The Gold Coast economy has grown by 25 per cent since 2020/21 to surpass $55 billion, but perhaps the more significant story is what sits behind the headline number.

For decades, the Gold Coast has been viewed through the lens of tourism, lifestyle and population growth. The latest State of the City Report suggests that perception is increasingly out of step with reality.

Released by Invest Gold Coast, the report ranks the Gold Coast as Australia's largest non-capital city economy and, perhaps more notably, second nationally behind Sydney for Economic Complexity, a measure that assesses the diversity and sophistication of an economy.

It's a result that places the Gold Coast ahead of Melbourne, Brisbane, Perth and Adelaide, highlighting the extent to which the city's economic base has broadened beyond its traditional industries.

Today, the Gold Coast supports more than 350,000 jobs, is home to over 83,000 businesses and generates $19 billion in annual exports. Manufacturing now accounts for 62 per cent of international export growth, while sectors including health, education, advanced manufacturing, technology and professional services are becoming increasingly important contributors to the local economy.

[smartcode_project:default project_id=150017 project_image_fid=372547]

Gold Coast Mayor Tom Tate said the report confirmed the city's evolution into one of Australia's most significant economies.

"The Gold Coast economy continues to grow at an incredible pace. This is no surprise to those of us who have watched the evolution up close," Mayor Tate said.

"As one of the most entrepreneurial, investment driven and opportunity focused economies in the country our ambition has been realised and possibilities are endless.

"The Gold Coast has built a reputation as the city that says yes. We say yes to investment, yes to opportunity and yes to people who want to build something.

"It's this mindset helping us drive major growth across health, advanced manufacturing, screen production, marine, technology and the knowledge economy."

[smartcode_project:default project_id=149670 project_image_fid=360975]

While population growth has been one of the defining stories of the past decade, the report points to a broader economic transformation taking place.

The city's knowledge economy now contributes $7.9 billion annually and supports around 31,000 jobs, while the health and wellbeing sector contributes $5.2 billion and employs more than 42,000 people. Together, the six priority sectors identified in the report account for almost $24 billion in economic output and more than 145,000 jobs.

One of the strongest examples is the Gold Coast Health and Knowledge Precinct at Southport. The 200-hectare precinct now contains more than $5 billion worth of health, education, research and innovation infrastructure and supports over 16,000 jobs.

The report also highlights the growing role of advanced manufacturing, particularly in aerospace, defence and modular construction.

Gold Coast-based Gilmour Space Technologies recently became the first Australian commercial company to attempt an orbital launch, while companies including Modscape and ModnPods are helping establish the Yatala-Stapylton corridor as one of Australia's fastest-growing advanced manufacturing hubs.

The city's entrepreneurial culture is also translating into business growth.

Since 2019/20, the number of businesses operating on the Gold Coast has increased by 22 per cent, while firms employing more than 200 people have grown by 80 per cent. The report suggests the next challenge is converting more local start-ups and medium-sized businesses into nationally significant companies.

Development activity remains another key indicator of confidence.

There are currently more than $23 billion worth of major projects underway across the Gold Coast, supported by a record 75 active cranes, a figure that now exceeds Brisbane and represents a 150 per cent increase since 2016.

[smartcode_project:default project_id=112024 project_image_fid=343235]

Importantly, the report notes the next phase of investment will need to extend beyond residential development.

While 93 per cent of crane activity is currently tied to housing, Invest Gold Coast argues future investment will increasingly need to focus on cultural, civic, infrastructure and industry-enabling projects that strengthen the city's long-term economic resilience.

Invest Gold Coast Chair Will Hodgman said the city was now benefiting from years of economic diversification.

"What is happening on the Gold Coast is the result of the city's economic base broadening, fuelled by industries with long-term, high-growth potential," Mr Hodgman said.

"This is no longer a secondary Australian economy, the Gold Coast is becoming a globally connected city with deeper capability across health, knowledge and creative industries, advanced manufacturing, technology and exports."

[smartcode_project:default project_id=108274 project_image_fid=365786]

Looking ahead, the Gold Coast's population is projected to exceed one million residents by 2046.

For a city that was once largely defined by tourism and lifestyle, the latest figures suggest the Gold Coast is becoming something more significant, one of Australia's most diverse and economically sophisticated urban economies, and increasingly one that national and international investors can no longer afford to overlook.

Joel Robinson

75 cranes, $23 billion pipeline and a $55 billion economy: Inside the Gold Coast economic boom

Ron Bakir's Homecorp has sold more than 75 per cent of the apartments in its wellness-driven Florence Residences in Surfers Paradise following its first weekend release.

The <a href="https://www.apartments.com.au/new-apartments/florence-residences-24-monte-carlo-avenue-surfers-paradise-qld-4217">26-storey project on Monte Carlo Avenue</a>, which commenced construction earlier this year, has seen a flurry of buyers secure their slice of the Gold Coast's latest wellbeing-focused offering in one of the nation's most competitive property markets.

