UDIA National’s Post

NSW has a housing target requiring an average of 75,000 new homes a year for 5 years. At least 72,500 or 97% of those homes will have to be delivered by private providers. The $1 billion dollars in last nights Federal Budget to be given to state governments to support new housing developments is a step in the right direction. So too is the funding for important roads like Mamre Road in Western Sydney which is critical for the development of future employment lands close to where people live. A smaller share of GST for NSW, particularly while the state takes the lion share of new migration, however is a step in the wrong direction. This makes it harder to invest more in the infrastructure required to make creating homes more feasible and deliverable. Too much money is being used to subsidise a broken GST system that doesn’t reward efficiency in government and a commitment to improve economic productivity. We have a lot of work to do if we are going to deliver 75,000 new homes a year but I know UDIA NSW and its members are ready to collaborate with government to meet this challenge. Jacqueline Vozzo Gavin Melvin Chris Minns Daniel Mookhey Paul Scully Courtney Houssos Jo Haylen John Graham Steve Kamper Anoulack Chanthivong Kiersten Fishburn

🚧 𝐁𝐨𝐨𝐬𝐭𝐢𝐧𝐠 𝐇𝐨𝐮𝐬𝐢𝐧𝐠 𝐒𝐮𝐩𝐩𝐥𝐲: 𝐀 𝐒𝐭𝐞𝐩 𝐅𝐨𝐫𝐰𝐚𝐫𝐝 𝐟𝐨𝐫 𝐭𝐡𝐞 𝐂𝐨𝐧𝐬𝐭𝐫𝐮𝐜𝐭𝐢𝐨𝐧 𝐈𝐧𝐝𝐮𝐬𝐭𝐫𝐲 🚧 The Coalition recently proposed a $5 billion infrastructure package aimed at accelerating home building across Australia. Key Takeaways: 1️⃣ Infrastructure Investment: This funding directly addresses the bottlenecks that our builders face, enabling project delivery and ultimately increasing housing supply. 2️⃣ Stability in Regulations: The proposed pause on future changes to the National Construction Code (NCC) offers much-needed certainty, allowing builders to focus on delivering quality homes without the burden of constant regulatory changes. 3️⃣ Reducing Red Tape: By alleviating bureaucratic hurdles, we can enhance productivity sector, which is vital for meeting the growing demand for housing. While this announcement is just one step towards addressing Australia's significant housing shortages, it's a positive move towards making the dream of home ownership a reality for more Australians. 🤝 Housing Industry Association (HIA) #Construction #Housing #TrustInConstruction

⚡ Making sense of housing policy proposals: 1. More supply is needed to help housing values come down, but the residential construction sector is struggling to deliver housing with a reasonable profit margin. 2. The Federal Government's infrastructure funding towards supporting new housing developments, such as connection to water, sewage, and roads, should help reduce the cost burden on developers and kickstart shovel ready projects. 3. The Victorian Government is focusing on high-rise developments near metro hubs and offering a 12-month stamp duty concession for off-the-plan townhouses and units to increase supply. 4. High-density unit development in Melbourne may not be the right kind of supply for increasing home ownership, as unit values are still below record highs and may not lead to wealth creation for owners. 5. Both federal and state governments are focusing on enabling more housing supply, but they need to ensure the quality and feasibility of projects to attract buyers and avoid potential negative impacts on the market.

The government introduced a number of measures through the Levelling Up and Regeneration Act (LURA) 2023 to incentivise the prompt build-out of housing sites. These measures include: - Requirements to provide formal development commencement notices and annual development progress reports; - Refined powers for LPAs to serve completion notices; - New powers to allow LPAs to decline to determine applications made by developers who fail to build out at a reasonable rate where there have been earlier permissions granted on any land in the authority’s area. Further regulations are required to allow these measures to be fully commenced. Alongside these measures in the LURA, there are proposed changes to national policy including: publishing data on failed build-out commitments; requiring explanation on means of increasing tenure mix to maximise absorption rates and highlighting delivery rates as a material planning consideration in planning applications. On 25th April, DLUHC published an update indicating that there will be a consultation to test the practical implications of these measures. Furthermore, there is a suggestion that there will be a further consultation seeking views on a build out financial penalty to incentivise developers to build out homes more quickly. Improved data and monitoring will undoubtedly assist in strategic planning for housing need. However, applying blunt measures that fail to take account of the nuances and range of factors that influence housing delivery rates rather than tackling the root-cause and failings of the current planning system could be counter-productive. It will be essential that the development industry engages with the consultation when it goes live. 

