Measures in the NSW Budget to help increase the rental supply in Greater Sydney and beyond were welcomed by the Property Council of Australia.
The changes introduced in the budget include the 50% land tax discount on build-to-rent developments remaining in place indefinitely as opposed to expiring in 2039 as originally planned.
“We’re particularly pleased to see long-term certainty for Build-to-rent, record funding for construction skills, continued support for Building Commission NSW – meeting our call for sustained investment to maintain momentum on quality, compliance and consumer confidence – and a new works-in-kind framework to guide developer-led state infrastructure,” Property Council of Australia NSW Exectuvive Director Katie Stevenson said.
Some of the other measures included in the Budget were A$145 million in recurrent funding for the Building Commission NSW, draft works-in-kind guidelines to support infrastructure delivery and housing feasibility and more.
The Property Council of Australia NSW Executive Director Katie Stevenson said the budget was a critical opportunity to make headway on the state's housing targets while boosting investor confidence and project viability.
“Everything we’ve heard so far suggests this Budget is focused on the fundamentals of delivery we’ve been calling for – making housing feasible, building the skilled workforce we need, and unblocking the infrastructure that unlocks new communities and economic growth,” Stevenson said.
She especially welcomes the government’s broader innovation packages focused on homes and precincts.
“The commitments of $20 million for an Emerging Technology Commercialisation to drive growth and productivity in key areas including Housing and Energy, and $4 million to promote new technologies and construction methods through the Housing Innovation Network and Innovation in Construction Fund are both positive steps that will help to drive investments in the future pipeline,” she said.
“$38.5 million in funding for Tech Central is also a significant move which resonates with the recommendations made by the Property Council in our Partnering Better roadmap, launched as part of our 2024 Precincts Festival.
Stevenson said the changes could be a positive step towards the coordinated action needed to meet the state’s housing supply goals under the National Housing Accord.
“Housing delivery continues to fall short of what’s needed to meet our National Housing Accord target of 377,000 new homes by 2029, so we’ll be looking for opportunities to work with government on measures to improve project feasibility – especially around infrastructure contributions, tax settings and approval timelines,” she said.