Since the pandemic, the Gold Coast's population has grown by more than 11 per cent, a rate approximately four times faster than Sydney's, driven largely by lifestyle changes and interstate migration. While buyer activity has moderated in some markets nationally, demand for newly built dwellings on the Gold Coast continues to gain momentum as purchasers increasingly prioritise lifestyle, amenity, wellbeing, liveability and long-term investment potential.

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[smartcode_project:default project_id=150414 project_image_fid=372743]

Homecorp CEO Ron Bakir says buyers today are looking for more than just a home.

"What we are seeing is a shift in how people define value in property," Bakir says.

"What attracts residents to new developments is a desire for more than just a residence. They are looking for a place that complements their lifestyle, supports their wellbeing and reflects the way they want to live into the future.

"Lifestyle, longevity, proactive health, wellbeing, connection and a sense of community are increasingly shaping purchasing decisions, particularly on the Gold Coast, where these factors continue to be a major drawcard."

[smartcode_project:default project_id=150414 project_image_fid=372744]

Bakir says Homecorp is responding to this shift through an approach that places greater emphasis on design, amenity and experience working together to create places that feel considered, connected and enduring in value.

Inspired by Eastern European design, Florence Residences will comprise 120 apartments alongside a private residents-only wellness club featuring a resort-style rooftop pool, hot and cold plunge pools, a spa retreat, contemporary gymnasium, and a spacious yoga and Pilates studio.

The development will also feature a residents-only lounge with private dining facilities and a rooftop bar, premium outdoor entertaining areas, a hotel-style lobby lounge, generous bike parking, and pet-friendly amenities including a heated dog wash.

[smartcode_project:default project_id=150414 project_image_fid=372742]

A limited number of apartments remain available, with an exclusive collection of four-bedroom sub-penthouses set to be released in the coming months.

Florence is one of the latest additions to Homecorp's expanding multi-billion-dollar property portfolio, which also includes plans for a <a href="https://www.apartments.com.au/news/qld/homecorp-lodges-plans-for-260-million-moroccan-bathhouse-inspired-tower-in-budds-beach">$260 million development in Budds Beach</a> tailored to the growing wellness market.

A development application has been lodged for a 27-storey, 156-residence tower at 8–10 Acacia Avenue and 25–27 Oak Avenue, featuring a residents-only Moroccan spa-inspired sanctuary.

Apartments at Florence Residences are priced from $1,249,000, with construction expected to be completed by late 2027.

[smartcode_project_cta:default project_id=150414]

Buyers rush to Homecorp's Florence Residences as Gold Coast wellness trend gains momentum

The NSW Government has expanded its $1 billion Pre-sale Finance Guarantee program, broadening access for affordable housing providers and smaller residential developments as it seeks to accelerate housing delivery across the state.

The Minns Government says the program has already helped bring forward more than 600 homes across Sydney and regional NSW since launching in September 2025, with similar models now adopted in South Australia and Western Australia.

The latest changes, announced by Treasurer Daniel Mookhey and Minister for Planning and Public Spaces Paul Scully, are designed to improve access to finance for projects that have planning approval but are struggling to secure funding.

Among the key changes is an expansion of support for community housing providers. The program will now support up to 100 per cent affordable housing projects valued at up to $30 million when delivered by not-for-profit providers, while support for larger affordable housing developments will increase for projects worth up to $80 million.

The government says the changes will help accelerate the delivery of housing for low-income workers, older people, people living with disability, and those at risk of homelessness, while reducing reliance on direct grants or subsidised loans to bridge funding gaps.

The eligibility criteria for smaller residential developments have also been broadened. The previous $5 million minimum project value threshold has been removed and replaced with a requirement that projects deliver at least four homes.

Support has also increased for projects delivering fewer than 20 homes, with the guarantee now able to cover up to 75 per cent of dwellings in a development, capped at $30 million per project.

The changes are expected to particularly benefit smaller-scale and regional developments, which often face greater challenges meeting pre-sale requirements imposed by lenders.

Treasurer Daniel Mookhey said the scheme demonstrates how government can use its balance sheet to stimulate housing supply without relying solely on taxpayer-funded grants.

"The Pre-sale Finance Guarantee shows how this Government is using its balance sheet to reduce risk and unlock private investment, enabling new homes to move from design to construction faster," Mookhey said.

"This landmark reform allows us to deliver homes for working families at a lower cost to taxpayers, while also maintaining strong financial discipline."

Planning Minister Paul Scully said the program had already proven effective in bringing stalled projects to market.

"The Pre-sale Finance Guarantee has already proven it can unlock stalled projects and accelerate housing delivery by giving lenders the confidence they need to back good developments," Scully said.

"These changes will allow more affordable housing and smaller developments to access support so more homes can be built faster where communities need them most."

Housing Minister Rose Jackson said the expansion would help community housing providers overcome financing barriers that often delay projects.

