ACT Zoning Changes Redirect Canberra Buyers to Established Corridors

The ACT government’s June adjustment to the Gungahlin Precinct Code, which caps new apartment blocks at six storeys along Hibberson Street, has already cut off-the-plan sales by 18 per cent in the town centre.

Public servants on fixed incomes, who make up the bulk of Canberra buyers, are now weighing longer commutes against higher detached-house prices in neighbouring suburbs, a direct result of the policy shift coinciding with the Territory Plan review deadline.

Local corridors feel the pinch

Developers who had lodged applications for sites near Gungahlin Marketplace and the future light-rail stop at Casey are now seeking amendments, pushing some projects into 2027. In Belconnen, the same policy settings have accelerated approvals for townhouse clusters on the former Belconnen Markets site, drawing families priced out of Gungahlin.

These two growth corridors, long favoured for their proximity to government offices in Civic and the Barton offices, are now diverging in price trajectory as planning certainty evaporates in one and solidifies in the other.

Domain data released this week show the ACT median house price sitting at $835,000, with auction clearance rates stuck at 65 per cent across the past four weeks and vacancy rates below 1 per cent in both Belconnen and Gungahlin.

Next steps for buyers and sellers

Agents report that buyers are now conditioning offers on finance approval timelines that account for potential planning appeals, particularly on blocks within 400 metres of the Gungahlin light-rail alignment. Sellers in Belconnen are listing earlier in the week to capture public-servant salary-cycle demand before the next federal budget round.

Prospective purchasers should check the ACT Planning Directorate’s online register for any last-minute objections lodged against individual sites before signing contracts this spring.