Connected by design: rethinking housing around what matters most

Sydney’s housing crisis is well understood, but the impacts go far beyond cost. 

As the least affordable housing market globally, median property prices are now 14.7 times higher than the median household income (up from 8.3 just ten years ago) with many residents priced out of the communities they work and belong in. Affordability is no longer just a challenge it’s reshaping how and where people live.

More than a third of renters are now in housing stress. Long commutes have become the norm. And for many, time once spent on family, health or community is being redirected to simply staying afloat. It’s affecting Sydney’s liveability — and its future competitiveness. Population growth, immigration and restrictive planning laws are just some of the factors contributing to this broader challenge. However solutions are starting to emerge, as public and private sectors work towards a more sustainable and affordable housing answer. 

POLICY IS MOVING — BUT ARE WE GROWING THE RIGHT WAY?

In response to the crisis, the NSW Government is introducing reforms that encourage new housing near public transport and key centres. Transit-Oriented Development (TOD) and Low-Medium Rise (LMR) housing models aim to unlock capacity in areas with existing infrastructure. It’s a strong start. But there’s a risk in taking a one-size-fits-all approach. Every neighbourhood has its own rhythm — its own history, street pattern, and social fabric. Ignoring these qualities risks eroding the very things that make our communities desirable and liveable. 

The Inner West’s varied and complex housing form requires a place-responsive approach to urban-infill.

A MORE NUANCED APPROACH TO DENSITY

In collaboration with Inner West Council, Hassell is helping to shape a different kind of housing growth; one that is amenity oriented. This means housing that’s not just about numbers but about creating places where people can thrive. Places where homes are integrated with shops, parks, schools, transport, and local services, forming vibrant, walkable communities with strong identities. The Inner West of Sydney is a prime example of this approach. Known for its rich cultural diversity, heritage buildings, local high streets, and tight-knit neighbourhoods, it offers the perfect foundation for thoughtful intensification.

EVERY PIECE COUNTS

Our strategic master plans for Marrickville – Dulwich Hill and Ashfield – Croydon focus on delivering over 30,000 new homes across the next 15 years — without compromising what locals love about these areas. In Marrickville and Dulwich Hill, we’re creating a growth corridor that strengthens the link between activity centres, transport hubs and green space. In Ashfield and Croydon, the emphasis is on focusing density around town centres and along transport corridors, while weaving in public spaces and community infrastructure, ensuring that new developments are well-supported by essential amenities. The result? Connected neighbourhoods that grow in the right places, with the right mix of housing and amenities to support both current and future residents — all while preserving the unique qualities that make these areas special.

DESIGNING FOR THE LONG-TERM: REGENERATIVE BY NATURE 

Housing supply doesn’t exist in a vacuum. It’s happening at the crossroads of a cost-of-living crisis and a climate emergency. That’s why our approach to design goes beyond sustainability — embracing regenerative principles that deliver lasting, net-positive outcomes for people and the environment.

Our framework centres on four focus areas:

  • High-quality housing that supports diverse needs and long-term health
  • Energy infrastructure that’s low-carbon and future-proof
  • Blue-green grid strategies that connect open space, water and ecological systems
  • Community infrastructure that strengthens local services and social connection

It’s a smart, locally-led response to Sydney’s housing challenge. By creating capacity for tens of thousands of homes, the proposal shows how we can grown in a way that supports community, sustainability, and quality of life. From access to local parks, schools and shops, to safer streets and better public transport, this is what density done well looks like.”

Committee for Sydney
Targeting density where it makes sense – where areas of high amenity and accessibility overlap, whilst avoiding sensitive neighbourhoods like heritage conservation areas.

HOMES THAT DO MORE THAN HOUSE US

Reshaping the way we think about housing growth and supply will unlock critical solutions to more affordable and sustainable ways of living. Moving from volume to value, from generic to place-specific, and from reactive to regenerative can drive better outcomes for everyone: shorter commutes, stronger local economies, healthier lifestyles, and more inclusive communities.

It’s time to shift the conversation from how much housing we build, to how well we integrate it into the everyday life of our communities.

Main Image: Our completed project at Summer Hill shows how density done well can work within existing urban contexts. Image by DS OFICINA