"We know community housing providers are ready to build more homes, too often they're held back by barriers to finance," Jackson said.

"Expanding the Pre-sale Finance Guarantee helps remove those barriers so more affordable homes can get off the ground sooner."

The announcement was welcomed by the Property Council of Australia, which has long advocated for measures aimed at improving project feasibility and access to finance.

Property Council NSW Executive Director Katie Stevenson described the expansion as a practical intervention that addresses one of the most immediate constraints on housing delivery.

"This is exactly the kind of practical intervention we need right now, focused on getting projects out of the ground, not just approved," Stevenson said.

"It builds on a model the Property Council has worked closely with government to develop following calls for such a scheme ahead of last year's NSW Budget, so it's great to see it being expanded."

Stevenson said the reforms would help unlock projects that are ready to proceed but have been delayed by financing challenges. However, she noted that broader feasibility issues remain a significant barrier to increasing housing supply.

"The biggest challenge in NSW housing today is delivery. Too many projects have planning approval but are simply not financially viable to proceed under current settings," she said.

Speaking at the Property Council's NSW Housing Summit, Housing Minister Rose Jackson acknowledged that feasibility and financing pressures continue to constrain housing delivery, while reaffirming the government's commitment to work with industry on solutions.

Stevenson said the government's recognition of those challenges was encouraging ahead of next week's state budget.

"It's positive to see the government clearly recognising that feasibility pressures are now a binding constraint on supply," she said.

"With the Budget just days away, the focus must be on backing delivery, making sure projects stack up, finance can flow, and more homes can move from approval to construction."

The expanded Pre-sale Finance Guarantee forms part of the NSW Government's broader housing agenda, which also includes planning reforms, the NSW Housing Pattern Book, and a series of rezonings intended to increase housing capacity across the state.

NSW expands Pre-sale Finance Guarantee to unlock more affordable and regional housing

Design-led developer-builder Lowe Living has unveiled its latest residential development, Jardin House, marking its first foray into Melbourne's blue-chip City of Boroondara.

Located a short walk from Camberwell Junction, <a href="https://www.apartments.com.au/new-apartments/jardin-house-by-lowe-living-camberwell-335-camberwell-road-camberwell-vic-3124">Jardin House</a> has been designed to appeal to affluent local downsizers and established families seeking a low-maintenance alternative to the large homes that have long defined Camberwell and surrounding suburbs.

The project will comprise a collection of two and three-bedroom apartments ranging from 92 sqm to 280 sqm, alongside a limited number of penthouse residences featuring rooftop terraces spanning more than 100 sqm, with optional private pools.

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Lowe Living Co-Founder and Managing Director Tim Lowe said Camberwell represented a natural next step for the developer as it expands into some of Melbourne's most tightly held residential markets.

"Jardin House is an important project for our team as it marks the next evolution of our portfolio into different well-established blue-chip pockets of Melbourne," Lowe said.

"Camberwell, with its incredible walkability, family-led neighbourhood feel and superb access to education and transport, makes it a natural choice for us."

[smartcode_project:default project_id=146717 project_image_fid=372227]

Designed by Tristan Wong Architects, with interiors by Hecker Guthrie and landscaping by Acre, the development takes inspiration from the Art Deco architecture that remains a defining feature of many of Camberwell's established streets.

A curved facade, arched openings, textured brickwork and sculpted forms reference the suburb's architectural heritage, while extensive landscaping softens the building's presence and creates a strong connection to the surrounding tree-lined streetscape.

The project will be set behind a secure gated entrance, with residents arriving through landscaped gardens designed to create a transition between the public realm and private residences.

Inside, the residences feature natural stone and timber finishes, full-height glazing, Miele appliances and generous open-plan living areas designed for long-term owner occupation.

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While the apartments themselves have been designed to attract discerning owner-occupiers, it is the amenity offering that sets Jardin House apart from many other boutique projects currently launching across Melbourne.

The centrepiece is a 350 sqm private bathhouse curated in partnership with Aurora Spa &amp; Bathhouse founder Lyndall Mitchell.

The wellness precinct includes mineral pools, hydrotherapy experiences, a Himalayan salt room, sauna, steam room, cold plunge pools and dedicated relaxation spaces, creating what Lowe Living describes as a private wellness retreat exclusively for residents.

[smartcode_project:default project_id=146717 project_image_fid=372222]

The collaboration follows Lowe Living's recent partnership with Aurora at Maison Savoy in Brighton, although Jardin House is the first project to incorporate both indoor and outdoor wellness experiences.

Emma Lowe, Co-Founder and Managing Director of Lowe Living, said wellness was becoming an increasingly important consideration for apartment buyers.

"Collaborating with Lyndall Mitchell from Aurora Spa &amp; Bathhouse for a second time is an intentional nod to creating residences that are more than just homes, but a way to enrich the lives of our residents through wellness and longevity," Lowe said.

The amenity offering is complemented by a Technogym fitness studio, residents' lounge, private dining spaces and concierge services.

