Repurposing the capital to allow building heights to rise ‘increasingly’

Will this be Australia’s next skyscraper city?

An area of ​​Adelaide, where buildings are currently up to three storeys high, could get pre-approval for developments up to six times that height as part of a new proposal.

The state government is pursuing a massive rezoning that it says will “change Adelaide’s skyline forever, causing building heights to soar”.

The measure is aimed at the capital’s CBD, where the government plans to rezone building heights to allow prior approval of developments 10 to 15 storeys higher than current height limits.

For example, a structure on the westernmost side of the city, on West Terrace, currently requires special approval to build above three floors. Under the government’s proposed amendment to the City Building Heights Code, 20-storey structures would be pre-approved.

Adelaide is not without tall buildings, but the new proposal could significantly change the city’s skyline. Image: Getty

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Adelaide Airport is working together on the initiative to ensure the changes are implemented without compromising the safe operation of the major transport hub, which is located just west of the city centre.

Due to the airport’s proximity to the CBD, any development seeking to exceed the city’s relatively low height limits must be submitted for approval. This is determined on a case-by-case basis, which adds time to the development process.

The proposed height changes would cover almost the entire CBD, from Angas Street to North Terrace and from West Terrace to Hutt Street.

The southwestern and southeastern corners of the city are not targeted for elevation increases as they are largely established residential areas.

Under the new proposed height limits, buildings would still be able to exceed the higher limits by following an approval process. The state government and the airport are also proposing to streamline this process to reduce wait times.

While these changes apply to both commercial and residential buildings, the government said it hoped the measure would particularly boost apartment construction as Adelaide, like the rest of the country, faces a housing shortage.

“More height means more apartments and more places for South Australians to call home,” Housing Minister Nick Champion said.

The announcement follows Prime Minister Peter Malinauskas’ promise that if Labor is re-elected as leader of government after the March 2026 election, his party will establish a pre-sale guarantee program for apartment construction, similar to the one introduced in NSW this year.

The government would commit to guaranteeing up to 50 percent of homes in eligible off-plan developments, up to a cap of $30 million per project.

Adelaide Airport is located west of the city center. Image: Getty

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Taken together, these two moves could have a major impact on Adelaide’s inner-city apartment market.

Mr Malinauskas said he believed the elevation changes would “promote growth in the CBD like we have never seen before”.

Although he also acknowledged that pursuing the amendment would not be without challenges.

“For decades, a complex planning system combined with airport caps has slowed the growth of Adelaide’s CBD. Governments have chosen to stick with the status quo rather than pursue difficult reforms. No longer.”

The code change will ultimately be based on an in-depth review of the plan by the South Australia Department for Housing and Urban Development, which will conduct community and stakeholder consultations as part of the process.

The news was welcomed by the Property Council of South Australia, with executive director Bruce Djite describing Adelaide’s CBD as “brimming with potential” and “the largest infill site in the country”.

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