In NSW the number of new houses needed is around 400,000 over the same period.
Our members have told us that the skills and housing crunch are intertwined, and that we must sort them both out to unlock potential in cities and the regions. We also need to provide quality housing for young families, essential workers of all types and for retirees.
For a number of years Business NSW Executive Director David Harding has been leading a team looking at an important initiative redefining public, private partnerships to help solve the housing shortfall crisis.
It is now starting to come to life, with broad support growing across the finance sector, and key stakeholders across government.
The concept consists of combining recognised commercial models with proven industrialised building (off-site manufacturing) and underwritten with the provision of government-owned land.
The approach is designed to attract the institutional investors capacity here in Australia to fund the development and operation of a new housing asset class at scale, that can provide greater certainty in delivery, at a higher quality, faster and more cost and carbon efficient than traditional means.
Working with key government agencies, a pilot project is being proposed to create the “test bed” conditions and investment “proof of concept” to refine both the commercial model, the development of a new housing asset class that can be delivered through new sovereign manufacturing capacity with large-scale application.
In support of this and other “missing middle” housing initiatives, our Housing Now! Team have been advocating for BNSW policy ideas such as AI planning assistance, which is now being rolled out in NSW.
The Quality Housing initiative will rely on high-quality designs that utilise advances from the industrialisation of building components, which will lead to:
- Faster delivery times
- Cost savings
- Improved quality
- Reductions in waste (human and material)
- Reduced carbon emissions
- Faster planning approvals
This approach is not looking to compete with the existing traditional players in the property and construction sector, but rather to supplement with sovereign manufacturing capacity, and technology that is fit for purpose, which can deliver value for money and is scalable.
Watch this space as a pilot project starts to come to life over the coming months!