I live a 3-minutes walk from a busy train station in Switzerland and I don't even hear the trains. I also happened to live just next to it (my windows facing the rails) and that was horrible. So it's just a matter of some space and noise barriers.
And guess what's often hotly contested. Noise barriers tend to draw complaints because they ruin the sightline, are either ugly from the start or end up being "decorated" not by good art but quick throw tags. And landlords are often too much penny-pinchers to install decent windows unless you legally require them to, which is often impossible for already constructed buildings. The landlords don't have to live with the noise after all, and in overheated housing markets people are forced to live in what they can get.
It'd suck less if it felt like E.G. noise and environmental pollution ordinances were ever enforced. (Break up those parties and stop people from doing trash burns / crappy fires during burn bans which are pretty much always...)
* Clear and concise approvals process
* No more NIMBY BS
* Impact based assessment (similar to Japans)
* Possibly goals to encourage desired types of use (but not hard LIMIT beyond disallowed!)
If you allow anyone to build (aka if you let people build on their land even if they're next to houses), you create space for quality differentiation in the market.
Note: land use code and building code are almost always different parts of law. You can simply delete land use code without having any impact on building quality.