BOOST IN BRISBANE! HOUSING APPROVALS SKYROCKET DUE TO REFORM STRATEGIES
September proved to be quite the month for the Queensland capital. The city's housing development pipeline received a remarkable boost with the approval of over 1000 NEW HOMES!
According to the wise number crunchers at the Brisbane City Council, this influx marks the most significant development approval month in over a year. Talk about a housing high!
Yet, as we bask in this news, lurking in the shadows is the perennial question: amidst ongoing economic and construction hurdles, will all these new homes see the light of day?
Here's some figures to chew on:
- 1072 new homes got the nod in September 2023, nearly doubling the monthly average of the past year.
- Among these approvals, two mammoth projects account for over 80%! Yes, a whopping 884 new homes are courtesy of these two projects. Talk about major players!
- 186 Wickham Street, Fortitude Valley: Once a long-empty plot, this space will soon host 628 build-to-rent apartments. Plus, a cherry on top - some delightful ground-floor retail space, all thanks to Brisbane's very own Vita.
- 10-12 Cordelia Street, South Brisbane: Aria Property Group's got the green signal for a 30-storey marvel comprising 256 apartments, offering a delightful assortment from one to four bedrooms.
Now, let's hear it from the big guns! Brisbane Lord Mayor, Adrian Schrinner, highlighted that Brisbane is on a trajectory to be Australia's fastest-growing capital city, anticipating an influx of 400,000 residents by 2046. But, with growth comes challenges. The interplay of labour and supply chain shortages and our post-pandemic population boom has thrown a spanner in the housing supply works. To combat these challenges, the council has turned to some innovative solutions:
- Waiving infrastructure charges
- Relaxed height restrictions (let's reach for the sky!)
- Massive 75% reductions on build-to-rent and build-to-sell apartments' infrastructure charges
- The introduction of the Brisbane Sustainable Growth Plan, aiming to fast-track approvals, especially emphasizing build-to-rent homes. Because, let's face it, they're the need of the hour
Adam Allan, Brisbane Civic Cabinet chair for planning and suburban renewal, shared insights on tapping into under-utilized commercial and industrial properties to morph them into swanky housing and mixed-use precincts. Exciting times ahead!
But, as with all good things, there's a twist in the tale. Property analyst, Michael Matusik, dropped some truth bombs, suggesting that a lot more effort is required to bridge the gap between approvals and construction. Land banking by developers, out-of-town developers looking for quick profits, and misaligned approved product mixes are some factors adding to the complexity.
In terms of land subdivisions, data reveals that 59,000 lots had been approved by March 2023, but only 47% are operational. Matusik suggests that while higher-density living is touted as the solution, it might not be the magic fix everyone is hoping for.
With all the facts and figures laid out, Brisbane’s future seems to be a blend of exciting possibilities and challenges. But, as they say, it's always the journey that counts, and Brisbane's housing journey looks promising!
Here's to watching the skyline change and hoping for a harmonious blend of growth, sustainability, and community spirit!
Jeff Jordan # 0411 822 342
