Top mistakes developers make when designing townhouses – and how to avoid them

Townhouses are one of the most in-demand housing types in Brisbane right now. They strike the right balance between density and liveability, and they suit a wide range of buyers, from downsizers and young families to investors looking for dual income.

But while the opportunity is strong, the reality is that many townhouse projects underperform, either due to design issues, planning delays, or poor market alignment. As an architect working closely with developers across Brisbane, I see a few common patterns that can make or break a project.

Here are the top mistakes I see when it comes to townhouse design, and how to avoid them.

Recent townhouses in Wooloowin designed by George Kouparitsas Architects

 1. Prioritising yield over liveability

Yes, townhouse projects need to stack up financially. But cramming too many units onto a site can backfire. Overdevelopment often leads to poor internal layouts, inadequate privacy, and compromised outdoor space, all of which can turn buyers (and Council) off.

Recent townhouses in Wooloowin designed by George Kouparitsas Architects

The fix:
Focus on optimising yield rather than maximising it. That means designing for natural light, smart circulation, and flexible living spaces. Sometimes one fewer dwelling results in a faster approval, higher valuation, and a better return overall.

 2. Ignoring the site’s context

Each site has its own opportunities and constraints – slope, shape, orientation, neighbour impacts, and overlays. Too often I see designs that feel like cut-and-paste templates, rather than responses to the actual site.

The fix:
A good design starts with a thorough understanding of the site’s potential and limitations. This includes early collaboration with surveyors, planners, and engineers, not just architects. In Brisbane, context-sensitive design is especially important for approvals.

 3. Misjudging what the market wants

It is easy to assume that more bedrooms equals more value, but that is not always true. Buyers care about natural light, quality finishes, low maintenance, and functionality – not just floor area.

The fix:
Research the area. What are local buyers looking for? What price point are they targeting? What is missing from existing stock? Sometimes two well-designed 2-bed townhouses will sell faster and for more than three cramped 3-bed layouts.

Recent townhouses in Wooloowin designed by George Kouparitsas Architects

 4. Underestimating Council assessment triggers

In Brisbane, getting the town planning side wrong can cost you months. Common pitfalls include exceeding height or site cover limits, overlooking boundary setbacks, or triggering impact assessment due to overlays.

The fix:
Work with a good town planner from the start. We regularly partner with Murray Bell Planning Co – they give practical, upfront advice that helps us design to the planning scheme while still delivering a great product. Avoid assumptions. Know your codes.

 5. Designing without the builder in mind

Beautiful concept plans that are hard or expensive to build can quickly erode your profit margin. We often see design decisions that look great on paper but cause headaches during construction.

The fix:
Think through construction logistics early. How will the builder access the rear dwellings? Are materials being specified with cost and availability in mind? We design townhouses with buildability and staging in mind so you avoid surprises during tender or build.

 6. Forgetting the ‘little things’ that sell homes

Details matter. Storage, laundry location, sightlines from living to outdoor areas, window placement, bin storage – all these can make the difference between a buyer feeling good or feeling cramped.

The fix:
Put yourself in the shoes of the end user. Walk through the plan like you’re living there. We also use sunlight studies and 3D modelling to pick up issues before construction begins.

 Final thoughts

Townhouse developments can absolutely be profitable. But the best results come from thoughtful, context-aware, and buyer-focused design. Avoiding these common missteps can save you time, money and stress, and help you deliver a product that genuinely adds value to the neighbourhood.

If you are planning a townhouse project in Brisbane, I am always happy to offer a clear-headed look at the site, the risks, and what is possible with good design and a solid team.

Want to see how we have approached townhouse design on challenging Brisbane sites? Reach out to me for more.