The launch comes as developers increasingly target Melbourne's established eastern suburbs, where rising land values, ageing housing stock and growing downsizer demand are creating opportunities for boutique apartment projects.

Lowe said the company expects significant generational wealth transfer across suburbs such as Camberwell in coming years, creating further demand for luxury apartment living.

"Camberwell is a blue-chip suburb where homes regularly transact for multiple millions of dollars," he said.

"The generational change of wealth in these locations expected in the coming years is significant, so we see an opportunity to create exclusive residences that appeal to older families and downsizers in order to meet this demand."

Apartments at Jardin house start from $1,195,000. The project forms part of Lowe Living's near-$1 billion portfolio of new developments across Melbourne.

[smartcode_project_cta:default project_id=146717]

Lowe Living launches Jardin House in Camberwell

As <a href="https://www.apartments.com.au/developments/north-sydney-nsw-2060">North Sydney</a> continues its transition from a commercial centre into a more layered residential and lifestyle precinct, a new generation of apartment developments is reshaping expectations around scale, amenity, and long-term liveability.

Improved transport connections through the Victoria Cross Metro, continued investment in dining and public spaces, and a constrained supply of new luxury apartments have sharpened demand for homes that combine proximity to the CBD with the privacy and outlook traditionally associated with harbourside houses.

At 177 Walker Street, <a href="https://www.apartments.com.au/developers/aland">ALAND</a>’s new apartment development <a href="https://www.apartments.com.au/new-apartments/the-walden-north-sydney-177-walker-street-north-sydney-nsw-2060">The Walden</a> enters the market with a distinctly residential approach to high-rise living. The 30-level tower will deliver 161 residences, ranging from one-bedroom apartments through to sub-penthouses and a full-floor penthouse, all oriented to capture uninterrupted views across Sydney Harbour, the Opera House, and out toward the Pacific Ocean.

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Designed by <a href="https://www.apartments.com.au/architects/rothelowman">Rothelowman</a>, the project takes advantage of the site’s natural topography and elevated position above the harbour. Rather than relying on density alone, the architecture focuses on outlook, orientation, and spatial flow, with every apartment occupying a corner position to maximise natural light and cross ventilation.

Rothelowman says the site itself shaped much of the architectural response.

“The site has a long history in terms of its inevitable transformation and when we came in, we took inspiration from the idea of reestablishing a sense of the site’s natural terrain and fall. Our scheme aims to integrate with the terrain and the landscape, using the undulating site to slowly reveal glimpses and views of the harbour. The rotation of the tower off grid means every apartment has a view and is naturally cross ventilated. The building's colour palette is quintessentially Sydney, with bronze and sandstone and a luminescent green colour in the glass, making it very earthy and grounded in its location.”

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Inside the residences, the emphasis moves toward larger-format living typically associated with standalone homes. Kitchens sit at the centre of the apartments, connecting directly to open-plan dining and living areas before extending outward into expansive winter gardens and balconies. Calacatta marble, bespoke joinery, integrated appliances, and custom metal detailing are used throughout, while three distinct interior palettes, Terrace, Opera, and Harbour, allow buyers to personalise the spaces without compromising the architectural consistency of the project.

The larger residences place particular attention on separation between entertaining and private zones. In many apartments, master suites occupy the outer corners of the floorplates, allowing bedrooms to benefit from floor-to-ceiling glazing and harbour outlooks independent of the living spaces. Dressing rooms and ensuites continue the material palette through fluted detailing, freestanding baths, and layered stone finishes.

Rothelowman says the design intent centred on creating homes that feel enduring rather than transient.

“Our philosophy is all about the way people live in these spaces, and we wanted to create homes that reflect the quality of life in this unique Sydney location. The apartments showcase expansive living spaces that are generous, sophisticated, and bold, with the ability to connect with views throughout each apartment.”

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A separate four-storey amenity building known as The Pavilion expands the residential offering beyond the apartments themselves. Positioned alongside the tower, the building consolidates wellness, recreation, and social spaces into a dedicated resident retreat. Facilities include a 20-metre rooftop pool and sundeck, sauna, spa, ice bath, wellness studio, gymnasium, concierge service, wine cellar, residents’ lounge, private dining spaces, and dedicated co-working areas with meeting rooms and boardroom facilities.

The amenity mix reflects the buyer profile emerging in North Sydney, where owner-occupiers and downsizers are increasingly prioritising convenience, apartment scale, and long-term usability over purely investment-driven decisions.

The Walden also represents a significant milestone for ALAND, marking the company’s first major move into Sydney’s inner-city luxury apartment market after more than two decades delivering large-scale residential communities across Greater Sydney. Founder Andrew Hrsto says the Walker Street site stood apart because of both its positioning and its rarity.

