Zoning is an important part of town planning and determines how land is used and what types of development can occur in different areas. Zoning helps ensure that new development fits in with surrounding land uses and that we have a mix of homes, businesses, community facilities and green spaces.

In Canberra, zoning is set out in the Territory Plan, which guides development across the ACT.

What is the Territory Plan?

The Territory Plan outlines what development can take place and where. It guides developers and gives the Territory Planning Authority the tools to assess and then approve or refuse development applications.

The Territory Plan has district and zone policies to help with this. District policies detail the key assessment requirements and expected outcomes relevant to each district. Zone policies list the types of developments that can be built in specific zones as well as the assessment requirements that must be met. It also lists what documentation is required for assessment to occur. These can be found in Part D, Part E and Part F of the Territory Plan.

You can view the Territory Plan (including the District and Zone policies) on the ACT Legislation Register.

Residential zones in Canberra

Most of Canberra’s land is zones for residential use, however not all residential zones are the same. There are five types of residential zones, each allowing for different types of houses:

Please note the information below provides a general overview of the different zones, and if you are looking for specific development requirements, or how zoning applies to a particular property, you should refer to the Territory Plan or get to know your block.

Figures are representative of the total net developable area for each zone, based on current registered blocks.

RZ1- Suburban Zone

This is Canberra’s lowest-density residential zone and makes up for 79.7% of residential blocks in the ACT. Currently this zone is made up mostly of single dwelling houses.

In 2023, to provide more housing choices, changes were made to the Territory Plan regarding what types of homes are permitted in the RZ1 zone. Any Canberra block over 800m2 in an RZ1 zone is now able to build a second dwelling up to 120m2 on their block. This will help increase housing supply in existing suburbs to meet ever-growing demand.

RZ2 – Suburban Core Zone

This zone allows for slightly higher density than RZ1 and makes up 12.9% of residential blocks in the ACT. RZ2 currently encourages a mix of single dwelling housing and small-scale medium-density dwellings. It’s found in areas close to shops and public transport routes.

RZ3 – Urban Residential Zone

This zone currently allows for a mix of single dwelling housing and medium-density housing, including townhouses and low-rise apartment buildings. It provides a transition between low-density suburban areas and busier commercial centres.

RZ4 – Medium Density Residential Zone

This zone currently allows for medium-density housing, including apartment buildings up to three to four storeys. It’s usually located near centres and key transport routes, where more housing is needed.

RZ5 – High Density Residential Zone

This zone is for higher-density residential buildings up to six storeys in areas with good access to public transport, shops, and services. This zone is mainly found close to central locations like the city, town centres and along major transport routes.

Why do zoning rules change?

Canberra is growing quickly, and the ACT Government is working on increasing housing options while keep our city liveable. With limited undeveloped land, more homes need to be built within existing suburbs.

That’s why the Territory Plan is updated from time to time to allow for more diverse housing types in some areas. This includes changes like allowing second dwellings on larger blocks in RZ1 and the proposed Missing Middle Housing reforms, which aim to encourage more y housing choices in the existing urban footprint.