The Prime Legacy of Global Powerhouse | Hon. Nick Champion, Premier SA Peter Malinauskas Rebecca Pickering Stephen Knight Will Frogley Bruce Djite Liam Golding—Pioneering a Vision for Sustainable Housing Development: A Strategic Roadmap Towards Tomorrow's Communities In the captivating era of housing development, a powerful wave of sustainability and resilience is sweeping across the globe, transcending boundaries and uniting nations in a shared vision of empowerment and prosperity. This transformative movement calls for empowering strategies and innovative solutions that address current challenges while empowering individuals and communities to build a sustainable future filled with promise and opportunity. The global imperative of sustainability and resilience in housing development empowers nations to envision a future of empowerment and growth. A resounding call to action echoes the need for empowering strategies that inspire and uplift communities towards a brighter tomorrow. The unveiling of the Housing Roadmap in South Australia, led by Minister Nick Champion and Peter Malinauskas, marks a significant milestone in empowering communities through sustainable housing development. The urgent global imperative of sustainability and resilience in housing development is driving nations towards a unified vision for a sustainable future. This vision serves as a clarion call to action, urging stakeholders to innovate, strategize, and pioneer solutions that will shape a sustainable tomorrow. Leaders in the field, such as Minister Nick Champion of South Australia, are at the forefront of this movement, unveiling groundbreaking initiatives like the Housing Roadmap that set the stage for transformative change. The Housing Roadmap in South Australia, guided by Minister Nick Champion and Peter Malinauskas, represents a strategic blueprint for achieving sustainable housing excellence by outlining key initiatives and actionable steps to steer the housing sector towards a more sustainable and resilient future. By embracing innovative technologies, sustainable building practices, and community engagement, this roadmap sets a new standard for housing development that prioritizes environmental stewardship, social responsibility, and strategic planning to ensure the availability of homes and prosperity for future generations. #Southaustralia #salutation #housingdevelopment #housingroadmap

PLANNING REFORM: So Victorian State Govt announced housing targets for Councils are under consideration. WHY? The Govt's falling well short of its target of 80k new homes pa. Only 54k in 2023, 52k forecast for 2024 and 55k for 2025. Not even enough to meet population growth, let alone tackle the shortage! WILL IT WORK? Not Likely. While some Councils have shown NIMBY like behaviour in refusing applications, there are way more approvals than commencements. The Govt needs to tackle high construction costs-labour and materials. No sane private developer will build high scale high rise in Broadmeadows or Epping when the constructions costs are greater than the price you can sell the apartments for! And surely we all know that a broader infrastructure contribution charge just makes housing more expensive for buyers! https://lnkd.in/grUz6QsT

New Zealand is set to implement regulatory changes aimed at boosting home construction to address the nation's housing shortage. Read More- https://lnkd.in/gzst_Dcd #NZHousingCrisis #AffordableHousingNZ #NewZealandRealEstate #HomeConstruction #HousingMarketReform #SustainableHousing #GreenBuildingNZ #HousingForAll 

