Mixed-Use Area Development Control

Abstract

The significance of the ratio of the floor area to site area in determining the economics of competing land uses in city mixed-use areas has been investigated. Theoretical analysis leads to a simple rule which defines the conditions for equal opportunity for alternative types of development in a mixed-use area. This rule is that the floor area to site area ratio limit applied to each land use should be inversely proportional to the capitalised building cost per unit gross floor area of building. The validity of the rule is demonstrated by detailed economic assessments of building developments typical of home units, town houses, flat and small office developments in areas designated mixed use in the City of Melbourne.