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Greens warn 'zombie DAs' risk wiping out threatened species habitat in coastal NSW

Communities along the New South Wales coast are challenging historic housing developments that have laid dormant for years, but are being revived as market prices rise.

The phrase "zombie DA" (development application) has become a default term for projects approved years and sometimes decades ago that have not been completed.

Greens MP and planning spokeswoman Cate Faehrmann released a report identifying 20 examples of such developments.

She said more than 750 hectares, largely comprised of threatened species habitat, were set to be "bulldozed on the back of zombie DAs that have not seen modern-day environmental or cultural impact surveys".

The developments are found from the north to the south of the state, including Tura Beach, Tuross Heads, Manyana, Culburra Beach, Moona Moona Creek, Woollamia, Hallidays Point, South West Rocks and Kingscliff.

The report includes warnings about other proposals that could put additional stress on existing infrastructure.

"What I have tried to do is tell the cumulative impact of these developments — the real story is told when you look at it altogether," Ms  Faehrmann said.

"We risk losing coastal NSW as we know and love it if they all go ahead."

Retirement village for Mid North Coast

At Hallidays Point, on the Mid North Coast, there are plans to build a retirement village and an aged care facility on 10ha of land.

Kym Kilpatrick from the Hallidays Point Action Group said the area was celebrated for its rich biodiversity.

"It's been known as the jewel in the crown of some of the environmental habitat of this area," she said.

"It supports a range of wildlife on the threatened species list, including koalas, brush-tailed phascogales, microbats and possibly endangered frogs, as well as glossy black cockatoos."

Ms Kilpatrick said many locals were distressed the site was set to be cleared for the development.

"This is one of the zombie DAs that is plaguing the east coast of Australia," she said.

"This area was hit very hard by the Black Summer bushfires, it's also experienced a number of flood events, so properties like this are critically important for the animal populations to recover."

The Greens' report says the original DA was approved by Taree Council in 2004 and was modified and approved in May 2022 by the new Mid North Coast Council, while in the hands of its third owner.

Sothebys, the listing agent, has been contacted for comment.

Developer disputes 'zombie' tag

On the South Coast, the report highlights a cluster of developments in the Shoalhaven, with several proposed by the Halloran Trust.

Through its development entity Searlark, it's proposing 293 homes at Culburra Beach and 380 lots at Callala Beach.

In a statement to the ABC, Searlark denied the two developments were zombie DAs.

"Both proposals have been assessed under the current planning regime, have been subject to recent public consultation and were approved in either December 2021 (Culburra Beach) or October 2022 (Callala Bay)," Sealark land and development managing director Matt Philpott said.

"It is our view that neither development can be remotely classified as a 'zombie' development.

"Both developments are in accordance with the adopted land-use strategies of Shoalhaven City Council and the NSW Government."

But First Nations leaders are questioning how the issue of cultural heritage has been considered.

Jerrinja Local Aboriginal Land Council chief executive Alfred Wellington said there had not been enough consultation.

"We are very concerned with cultural and ecological impacts, it is very emotional," he said.

"We have evidence of our ancestors here for tens of thousands of years and have cultural knowledge of those places."

Jerrinja elder Aunty Grace Crossley said it was not just vulnerable species that needed protection.

"It is a beautiful part of NSW. The South Coast, for me, it is just like heaven. It is very special in the Shoalhaven area, every place you go has significant meaning," she said.

"I know people have been talking about specific animals, but for me I have to look at every single insect, reptiles, whatever – nature is the responsibility of us."

Claire Haywood from the Culburra Residents and Ratepayers Association said the NSW government approval processes must change to reflect community expectations.

"Processes and the systems that are happening at the state government level, at the ministerial level, which is how West Culburra got through recently, have to change radically," she said.

Not the answer to the housing crisis

Despite the housing crisis in NSW, the Greens claim the developments targeted in the report would not provide solutions.

"Yes, we need affordable housing, but let's be sensible about this," Ms Faerhmann said.

"In these places it is insanity to build hundreds of homes in areas where services are strained and vulnerable habitat will be destroyed.

"It's all developer driven."

As some analysts predict a minority government at the March state election, Ms Faerhmann said it was too soon to say if it was a balance-of-power issue.

Ms Faerhmann said the Greens were calling for a moratorium on all zombie DAs until they were assessed against updated planning laws.

The party also wants property developers and real estate agents banned from councils and for assessment and climate change modelling to be carried out in vulnerable areas.

It also acknowledged any reassessment may need to lead to land swaps for developers and/or compensation where appropriate.

'Councils should take action'

In a statement the Department of Planning and Environment said a development consent lapsed after five years, unless work has "physically commenced". 

It said in 2020 planning regulations were amended to help halt zombie DAs.

It also said councils could intervene if community expectations were not met.

"If land zoning doesn't meet current community expectations or isn't reflecting current knowledge about environmental significance, or hazards like bushfire or flooding, councils should take action," the department statement said.

"Councils already have the legal power under the EP&A Act to revoke or modify development consents that are out of step with the provisions of any proposed local planning controls."

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