What Is a Heritage Impact Statement — And Why Does It Matter?

When developing or altering a heritage-listed place in Victoria, a Heritage Impact Statement (HIS) isn’t just a box-ticking exercise — it’s a critical planning document that demonstrates whether and how your proposal will affect the cultural heritage significance of the site.

At HUECO Heritage & Urban Economics, we prepare HIS reports that meet and exceed statutory requirements while supporting economically viable, adaptive reuse outcomes for heritage places.


We recognise that our homes and neighbourhoods are not museums — they must evolve to support the contemporary needs of people and families. A well-considered HIS helps ensure that change is sympathetic to heritage values while enabling places to remain liveable, functional and relevant.

What Is a Heritage Impact Statement?

A Heritage Impact Statement is a detailed report that:

  • Assesses the impact of proposed works on a place listed in the Victorian Heritage Register (VHR)
  • Explains how cultural significance has been considered
  • Justifies why the proposed option was chosen
  • Recommends measures to avoid, minimise, or mitigate adverse impacts

It is a key requirement under the Heritage Act 2017 for most permit applications involving a registered place or object.

When Is an HIS Required?

You’ll typically need an HIS if you are:

  • Making a permit application (s93 of the Heritage Act)
  • Applying to amend a permit (s105)
  • Seeking an exemption (s92), particularly for new buildings or significant alterations
  • Proposing a subdivision of a heritage place

We recommend incorporating the HIS early in your concept planning stage — not as a last-minute add-on — so it can actively shape a more successful and approvable proposal.

What Should a Heritage Impact Statement Include?

A complete and compliant HIS must address:

1. Cultural Significance

  • What makes the site important?
  • How does this significance relate to buildings, setting, use, or fabric?

2. Description of the Proposal

  • Full scope of works (with drawings, plans, staging details)
  • Timing, extent, and relationship to other activities

3. Options Considered

  • Have less intrusive or more sympathetic alternatives been explored?
  • Why was the proposed approach chosen?

4. Impact Assessment (s101(2)(a))

  • What will be the effect of the works on the place’s heritage value?
  • Positive and negative impacts must be detailed

5. Economic or Reasonable Use Justification (s101(2)(b))

  • If negative impacts are unavoidable, what is the case for permitting them?
  • How would refusal affect the site’s viable use or function?

6. Mitigation Measures

  • What safeguards will be put in place?
  • Conservation, documentation, interpretation, or design modifications

7. Cumulative and Contextual Impacts

  • How does your proposal relate to other nearby heritage places?
  • Could the impact compound with other projects?

Why the Detail Matters

Heritage Victoria requires the HIS to be evidence-based, site-specific, and clearly reasoned. Vague generalisations or motherhood statements won’t pass muster. The report must demonstrate a deep understanding of the site’s heritage values and a transparent logic behind any intervention.

Our Approach

At HUECO, we combine heritage expertise with urban economics and development strategy. Our HIS reports are tailored to:

  • Unlock economically feasible options
  • Address Section 101(2)(b) with professional financial modelling
  • Align with conservation best practice
  • Support meaningful engagement with Heritage Victoria and councils

We also advise on project staging, adaptive reuse, and integrating your HIS into broader planning approvals.

Get It Right the First Time

Poorly prepared Heritage Impact Statements lead to delays, rejections, or burdensome permit conditions. A robust, strategically framed HIS is not just a requirement — it’s a tool that strengthens your application and reduces risk.

Planning a development on a heritage-registered site?
Contact HUECO for expert advice and compliant, outcome-focused Heritage Impact Statements.