Sunshine Coast’s New Planning Scheme: What It Means For Commercial Property

The Sunshine Coast’s proposed new planning scheme is set to unlock commercial opportunities and provide a clear direction for growth as the region prepares for substantial population increases over the next two decades. If approved, it will replace the 2014 scheme which has guided development for more than a decade. The region has changed significantly since then. As the 2032 Olympic and Paralympic Games inch closer, the update comes at a pivotal time.

With a vision through to 2046, the scheme aligns local planning with Queensland Government population forecasts, revised State and regional policy requirements and contemporary planning. The proposed scheme sets parameters for zoning, building heights, design standards and land use. It is supported by local plans for 18 distinct areas from Caloundra to Coolum and across the hinterland.

Community consultation is now underway on Sunshine Coast Council’s proposed new scheme, with submissions closing on 19 September 2025.

The team at RWC Noosa & Sunshine Coast has taken a look at the plan and examines its implications for the commercial property sector.

MORE FLEXIBILITY WELCOMED

While zoning changes impacting commercial property are minimal, there’s a distinct shift towards greater flexibility. The scheme introduces more diverse zones to reflect emerging land uses, expands industrial opportunities and strengthens key commercial hubs. 

Paul Butler, RWC Commercial Noosa & Sunshine Coast Principal, says the plan is largely shaped by residential demand. 

“The new scheme is focused on delivering residential property in line with state-led housing requirements and population forecasts. Most of the changes reflect that, with more defined precincts. For the commercial market, it offers a clear picture of how the region will develop over the coming years, which helps investors plan with confidence.”

KEY CHANGES

• Increasing land supply for a range of housing types
• Protecting the region’s ‘green frame’
• Embedding Sunshine Coast Design principles in new developments
• Expanded industrial zoned land with greater flexibility for uses 
• Targeted zoning and height changes near urban centres, employment and infrastructure
• New building height regulations in both metres and storeys 
• Changes to minimum lot sizes in some areas
• Updated overlay mapping
• Provisions for emerging technologies such as EV charging
• Five new zones: Mixed Use, Industry, Innovation, Low-Medium Density Residential and Neighbourhood Centre.

AROUND THE REGION

The scheme’s impact varies across the Coast, with each local area seeing a different mix of zoning adjustments, infrastructure priorities and development opportunities. Designated Priority Development Areas (PDAs) including Caloundra South (Aura), Sunshine Coast Airport and Maroochydore City Centre, undeveloped parts of Kawana Waters, and the Beerwah East SEQ Development Area are excluded from the plan.

CALOUNDRA

At the southern end of the coast, the most notable change is the consolidation of Medium and High Impact Industry into a single ‘Industry’ zone, affecting Caloundra West, Aura, Baringa and Corbould Park.

“The new Industry zone gives those properties greater flexibility, opening the door to more office space, R&D facilities and food and beverage production,” says RWC Noosa & Sunshine Coast Commercial Property Consultant Josh Harris.

Zoning changes in Caloundra are limited, partly due to temporary planning instruments already fast-tracking high priority developments like hotels ahead of the Olympics. However, infrastructure developments are expected to be transformative.

“Infrastructure improvements including new connections into Caloundra via Nicklin Way, Caloundra Road upgrades and planned rail links will have a bigger impact than zoning changes, helping to unlock commercial potential,” explains Josh.

• More medium density housing for Nicklin Way with updated height limits encouraging site consolidation and vertical development
• An expanded District Centre zone to support more services and retail 
• In Warana, a large area west of Nicklin Way and Main Drive will shift from Industrial to Mixed Use zoning, creating opportunities for commercial, residential and visitor accommodation connected with the Olympics.

MOOLOOLABA

The Mooloolaba–Alexandra Headland area is envisioned as a premier coastal destination, balancing tourism appeal with vibrant, walkable communities. The scheme makes only modest changes in this area:

• Minimal commercial zoning changes
• Brisbane Road and Alexandra Parade supported as a mixed-use spine 
• Reclassification of some areas along Brisbane Road from Local Centre to Neighbourhood Centre
• Proposed height increases in the District Centre zone near Walan Street.

MAROOCHYDORE

As the Sunshine Coast’s principal regional activity centre, Maroochydore retains its focus on employment, innovation, government services, retail, tourism and high-density living. It also sees the greatest increase in housing capacity across the region.

• Principal Centre zone in the CBD remains largely unchanged
• A major shift along Aerodrome Road (Second Avenue to Wirraway Street) from Principal Centre to Mixed Use zone, prioritising residential development 
• Ocean Street reinforced as a vibrant entertainment and dining precinct
• Maroochy Boulevard and Dalton Drive earmarked for office and health-related development, integrated with the Sunshine Coast Health Precinct
• Several Local Centres are reclassified as Neighbourhood Centres.

COOLUM / PEREGIAN BEACH

The plan supports small-scale commercial activity, boutique tourism and service-based industries while retaining the existing low-rise coastal village character.

• No changes to the District Centre zoning or building height limits
• Removal of 34 hectares of Industrial zoning on the eastern side of the existing Coolum estate
• No Specialised Centre zoned land proposed.

NAMBOUR

Revitalisation, economic development and a mix of residential, health and small-scale industry uses are on the agenda for Nambour.

• Town Centre revitalisation
• Special Entertainment Precinct for live music venues, bars and hotels 
• Health Hub expansion near the hospital precinct
• Portions of Major Centre zone land rezoned to Medium Density Residential
• Some Local Centre changed to Major Centre.

IMPACT OF CHANGES TO RESIDENTIAL ZONING ON COMMERCIAL DEMAND

Tallon Pamenter, RWC Noosa & Sunshine Coast Commercial Property Consultant, says the proposed residential changes would accelerate the integration of living and working spaces.

“We’re already seeing residential and commercial uses blending more closely but these changes will quicken the pace,” Tallon explains. “The introduction of more Mixed Use zones is a step towards village-style development within a major regional growth area, where cafes, medical services and professional offices are all easily accessible from home.”

THE GROWING ROLE OF SPECIALIST COMMERCIAL ZONES

The scheme reinforces the value of targeted commercial zones such as health precincts, innovation parks and entertainment districts, which are increasingly important drivers of employment and investment. 

“Specialised commercial zones like medical or innovation zones, just make sense,” Tallon says. “When you factor in the high cost of construction, designing these zones from the ground up delivers value at every stage, from the developer through to the end user.”

LOOKING AHEAD

Ongoing growth will continue to underpin property values across the Sunshine Coast, even as the mix of uses in different locations evolves. New residential areas, including “mortgage belt” suburbs for first home buyers, are expected to generate their own retail and service hubs, creating micro-communities.

Paul Butler is optimistic the new framework brings clarity and will deliver momentum: “If approved, the new planning scheme will promote activity in the market. It gives people who want to develop real estate a clear target and the confidence to get priority projects that will shape the future of our region out of the ground,” he says.

Get in touch with our team on +617 5474 7600.

Offices in NOOSA | CALOUNDRA | MAROOCHYDORE

*Approx.