Tourism Planning Taskforce Report - Western Australian Planning ...

Summary• The rezoning of a tourism site of strategic value to facilitate residential use will result in a reductionin the ability to accommodate future tourism demand and have a detrimental impact on tourismgrowth.• Where sites are of a lower-order tourism value, more commonly urban-based and identified asnon-strategic, then the implications of limited residential use are considered less significant. Subjectto a tourism dominance in a development being retained, an integrated residential component maybe appropriate in supporting the development.• Where a residential use component is supported on a non-strategic tourism site, the taskforceconcluded that a maximum of 25 per cent residential use only should be considered. Above this level,the potential for the residential use to dominate the tourism orientation of a development significantlyincreases. In association with this limit, specific design and management guidelines also are requiredif the development is to be sustainable as a tourism facility.• There is an increased focus required on the retention of caravan parks for tourism purposes and onthe extent of long-stay use and park home development appropriate within tourist caravan parks.Term of Reference 3:Review trends in the strata titling of tourism facilities and the operational and management impacts ofvarious tenure arrangements. This will include assessment of the impact on: management structures,control and enforcement of occupancy requirements, increases in the cost and loss of variety inavailable accommodation, and increased pressure for permanent occupancy.• The use of strata schemes for tourism developments primarily is undertaken to achieve projectfinancing and profit realisation from such projects. It has become the dominant mechanism forfinancing tourism developments since the late 1980s.• Implications of the use of strata schemes are dependent on the associated managementarrangements and can include:- developments initiated on the basis of real estate as opposed to tourism demand;- loss of capacity to accommodate future tourism demand;- facilitation of residential and/or ‘lock up’ developments on tourist zoned land; and- delivery of a poor tourism product.• On balance, the taskforce recognised strata schemes as important in the funding of tourismaccommodation development and recommends their continued use, subject to specific requirementsfor integrated management and particular design requirements.• The use of survey strata or vacant lot strata schemes increases the risks associated with achievinga bona fide tourism development. The use of such schemes are supported only where particularrequirements to address construction, design, management and integration issues are proposed.• The Caravan Parks and Camping Grounds Act 1995 introduced a prohibition on the strata titling ofcaravan parks and this is supported. Extension of this restriction to include alternative low-densityaccommodation types also is recommended.Term of Reference 4:Investigate the implications of the development of permanent residential accommodation and/or stratatitling of land zoned for tourism development on the valuation of individual properties and similarly zonedland under the Valuation of Land Act 1978 and associated land tax implications.• The impact of land tax on the sustainable operation of a range of regional tourist accommodationfacilities has become an issue of concern to the tourism industry over recent years. Land taxincreases that are disproportionate to increases in income-earning potential have been perceived asaffecting the general affordability of coastal holiday opportunities and reducing the range ofaccommodation available, through encouraging redevelopment.Tourism Planning Taskforce Reportvii