[smartcode_project:default project_id=134323 project_image_fid=6390]

“As a company, we had been searching for a site in one of Sydney’s blue-chip locations, spanning the Eastern Suburbs, the Sydney CBD and the North Shore, and when we had the opportunity to purchase this site, we immediately recognised that it could be something iconic.”

At launch, The Walden recorded more than $103 million in sales, with buyers drawn to the project’s harbour positioning, apartment scale, and proximity to the Metro, which now connects North Sydney to Barangaroo in three minutes and Martin Place in five.

ALAND has commenced construction, and is expecting a completion date in 2028.

[smartcode_project_cta:default project_id=134323]

The Walden pairs house-scale living with North Sydney connectivity

Home Affordability

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With each property development we manage, we'll fine tune the process so that on the next one, we'll do something a little differently to improve the results. 
After completing over 80 developments, our process has become pretty refined. But there is always something we can improve on. 
Sometimes they are just small tweaks that can make a massive difference. This particular example I'll share with you shaved literally a month off the planning process.
At Property Bloom we work across a number of different councils and each council has their own way of looking at and processing a Development Application (DA). It can be easy to make assumptions based on past experience. 
So when we started working in a new location that fell under a council we'd not yet worked with, we assumed they'd review our plans in the same fashion as the other councils. The first few DAs (all assigned to different town planners) were processed within about 7-8 weeks on average. This is a lot longer than we liked but still not as bad as another council's processing times. It fell somewhere in the middle of our best and worst processing times. 
The time your DA is in council is dead time, there is not too much you can do whilst you wait for the consent in case changes need to be made. We tend to use this period to choose material and colours.
Even after working with some councils for ten years, it will come down to the individual town planner who is assessing your DA and what they like to see marked on your plans. If they request 'more Information' then your DA is put on hold until they receive a response.  
This particular DA was assigned to a planner we'd not yet worked with at this council. We received a letter requesting more information on off street parking locations. The plans detailed a single garage for each villa. The requirements are to provide two parking spaces. Obviously one is in the garage - but here's where our assumption kicked in -  we thought the planner could 'see' that the second space was on the driveway as a stacked or tandem parking space.  
We quickly marked this on the plan and immediately sent it to the planner, and within three days we had the DA Consent on our desk. This set a record of processing time with this council - four weeks, down from eight weeks. 
It goes without saying that this was added to our list of what to include on the plans and we made a mental note never to assume. We are now a month ahead of schedule and our client is happy to save time and holding costs.
Jo Chivers is chief executive officer of property development project managers <a href="https://www.propertybloom.com.au/about" target="_blank">Property Bloom</a>.
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jochivers-wq5Bp59R5a

