Marcus Tole
Commercial Property Analyst
Christian Finianos
Commercial Property Researcher
Western Sydney’s development contribution framework has changed.
Under the former schemes, contributions were commonly calculated per hectare of net developable area. That calculation method no longer applies.
On 1 July 2026, the Western Sydney Growth Areas and Western Sydney Aerotropolis Special Infrastructure Contribution schemes were replaced by the Housing and Productivity Contribution. The former Western Sydney SIC areas are now covered by the broader Greater Sydney contribution framework.
What Changed on 1 July 2026
A new contribution framework now applies. The former Western Sydney Growth Areas and Western Sydney Aerotropolis Special Infrastructure Contribution schemes have been replaced by the Housing and Productivity Contribution.
The former Western Sydney SIC areas are now covered by the broader Greater Sydney contribution framework.
How the Calculation Has Changed
The contribution is now linked to what is being developed.
Under the former schemes, contributions were commonly calculated per hectare of net developable area. The new framework calculates the base contribution:
- Per new residential lot
- Per new medium or high density dwelling
- Per square metre of new commercial floor area
- Per square metre of new industrial floor area
Current Base Rates
Greater Sydney rates from 1 July 2026:
These rates are indexed quarterly.
The Base Rate May Not Be the Total
Additional components can apply in specific locations. The Housing and Productivity Contribution can include:
Base Component
Applies across the Greater Sydney contribution region. Refer to the previous section for current base rates.
Strategic Biodiversity Component
Applies to certain biodiversity certified land.
Cumberland Plain Conservation Plan land:
- $10,324.81 per new residential lot or medium and high density dwelling
- $61.95 per sqm of new commercial GFA
- $30.97 per sqm of new industrial GFA
Biodiversity certified Western Sydney Growth Areas land:
- $1,230 per new residential lot or medium and high density dwelling
- $48 per sqm of new commercial GFA
- $24 per sqm of new industrial GFA
Transport Project Component
May apply to relevant development around the Bradfield and Luddenham Metro stations.
- $8,148 per new medium or high density dwelling
- $63 per sqm of new commercial GFA
- $20 per sqm of new industrial GFA
Where applicable, these components are added to the base contribution. Rates are current at 1 July 2026 and indexed quarterly.
Lodgement Date Matters
Which framework applies depends on lodgement timing:
- Applications lodged before 1 July 2026 generally remain under the relevant SIC framework
- Relevant applications lodged from 1 July 2026 are subject to the Housing and Productivity Contribution
- Previous SIC payments and credits may be recognised under transitional arrangements
These arrangements are intended to prevent duplicate infrastructure charges.
What the Contributions Fund
The contributions help fund state and regional infrastructure, including:
- Schools and hospitals
- Major roads
- Public transport
- Regional open space
The Housing and Productivity Contribution is separate from council contributions for local roads, drainage and neighbourhood open space.
What This Means for a Site
There is no single cost comparison.
The contribution applying to a development will depend on:
- The site’s location
- The proposed use and scale
- The number of new lots or dwellings
- The amount of new commercial or industrial floor area
- Any additional contribution components
- The application lodgement date
- Previous SIC payments or credits
Assessing Development Land in Western Sydney?
Contact RWC Western Sydney to discuss the commercial property implications for your site.
Project-specific calculations should be confirmed with the relevant consent authority or registered certifier.