existing rear building line and revisions to the internal layout to incorporate Levels 1 and 2 into a single dwelling unit;
· reduction in car parking to 6 spaces to comply with DCP requirements;
· increase in the design, shape, dimensions and area of the proposed balconies on Level 2-5 to satisfy the minimum requirements under SEPP 65 and the Residential Flat Design Code Guidelines.
· Reduction in the number of proposed dwellings from 5 to 4.
13 I note that the increase in the balconies was achieved by moving the balconies forward of the building line of the existing building while also increasing the size of the living/dining/kitchen area.
14 The amended proposal now seeks approval to demolish the existing building and construct a residential flat building over five levels, comprising four dwellings and basement parking for six cars.
Planning controls
15 State Environmental Planning Policy No. 65 - Design Quality of Residential Flat Development (SEPP 65) and State Environmental Planning Policy No 71 - Coastal Protection (SEPP 71) are relevant.
16 The site is zoned 2(b) Residential Medium Density under Waverley Local Environmental Plan 1996 (LEP 1996). The proposed use is permissible with consent within this zone. Waverley Development Control Plan 2006 - Amendment 2 (DCP 2006) applies. Part D2 provides requirements for multi-unit housing. Specific controls are provided for height, floor space ratio (FSR), setbacks, building length and depth, building separation, landscaping, solar access and other matters.
17 Clause 3.4 of DCP 2006 permits a maximum FSR of 0.6:1 for the 2(b) zone. The existing building has an FSR of 1.18:1 and the proposal has an FSR of 1.38:1. Clause 4.12 of DCP 2006 provides the opportunity for bonus FSR through the provision of affordable housing. The parties have agreed to enter into a voluntary planning agreement (VPA) to provide a monetary contribution for affordable housing. The VPA has been advertised and no submissions were received. The parties agree that the requirements of cl 4.12 are met by the VPA, the satisfaction of environmental criteria and the site specific opportunities afforded by the sloping nature of the site.
18 The proposal does not comply with the height control in cl 3.3 of DCP 2006, however, it does not exceed the overall height of the existing building when viewed from Kenneth Street and the coastal reserve.
19 The parties have agreed on a more merit-based assessment rather than an assessment under the DCP 2006 requirements, given that the existing development in the area exceeds the planning controls. This is the approach that was adopted by council in the redevelopment of 11 Kenneth Street.
Issues
20 Unfortunately, the Court was not provided with a compliance table or planning assessment other than that in the Statement of Environmental Effects prepared by the applicant. Mr Nash indicated that he had considered the Statement of Environmental Effects in assessing the application and preparing the Statement of Facts and Contentions and his position paper dealing with the remaining issues after the s 34 conference. Mr Nash provided oral evidence in relation to the contentions in the Statement of Facts and Contentions and how these had been addressed by the amended plans.
21 In summary, Mr Nash stated that the key contentions in relation to over-development of the site (contention 2), rear setback (contention 4), and impact on the coastal walk (contention 8), related to the proposed two storey part of the original plans that extended to within 4.3 m of the rear boundary. The removal of the second level and the increase in the setback to 6 m addressed Mr Nash's concern in relation to these contentions.
22 Mr Nash stated that the ground level would not be perceived from the coastal walk and overall the building would have a similar height, bulk and scale to the existing building and other buildings in the vicinity when viewed from the coastal walk thereby meeting the objectives for the FSR and height control.
23 Mr Nash did not consider that the extension of the balconies of the upper level would increase the bulk of the building when viewed from the coastal walk as these would be lightweight structures.
24 Mr Nash considered that the other issues of solar access (contentions 5 and 6), internal amenity (contention 9) and landscaping (contention 10) had been addressed. In particular, the increase in the depth of the balconies to a minimum of 1.3 up to 2.5 m better met the objective of cl 5.3 of DCP 2006 and provided an area of 12 sqm with a minimum width of 2 m, which would meet the requirements of SEPP 65.
25 The only outstanding contentions related to view loss (contention 1) and public interest (contention 11) in relation to the Halls' concerns about privacy impacts and bulk.
26 Mr Nash considered the Hall's objections in his position paper. In summary, he considered that the balcony structure south of the existing building line would have a negligible impact on the expansive water views from levels 3, 4 and 5 of 11 Kenneth Street. He acknowledged that there would be potential overlooking from the balconies of levels 3 and 5 of 15 Kenneth Street to the terraces and living areas of levels 3, 4 and 5 of 11 Kenneth Street. However, he considered the impact to be acceptable due to the difference in levels between the balconies of the two buildings and that the balconies are currently overlooked by large windows on the western façade of the existing building at 15 Kenneth Street. The proposal has no windows on the western façade.
27 Mr Nash concluded that the status quo for overlooking would be largely maintained for the occupants of levels 3, 4 and 5 of 11 Kenneth Street. He did not consider privacy screens to be necessary. However, the applicant has agreed to a condition to full height privacy screens on the eastern and western sides of the balconies, which would address any privacy issues.