Drop assumptions and save time on your planning process: Jo Chivers

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GUEST OBSERVATION
Jeannie loves her apartment. It has a separate bedroom, a small bathroom, and an open-plan kitchen, lounge and dining area. It’s compact, but sliding doors open onto a generous balcony to create a larger living space. Jeannie often takes her meals on the balcony, where she can sit surrounded by pot plants and enjoy a view across houses with leafy backyards.
Jeannie’s three-year-old apartment is one of 57 single-bedroom units in Caggara House, a five-storey affordable housing development. It’s in a quiet street in Brisbane’s Mount Gravatt, within easy reach of shops, a medical centre, cafes and public transport.
Jeannie has spent much of her life in public housing on Brisbane’s south side. She brought up her three children in a three-bedroom commission home in nearby Holland Park.
After they had all flown the nest she downsized to a two-bedroom townhouse in Annerley. “It was more central,” she says, “just five to ten minutes from the city, which was good when I was working on call as a casual.”
Eventually, though, getting up the stairs became a problem, and Jeannie felt a bit unsafe living at ground level. At Caggara House there is a security entrance, a lift to her third-floor apartment, and wide passageways and doorways, so it is both safe and easy to navigate for someone with limited mobility.
Caggara is split into two buildings with a landscaped garden in between to give the complex a “green lung”. There is a shared barbecue area, a communal laundry, and a common room for parties, meetings and exercise classes. The development has won prizes for an energy-efficient design that provides for both privacy and social interaction.
Yet the real innovation is in the concept — it provided well-located, high-quality housing for low-income residents aged 55 and over, while freeing up resources to add to Brisbane’s overall stock of affordable housing. This might sound like a magic pudding, too good to be true, but Caggara’s residents previously lived alone in state-owned houses that were too big for their needs. Those houses were worth about A$500,000 each. It cost a little more than half that much to build each of the units in Mount Gravatt.
In this way, an investment of A$15 million in Caggara freed up A$25 million worth of assets that could be put to better use, either by accommodating families on the waiting list for social housing or by being sold to raise capital for new buildings.
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Caggara House was created for former public housing tenants over the age of 55.
Community housing pioneers around the country
Caggara House is an initiative of the not-for-profit Brisbane Housing Company. It’s a provider of what is often called community housing, to distinguish it from the public housing supplied by state authorities (even though they serve a common client base of low-income tenants). Since it was set up in 2002, BHC has built 1,300 affordable rental dwellings and earned the same AA- credit rating as the Commonwealth Bank.
Housing First (previously the Port Phillip Housing Association) is another innovative community-housing provider. It has 1,200 dwellings scattered around Melbourne. And, like BHC, it forms strategic partnerships with private developers, other community organisations, and all tiers of government to build energy-efficient homes with low running costs.
In Sydney, affordable housing provider BlueCHP has a portfolio of 1,600 properties. In November 2017 it opened Macarthur Gardens, a mix of apartments clustered in three towers close to Macarthur Railway Station, Macarthur Square Shopping Centre, and Western Sydney University. BlueCHP manages 56 of the dwellings as below-market rentals for low-income households and is selling the other 45 to help finance the project.
Macarthur Gardens is the largest residential complex in Australia built from cross-laminated timber. BlueCHP was the first developer in New South Wales to use this cost-effective, environmentally friendly technology.
In theory, state housing authorities could innovate like the Brisbane Housing Company, Housing First and BlueCHP. In practice, this rarely happens. Governments tend to be overly cautious in a sector that is crying out for flexibility. David Cant, who was chief executive of BHC for its first 15 years, says: "Not-for-profits can take risks. They can work quicker and smarter."
Community housing providers also “know their residents and know their geography”, Cant adds.
Australia has a pressing need for more social and affordable housing. More than half of all low-income tenants in the private market spend at least 30% of their disposable income on rent (and often much more than that). This can lead them to skimp on essentials like food, heating, transport, health care and schoolbooks. In the long term this sort of rental stress can damage physical and mental health, stunt educational attainment, and limit opportunity.
Australia can learn from UK housing providers
Cant thinks the best way to reduce rental stress is to build up the community housing sector, even though it currently provides less than 1% of all Australian dwellings. He is confident this can be done, based on 25 years working in Britain.
Before the Thatcher government sold off council houses in the 1980s, local government was the largest and most established provider of low-cost rental dwellings in Britain. Today, housing associations are more significant: 170 individual housing associations own 2.49 million homes – more than 10% of all housing in Britain. Local government now accounts for just 7%.
Oona Goldsworthy, chief executive of the Bristol-based not-for-profit housing association United Communities, says the sector matured relatively quickly. On a visit to Australia to she told me: "Housing associations in the United Kingdom grew out of an ideological and political push that the state is not necessarily the best provider of housing."
The view was that smaller organisations that were closer to the community could do a better job. Goldsworthy says British housing associations were able to borrow proactively, capturing a relatively small amount of public subsidy and matching it with lending from other sources. That’s exactly the sort of agility that gives community housing an edge over public-sector providers in Australia.
In the 2017 federal budget, the then treasurer, Scott Morrison, announced two measures designed to enable not-for-profit associations to build more housing: the National Housing Finance and Investment Corporation and an affordable housing bond aggregator. Together, they are designed to make it easier and cheaper for housing providers to borrow money by acting as a bridge between community-housing providers and superannuation funds.
While community organisations can and do borrow from banks, each loan must be separately negotiated. Super funds won’t deal one on one with individual providers in this way, so the NHFIC aims to offer them a standardised, rated investment product.
Since it has the backing of both Labor and the Greens, the NHFIC should survive any change of government. Yet the most important tool for repairing housing in Australia is still missing — a substantial amount of government money.
Cant, who was recently appointed to the NHFIC board, says poor people are generally reliable rent-payers because they know housing underpins the rest of their lives. Offered a deal along the lines of “be a good neighbour, pay your rent and you can stay here as long as you like”, they will grab it with both hands and enjoy a sense of pride and ownership that is indistinguishable from an owner-occupied home. Yet the rent they can afford to pay is not enough to cover the cost of building and maintaining community housing.
Cant says: "If you want to house people on lower incomes then you have to find a bit of a subsidy."
The holy grail of superannuation funds investing in affordable housing will not be achieved unless government tops up the rents paid by low-income households to generate an acceptable rate of return.
Piers Williamson is the chief executive of the Housing Finance Corporation — Britain’s equivalent to NHFIC — and has been advising the Australian government on setting up the NHFIC. He told the tenth National Housing Conference in Sydney that Britain’s affordable housing model was underpinned by £45 billion (A$75 billion) in grant money. “Grants are one of the things missing over here,” he said. “Subsidised housing requires a subsidy.”
Australia badly needs more rental accommodation that does not leave low-income tenants living in stress. The only proven way to increase the supply of social and affordable dwellings is to increase public investment in the sector — in other words, to spend more taxpayers’ dollars.
Why should wealthier Australians agree to subsidise the housing of poorer Australians through the tax system? For David Cant, social justice is reason enough. 
As a nation, we are sleepwalking into inequality. The settings we have got are dividing the community.
As housing inequality worsens it will touch more and more people. One day it could be an old friend, a sibling, a child, or a parent facing housing troubles. One day it could be you or me.
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This is an edited extract from <a href="https://www.textpublishing.com.au/books/no-place-like-home-repairing-australia-s-housing-crisis" target="_blank">No Place Like Home: Repairing Australia’s Housing Crisis</a>, published by Text on September 17.<img src="https://counter.theconversation.com/content/102840/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1" style="border: none !important; box-shadow: none !important; margin: 0 !important; max-height: 1px !important; max-width: 1px !important; min-height: 1px !important; min-width: 1px !important; opacity: 0 !important; outline: none !important; padding: 0 !important; text-shadow: none !important;">
Peter Mares, Adjunct Fellow, Centre for Urban Transitions, Swinburne University of Technology
This article is republished from <a href="http://theconversation.com" target="_blank">The Conversation</a> under a Creative Commons license. Read the <a href="https://theconversation.com/a-community-fix-for-the-affordable-housing-crisis-102840" target="_blank">original article</a>.
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A community fix for the affordable housing crisis: Peter Mares

