Landmark Group pulls early termination of affordable units after regulator rebuke

Landmark Group, which markets itself as a leader in low-cost housing, tried to terminate the affordable-housing portion of its Madison development in Sydney two years ahead of schedule, citing a recent state planning reform as justification. The proposal would have removed 37 affordable units, prompting Sutherland Shire Council planners to recommend rejection due to the likely loss of housing for essential workers. After the council failed to decide within the statutory period, Landmark pursued the matter in the NSW Land and Environment Court but later withdrew the case, leaving the 37 units under their original affordability obligations until at least early 2028.

A complaint from a nearby resident led the NSW Housing Registrar to find that Landmark’s community-housing arm breached a national code on fair and transparent tenant communication, prompting the developer to pledge stronger engagement practices. The regulator also flagged potential governance conflicts arising from Landmark’s ownership of its own community-housing provider. Critics, including the NSW Tenants Union, argue that such arrangements risk prioritising developer interests over tenant rights. The episode occurs amid broader scrutiny of the state’s bonus-scheme incentives that allow developers to increase building density in exchange for affordable-housing contributions.