2021-12-13 GC Agenda - Item 8 -Attachment 1 - Housing Needs Assessment

are at the higher end of the market and would not contribute to affordable rental properties accessible
to permanent residents.


Medium and High Density Residential zone
Despite the existence of a dedicated Tourist Accommodation zone, Noosa Plan 2020 continues to
identify short-term accommodation as a consistent use in both the medium and high density
residential zones. This has continued to confuse the land use intent for these residential zones and
erode certainty. Whilst the purpose of the zone is to primarily cater for permanent residents, visitor
accommodation is still permitted potentially eroding much needed future land stock for smaller
dwellings for permanent residents.
Many well established resorts and holiday accommodation are located within the Medium and High
Density Residential zones as too are the unit blocks which have traditionally been home to key
workers. Parts of Noosaville, Noosa Heads, Sunshine Beach and Peregian Beach have had a strong
mix of visitors and residents for decades, however it was generally the case that within a
neighbourhood a particular complex would be occupied by either visitors or residents. Now there is
a blurring of the lines and most complexes contain both.
As with houses, unit investors are finding financial and lifestyle benefits of furnishing their properties
and making then available, at least some of the time, to short-term guests. Residents continue to be
concerned about transient guests coming and going, making excessive noise, using shared facilities
and not respecting body corporate rules.


16.2        Residents in Resorts
Prior to the former Noosa Plan 2006, which is when the majority of existing unit complexes and
‘holiday resorts’ were built, approvals allowed for interchangeable use for either permanent residents
or visitors. Very few, if any developments were approved solely for permanent residents at the
exclusion of visitors. As such, these complexes are occupied by a mix of visitors and residents.
Whilst resort managers cite concerns over permanent residents living in ‘holiday resorts’ in the
absence of, or very limited approvals for, permanent residential accommodation, residents seeking
a smaller dwelling / unit have no other choices.
Most holiday resorts and holiday accommodation, both big and small, consist of separately titled and
owned units, apartments, or villas. There are very few which are centrally owned, other than hotels.
With the exception of a limited number of resorts where long term occupation by residents was
specifically prohibited through development conditions, there is little that prevents owners moving
into their property either permanently or sporadically or indeed renting it to a permanent tenant.
Others continue to let their unit out to short-term guests, either managing it themselves through an
online booking platform or engaging external agents who offer lower commission. Letting pools of
the complex have diminished and managers report the commercial return on their investment has
reduced. In some cases onsite management has been abandoned in older style ‘holiday resorts’ or
managers have sold their manager’s unit, with management rights for just the value of the unit.
The topic of permanent occupants within holiday complexes was covered in length by Briggs &
Mortar in the 2017 report. The situation has not changed significantly since. On the whole property
investors want flexibility. The small number of resorts that were specifically conditioned to be for
visitors only do not command the same sale price for units as those with flexibility for residents or
visitors. There have been suggestions to remove such restrictions and open these resorts for
permanent residents, however while this adds to housing supply it will not necessary remain
affordable if the property values increase.
Consumer preferences in the tourism industry have shifted and visitors with the means are seeking
more authentic experiences and the ability to “live like locals”. Visitors are either looking for fully
serviced hotel experiences with onsite restaurant / room service, or they want ample space to holiday



Noosa Housing Needs Assessment 2021                                                             Page 120