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PowerHousing Australia, the peak body representing 28 of Australia’s largest Community Housing Providers (CHPs), has welcomed Treasurer Scott Morrison’s commitment to deliver a raft of measures that address housing right across the lifecycle spectrum.
"From aiding new supply, to creating more social and affordable housing, supporting first home buyers and seniors looking to downsize, this package has been a while coming but signals a step in the right direction for fixing Australia’s housing affordability challenges," PowerHousing CEO Nicholas Proud said.
Adopting the UK bond aggregator model will open streams of institutional funds to increase the supply of social and affordable housing.
He said community housing providers, were the industry’s quiet achievers, well-placed to leverage these funding flows to maximise new housing stock.
“PowerHousing Members have, over the past 10 years, grown into credible scale managers, operators and developers of new and existing social housing dwellings and we do this by quietly achieving the highest level of social outcomes.
“While public housing has decreased by 24,000 since 2007, community housing in Australia has over the same period grown from 33,526 to 72, 410 dwellings as per the recent Productivity Commission Report on Government Services.
The community housing sector has largely built scale on the basis of property transfers and the Federal National Rental Affordability Scheme.
“Providing funds through to the community housing sector will deliver more affordable homes more cost-effectively and assist those on low incomes through to first home ownership with more options, new housing and the potential for a suite of wrap around services to aid training, education, health and livable outcomes.
“We will have to wait until the Budget to know whether the Treasurer will secure the deep funding measures that are required to meet the gap between what those in affordable housing can provide and what it is vital to deliver in terms of dwellings into the long-term future.
This is an integral part of the CHP model and we are hopeful this gap will be addressed in the upcoming federal budget.
“There has been some solid work undertaken in the states with reviews of New South Wales, South Australia and Tasmania showing good progress in meeting National Agreement Targets such as facilitating 35 percent of public housing being operated by the Community Housing Sector.
“Ultimately access to new finance streams, as suggested here, allows for the best return on government investment with more affordable housing delivered at the lowest cost to taxpayers – a win-win situation.
“Today’s announcements are a strong Federal Government acknowledgement of our CHP Members’ commitment to being commercially astute and achieve economies of scale by working with government, tier one/innovative financial lenders and scale developers to design and construct affordable housing options.”
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PowerHousing Australia says Treasurer Morrison signals right first step towards affordability fix

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A one bedroom Croydon Park unit was Sydney's cheapest weekend auction sale, reflecting a sale with a gross 4.7% yield.
It was<a href="https://www.realestate.com.au/property-apartment-nsw-croydon+park-120780917" target="_blank"> 1/9 Queensbrough Road</a> which sold to an investor through Unique Property Real Estate agent Hellio Dias.
The size was 42 sqm.
The now renovated 1965 apartment last sold at $200,000 in 2009, reflecting 10% annual growth after renovation. It was last up for rent in early 2014 with a $345 weekly asking rental.
There was only one other sale at below $500,000 across Sydney.
There were three sales under $500,000 around the Charmhaven district.
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Sydney's cheapest sold for $383,000 at Croydon Park

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Sydney's cheapest weekend auction sale was a two bedroom unit located within minutes of Liverpool CBD and Liverpool Train Station.
"The unit is in desperate need of TLC and would be an ideal opportunity for a renovator or investor," the marketing indicated.
The second floor unit with single garage and balcony area fetched $344,000.
The unit had internal area of 58 sqm.
It was offered through <a href="https://www.realestateview.com.au/Real-Estate/12-13-speed-street-liverpool/Property-Details-buy-residential-9359164" target="_blank">Ray White agent Fabio Screpis</a>. It was among three weekend Liverpool sales under $400,000, and the only sales across Sydney at that price level.
The block's three most recent sales were $310,000, $300,000 and $290,000.
Sydney's most affordable property reported sold on the first weekend of spring was also a two-bedroom unit at 19/60-62 Speed Street, Liverpool sold for $355,000 through Prudential Liverpool.
Agent Simon Perri was quoting $320,000 plus.
Sales this year<a href="https://www.domain.com.au/sold/19-60-62-speed-street-liverpool-nsw-2170-2012172159" target="_blank"> in the block had hit $350,000</a>.
The likely rent by the investor buyer is estimated at between $300 and $320 a week.
There were four registered bidders, with it sold soon after auction.
Liverpool had three of the eight sub-$500,000 weekend sales on September 5.
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Liverpool again Sydney's weekend cheapest

