Understanding the HDA Pathway in NSW: What Developers Need to Know

The Housing Delivery Authority (HDA) offers a state-led approval pathway for major residential housing projects in Sydney and regional NSW. It moves eligible proposals out of the local council development application process and into State Significant Development (SSD) assessment, in some cases with a concurrent rezoning.

It is not an automatic shortcut. Whether it pays off depends on the site, its housing uplift, and how well the project is set up before the Expression of Interest.

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What is the HDA?

Established by the NSW Government in late 2024 to support the National Housing Accord, the HDA sits within the Department of Planning, Housing and Infrastructure (DPHI).

It reviews Expressions of Interest and recommends to the Minister for Planning and Public Spaces whether a project should receive a State Significant Development declaration. Originally set up by Ministerial Order, it is being made permanent under the Environmental Planning and Assessment Act 1979.

Know whether your site qualifies for the HDA before you commit

The HDA considers residential and mixed-use developments, including residential flat buildings, shop-top housing, seniors housing and build-to-rent, above an estimated development cost of around $60 million in Greater Sydney and $30 million in regional NSW. It looks for projects where:

  • Land tenure is secure

  • There is a positive commitment to commence

  • The site has access to transport and services

  • Environmental hazards and constraints are manageable

  • The affordable housing commitment, rate and mechanism are clear

Sites held back by local council controls are encouraged to apply, provided the supporting infrastructure, such as transport and utilities, is in place.

HOW IT WORKS

The HDA process: eight steps, from feasibility to determination

  1. Feasibility and pathway testing

  2. Expression of Interest lodged through the NSW Planning Portal

  3. HDA review and recommendation

  4. SSD declaration by the Minister

  5. Secretary's Environmental Assessment Requirements (SEARs) issued

  6. Environmental Impact Statement prepared and lodged

  7. Public exhibition and response to submissions

  8. Assessment and determination by the Department

Realistic HDA timeframes, from EOI to determination

Allow 1-2 years from EOI to determination. A standard council DA takes around 1-2 years, so the advantage isn't always speed. It is the parallel planning pathway: where a site would otherwise need a separate rezoning first, running both together can cut months from the program.

A 275-day assessment target

From lodgement, the Department aims to complete the assessment and determination or referral within 275 days (which includes a 90-day government-day average target).

Faster EOI reviews, with a higher bar

Up until recent changes to the HDA pathway, there was a significant backlog of EOI's, taking approximately 6-8 months to review. Since July 2026, the HDA has required more detail at the EOI stage, including a concept design and massing study. Submissions have dropped sharply as a result, and response times have improved.

A nine-month window once SEARs are issued

Once SEARs are issued for an HDA-declared residential project, the Environmental Impact Statement must be prepared and lodged within nine months, after which the SEARs expire. Given the scope of an EIS, the full consultant team needs to be engaged before SEARs are issued, not after.

Plan for who will build it

Then there is who will build it. Simon Kassis, APM's Managing Director, expects a NSW builder shortage within two to three years, so on an HDA project builder selection belongs in the conversation from the start.

What the HDA costs, and where budgets usually slip

An SSD major residential project typically costs around 20% more to take through approval than a standard DA, largely because of the additional consultants involved, though this varies with site location. As a guide, consultant and approval costs start at around $600,000 for a simple SSDA and can reach $1.5 million on a complex project.

The overruns we see most often come from procurement rather than the pathway itself: consultants engaged without a written scope of services, without proper contracts, or on hourly rates with no cap.

HDA vs a council DA: choosing the right pathway for your site

The HDA suits high-yield housing sites that need a rezoning, or where scale makes local assessment a risk. Where a proposal already sits within the controls, the extra documentation can outweigh any time saved.

Why good sites still stall after the EOI

A site can work on paper and still stall after the EOI. The most common reasons are:

  1. Height has to be justified. An EOI recommendation doesn't settle built form. Height still has to be tested against overshadowing, massing, amenity and infrastructure capacity.

  2. Councils still have a voice. Local councils are consulted and can object to the application.

  3. Build cost. The yield that justifies the pathway has to be deliverable at a construction cost the project can carry.

  4. The affordable housing contribution. Typically 10% of the development for fifteen years, or 5% in perpetuity, which needs to be modelled in the feasibility before it is offered.

Take your project from EOI to completion with APM

APM is a client-side project manager. We treat a client's budget as we would our own.

Feasibility before the EOI

We test yield, floor space ratio, build cost, affordable housing and return, usually within a couple of days. On one regional project, this turned a 21-apartment scheme into 28 within the same footprint.

Structure and services before lodgement

Avoiding the redesign that slows SSD assessment.

Clear procurement

Every consultant engaged on a written scope and a proper contract.

End-to-end management

Of the consultant team, from EOI through DA, design development and construction.

Builder selection

Matched to the project's scale and product type.

Built for developers, family businesses and landowners

Developers, family businesses and landowners across Sydney and regional NSW, from established development companies to families bringing a significant site forward for the first time.

Test your site before you lodge an EOI

The best time to bring in a project manager is before the EOI, while the site and pathway can still be tested. If you're weighing up the HDA, we're happy to take a look.

Frequently Asked Questions

HDA NSW

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