Depth coding in 3D-HEVC for the multiview video plus depth (MVD) architecture (i) deforms object shapes due to block-level edge-approximation; (ii) misses an opportunity for high compressibility at near-lossless quality by failing to exploit strong homogeneity (clustering tendency) in depth syntax, motion vector components, and residuals at frame-level; and (iii) restricts interactivity and limits responsiveness of independent use of depth information for non-viewing applications due to texture-depth coding dependency. This paper presents a standalone depth sequence coder, which operates in the lossless to near-lossless quality range while compressing depth data superior to lossy 3D-HEVC. It preserves edges implicitly by limiting quantisation to the spatial-domain and exploits clustering tendency efficiently at frame-level with a novel binary tree based decomposition (BTBD) technique. For mono-view coding of standard MVD test sequences, on average, (i) lossless BTBD achieved $times 42.2$ compression-ratio and $-60.0%$ coding gain against the pseudo-lossless 3D-HEVC, using the lowest quantisation parameter $QP = 1$, and (ii) near-lossless BTBD achieved $-79.4%$ and $6.98$ dB Bj{o}ntegaard delta bitrate (BD-BR) and distortion (BD-PSNR), respectively, against 3D-HEVC. In view-synthesis applications, decoded depth maps from BTBD rendered superior quality synthetic-views, compared to 3D-HEVC, with $-18.9%$ depth BD-BR and $0.43$ dB synthetic-texture BD-PSNR on average.
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