The latest Programme for Government's housing commitments have been met with criticism from industry leaders. Mark Spence of the Construction Employers Federation (CEF) has pointed out that while the plan's goals are commendable, they “fall drastically short” of what’s needed to address Northern Ireland’s housing crisis. With 𝐡𝐨𝐮𝐬𝐢𝐧𝐠 𝐜𝐨𝐦𝐩𝐥𝐞𝐭𝐢𝐨𝐧𝐬 𝐚𝐭 𝐚 𝟔𝟎-𝐲𝐞𝐚𝐫 𝐥𝐨𝐰, Spence emphasizes that fundamental reform is necessary to overcome major barriers to homebuilding. 𝐓𝐡𝐞 𝐜𝐮𝐫𝐫𝐞𝐧𝐭 𝐩𝐥𝐚𝐧 𝐥𝐚𝐜𝐤𝐬 𝐭𝐡𝐞 𝐢𝐦𝐦𝐞𝐝𝐢𝐚𝐭𝐞, 𝐚𝐜𝐭𝐢𝐨𝐧𝐚𝐛𝐥𝐞 𝐬𝐭𝐞𝐩𝐬 𝐫𝐞𝐪𝐮𝐢𝐫𝐞𝐝 𝐭𝐨 𝐦𝐚𝐤𝐞 𝐚 𝐬𝐮𝐛𝐬𝐭𝐚𝐧𝐭𝐢𝐚𝐥 𝐢𝐦𝐩𝐚𝐜𝐭. With calls for increased borrowing flexibility and potential new approaches to funding, the current budget and financial strategy appear insufficient. 𝐓𝐡𝐞 𝐩𝐚𝐭𝐡 𝐚𝐡𝐞𝐚𝐝 𝐢𝐬 𝐟𝐫𝐚𝐮𝐠𝐡𝐭 𝐰𝐢𝐭𝐡 𝐜𝐡𝐚𝐥𝐥𝐞𝐧𝐠𝐞𝐬, 𝐛𝐮𝐭 𝐚𝐝𝐝𝐫𝐞𝐬𝐬𝐢𝐧𝐠 𝐭𝐡𝐞𝐬𝐞 𝐜𝐫𝐢𝐭𝐢𝐜𝐚𝐥 𝐢𝐬𝐬𝐮𝐞𝐬 𝐰𝐢𝐭𝐡 𝐚𝐜𝐭𝐢𝐨𝐧𝐚𝐛𝐥𝐞 𝐬𝐭𝐫𝐚𝐭𝐞𝐠𝐢𝐞𝐬 𝐚𝐧𝐝 𝐬𝐮𝐟𝐟𝐢𝐜𝐢𝐞𝐧𝐭 𝐟𝐮𝐧𝐝𝐢𝐧𝐠 𝐰𝐢𝐥𝐥 𝐛𝐞 𝐜𝐫𝐮𝐜𝐢𝐚𝐥 𝐢𝐧 𝐭𝐫𝐚𝐧𝐬𝐟𝐨𝐫𝐦𝐢𝐧𝐠 𝐍𝐨𝐫𝐭𝐡𝐞𝐫𝐧 𝐈𝐫𝐞𝐥𝐚𝐧𝐝’𝐬 𝐡𝐨𝐮𝐬𝐢𝐧𝐠 𝐥𝐚𝐧𝐝𝐬𝐜𝐚𝐩𝐞. #HousingCrisis #NorthernIreland #HousingPolicy #Construction #UKHousing

Given the housing supply crisis we are in here in NSW it’s good to see Chris Minns exploring more options. The biggest constraint on housing is feasibility. Developers won’t build homes if they will lose money and the private sector needs to build 97% of our housing stock. Improving the time spent in the planning system can improve feasibility. Holding costs have to be factored into any development so the faster projects move through the whole planning system (not just to DA approval but to actually completion) the less costs have to be passed on to home buyers. The real challenge for the NSW Government is to recognise where the more feasible projects are and invest to bring these on faster. While policies to improve density are important, in the current economic environment greenfield development will need to do more of the heavy lifting. If it doesn’t we will just keep falling behind our housing accord targets.

Affordable housing starts in London have dropped by 88% year-on-year, according to the latest data from the Ministry of Housing, Communities and Local Government. Affordable housing starts in London dropped to 3,156 in the 2023-24 financial year, down from 26,386 starts the year prior. In addition, affordable housing starts in England fell by almost two fifths (39%) in the same period, from 71,771 in 2022-23 to 43,439 in 2023-24.   Mohammed Parekh, founder and managing director at MRP Premier Group, comments: “This data from the Ministry of Housing, Communities and Local Government is a stark reminder of the challenges facing the affordable housing sector, especially in London. Several market factors are slowing down the delivery of much-needed affordable housing.   With construction costs still being expensive compared to before and finance costs and land values both still high, the viability of affordable housing schemes is still causing major issues for both the private and public sector."   You can read the full article from Ciaran Nerval in Property Week below https://lnkd.in/emXSxb_K