Written by A new luxury development in Sydney’s Elizabeth Bay has sparked a fierce legal battle in Billyard Avenue Developments Pty Limited ATF Billyard Avenue Development Trust v The Council of the City of Sydney [2024] NSWLEC 1825, pitting residents and the City of Sydney against property developer Fortis. The proposal involves demolishing two existing 1970s apartment blocks at 10 Onslow Avenue and 21C Billyard Avenue and replacing them with two new structures. The proposed eight-storey and five-storey apartment complexes are worth over $230 million. At the heart of the City of Sydney’s opposition is the argument that the proposed height and density reductions are inconsistent with the local streetscape. The council has cited 77 public objections, many of which highlight the reduction in the number of apartments from 28 existing units to just 20, displacing long-term renters and affordable housing options in favour of luxury residences.
Despite the ongoing legal battle, Fortis has already begun marketing and selling units off-the-plan—a practice that, while legal, raises significant risks for buyers. The company confirmed that contracts would be finalised ahead of an official sales launch, even though the court has yet to determine whether the project can proceed. Sydney buyer’s agent Michael Ossitt warns that purchasing property off-the-plan before development approval carries notable risks. He emphasised that buyers should ensure their contracts include a clause allowing them to rescind without penalty and receive a full refund if consent is denied. The City of Sydney has proposed reforms to limit developers from reducing the total number of apartments by more than 15%, but these changes remain under review and will take time to implement. Meanwhile, local opposition continues to grow, with over 130 formal objections lodged against the project, compared to just 15 submissions in favour—14 of which were allegedly made by Fortis employees.
In December last year, the Court refused to grant development consent for the construction of the apartments, on the basis that the Court had no power to do so. The Land and Environment Court has scheduled further meetings between Fortis and the City of Sydney in an attempt to reach a settlement, with the development application status resting at ‘under appeal’. As Sydney continues to grapple with the competing forces of urban renewal and housing affordability, this battle over Elizabeth Bay is shaping up to be a landmark case in the city’s development landscape.