A developer has sparked controversy with plans to route affordable-housing residents through a distinct ‘poor door’ at a six-story apartment building in one ofSydney‘s wealthiest suburbs.  

The new development featuring 34 apartments in Mosman will include two entrance areas – one designated for residents occupying 10 units with below-market rent, and another for those residing in the remaining apartments who pay full price.

The development leans on NSWgovernment benefits that offer additional building height and floor area to developers who incorporate affordable housing units.

However, in Mosman, where even “discounted” prices still equate to 80 percent of the extremely high market rents, the decision has sparked debate.

Two-bedroom apartments in the neighborhood usually cost between $830 and $850 per week, indicating that the so-called affordable homes, situated at the back of the building on Rangers Avenue, will still be too expensive for many people.

Residents are divided regarding the separate entries.

Some criticized the setup as exclusive, with one person stating, “Exactly what we require – further separation to make sure the less privileged ‘stay in their position.’”

Another referred to it as “clearly discriminatory.”

“Defining ‘affordable’ as a percentage drop from the local average becomes absurd when the average is so high that even the adjusted rate is only manageable for those with high incomes,” another person remarked.

What’s the purpose of additional rules if they only serve to benefit a few wealthy individuals, while those earning less in other sectors receive no support whatsoever.

Some people supported the arrangement, pointing out that the budget-friendly units are part of a different, more economical strata plan that excludes access to a pool or gym.

“Seems reasonable,” a local resident remarked.

The options would involve increased fees for them or government-subsidized access to amenities. I prefer that funds be used for constructing more homes rather than upgrading apartments for a select few.

Planning papers indicate that community housing providers favor the separation, claiming it prevents affordable tenants from bearing the expenses of maintaining high-end lobbies and other amenities.

Developer Eterno is advancing the project via a State Significant Development Application, a streamlined process that skips local council planning regulations.

It mentions that the project will provide housing for families, older adults looking to downsize, and key workers, featuring 10 affordable rental units for individuals like educators, healthcare professionals, and support staff.

“The suggestion focuses on creating carefully planned residences that blend with the surrounding region, offering living spaces for various groups such as families, retirees, and key workers,” it stated.

However, the controversy mirrors another prominent situation at One Sydney Harbour in Barangaroo, where essential workers residing in affordable units are required to use a different entrance and are prohibited from accessing the amenities that their multi-million-dollar neighbors can enjoy.

Critics have labeled it “apartment apartheid,” claiming that Sydney’s real estate scene is turning into an architecturally divided system.

The conflict arises as tenants face a harsh housing market.

Cotality research director Tim Lawless stated that rents have increased by 44 percent over five years, almost three times the rate of wage growth, causing more tenants to be pushed out of the market.

He cautioned that the situation will not improve without a significant increase in supply, such as changes in planning regulations and additional build-to-rent initiatives.

“The reality that rental growth is speeding up again, despite the significant overall rise since 2020, is a serious issue,” Mr. Lawless stated.

It implies that the need for rental housing remains significantly higher than the available options, and that tenants are spending a greater share of their income merely to have a place to live.

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