Australia is experiencing a shrinking supply of industrial-zoned land as cities increasingly rezone areas for residential, mixed-use and higher-density developments. A growing trend is emerging whereby established industrial precincts are being transitioned from heavy industrial areas to lighter industrial and service-based employment areas.
This trend has recently been observed in Victoria’s Western State Significant Industrial Precinct. Land across the Brooklyn, Yarraville, Tottenham and West Footscray precincts has been rezoned from Industrial 1 Zone (heavy industrial uses) to Industrial 3 Zone, facilitating smaller-scale industrial and commercial activities that are less reliant on heavy vehicle movements.
Emerging industrial precincts in Sydney’s outer west corridor provide little policy support for heavy industrial uses leaving Sydney with very limited areas supporting heavy industrial.
Brisbane City Council has recently followed suit with its own set of recent industrial zone amendments which the following Industry Note will explore this in further detail.
Purpose
In 2024, the Brisbane City Council made the decision to review the industrial zoning mix within Major Industrial Areas and amended the City Plan to increase land available for cleaner industry, warehousing, logistics and distribution. In short, Council aimed to rezone a number of pockets within the Major Industrial Areas from the General Industry C zone precinct to the General Industry B zone precinct. This follows in line with the intention set out in Brisbane City Council’s previous industrial strategy policy, Brisbane: Our Productive City that was published in 2024. It was understood to be Council’s response to “enable industrial precincts to advance, renew and evolve” and a focus on “making our industrial areas economically sustainable and resilient”. The intent essentially is to make more land available for cleaner industry, warehousing, logistics and distribution and move away from heavy industry in these select areas.
Process
The amendment to industry mapping commenced in 2024 with the preparation of the draft amendment package and referral to the Queensland Government for review and approval to undertake public consultation. This was followed by a detailed Queensland Government review process during early to mid-2025. Public consultation was then undertaken between 1 November and 8 December 2025, allowing the Public to provide submissions on the proposed amendments. In early to mid-2026, Council considered the submissions received, and the amendment package underwent a final Queensland Government review. The amendment was subsequently adopted by Council on 4 August 2026 and formally came into effect in the Brisbane City Plan 2014 on 18 September 2026.
Implications
To understand the full implications of these areas being rezoned, refer to Table 1 below for a review of the difference in uses between the Industrial Precinct C and Industrial Precinct B.
It should be noted that adopted changes are not retrospective. A property with an existing development approval may continue operating in accordance with the conditions of that approval. It is understood that introducing a new use or intensifying the existing use or scale of operations may be more difficult under the amended zoning.
The following suburbs have undergone this shift in some industrial areas:
- Lytton
- Murarrie
- Richlands
- Virginia
- Wacol
An example of this zone shift in and around the Export St / Trade St industrial precinct in Lytton is provided in the mapping extract below:
2 – Industrial Precinct B
3 – Industrial Precinct C
What It Means for Heavy Industry
The zone amendments result in a net loss of land within the General Industry C zone precinct, reflecting a broader national trend whereby land available for high-impact industrial activities is diminishing across Australia. The recent conversion of General Industry C land to General Industry B precincts within Brisbane’s major industrial areas is indicative of this shift, facilitating more warehousing and logistics uses while reducing the supply of land capable of accommodating more intensive industrial operations.
This trend raises an important strategic planning concern regarding the long-term availability of suitably located land for high-impact industries that require significant separation distances, access to major freight infrastructure, and the capacity to generate higher levels of noise, emissions, heavy vehicle movements or operational hazards.
Once industrial land is transitioned to light impact uses, it is often difficult to re-establish equivalent opportunities elsewhere due to increasing land values, residential encroachment and community expectations regarding amenity. Consequently, ongoing reductions in high-impact industrial land may constrain the future growth and maintenance of essential industrial activities, potentially affecting the resilience of resource-related industries across Australia.
For queries in relation to these consultation papers, please contact the TfA Project Group team.
Telephone – 1300 794 300
Email – enquiry@tfa.com.au
Website – www.tfa.com.au