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Indigenous Business Australia (IBA) stressed the high number of Indigenous households in social housing and the importance of continuous work with governments in order to enable Aboriginal and Torres Strait Islander people to move into house ownership.
In their submission to the House of Representatives Standing Committee on Economics Inquiry into Home Ownership in Australia, IBA concluded that providing better conditions for home ownership for the Indigenous community is positive for the government as decreases the social help costs.
"For Aboriginal people at the margins of home affordability, having access to the First Home Owner Grant (FHOG) and stamp duty concessions has made the difference between being trapped as renters versus having home ownership. 
"The decisions by jurisdictions since 2011 to change their FHOG and stamp duty concession schemes, especially by reducing or abolishing the grant for the purchase of existing homes, has had a significant adverse impact on the ability of Indigenous Australians to obtain finance from commercial lenders and/or IBA. 
"IBA has observed that even in its traditional outer metropolitan and regional markets, our typical low to middle income customers are increasingly being squeezed out of the home buyer’s market. 
"In order that the gap in Indigenous home ownership does not increase it is critical that governments seek to augment existing market gap measures, such as the national Indigenous Home Ownership Program (IHOP) and state and territory government targeted programs. 
"The Indigenous Home Ownership Program (IHOP) provides Aboriginal and Torres Strait Islander people, who do not qualify for bank finance, with an affordable home loan. IHOP is targeted at first home buyers. 
"All jurisdictions should target application of the First Home Owners Grants and stamp duty relief to low to medium income Indigenous Australians regardless of whether they are purchasing an existing or new home. This will facilitate more Indigenous Australians being able to access home loans from mainstream financial institutions, in addition to those who may qualify for IBA assistance. 
"IBA recommends close collaboration between state and territory government programs and loan providers, including IBA, to strengthen the pathway between social housing rental and home ownership, building on the many initiatives already in place across jurisdictions. 
"The sale prices for government funded new houses and existing social housing stock (inclusive of land) offered for private sale in remote discrete Indigenous communities, should be set at realistic levels, so that there is reasonable security over a loan and there is a real chance of houses being bought and sold, enabling a housing market to evolve. 
The submission goal was to expose how barriers to achieving home ownership are greater or the Aboriginal and Torres Strait Islander segment. 
"In the 2011 census there were 209,000 Indigenous households, with 135,000 households not in home ownership. The statistics show that 65,000 new Indigenous households would need to move into home ownership to equal the wider Australian home ownership rate. 
"At the same time the Indigenous population is growing at a faster rate than the non-Indigenous population; expected to increase by 60 per cent from 2011 to 2031. The population is also relatively youthful, with 55.8 per cent less than 25 years of age compared to 31.9 per cent in the non-Indigenous population.
"The minimum annual income required to afford the median Australia house price is around $100,000 and much greater incomes would be required in many capital city markets.
"The average household annual income of successful applicants for IBA home loans in 2013- 14 was $75,000. The ability of IBA’s customers to afford a loan at these income levels is due to the extra concessional and other support provided by IBA and the purchasing of houses in more affordable markets (outer metropolitan and regional). 
"It is useful to categorise the affordability and broader challenges for Indigenous home ownership by geographical characteristics, such as remoteness, as this demonstrates the different strategies that are required to address the overall gap in Indigenous home ownership. 
"The table below shows the distribution of the Aboriginal and Torres Strait Islander population by remoteness classification, compared with the non-Indigenous population.
"Inner regional areas include the fringes around the major cities and larger regional towns/cities close to the capital cities or in the corridor between Melbourne and Sydney. 
"House prices are more moderate and in these areas there is also good access to employment opportunities. This is reflected in the high concentration of IBA home loans in inner regional areas (39% of the portfolio and 45 per cent of all new IBA loans). 
"Increasing Indigenous home ownership contributes to the broader picture of addressing Indigenous disadvantage. IBA’s own research, and research undertaken in the wider Australian community, have demonstrated that the broader economic and social benefits of owning a home are often as important as the financial benefits to the home owners.
"IBA’s research has found that owning a home and the responsibilities that this brings create: 
 A strong incentive for long term sustainable employment; 
 Higher wage growth for the main job-holder; and 
 Children of Indigenous home owners being more likely to have a job themselves and to aspire to own their own home.
"Of the 58 customers surveyed as part of the research (mainly in rural locations in Northern Australia), the household income of home owners increased on average by more than 50 per cent over the average period of six years since they had purchased their home. 
The survey revealed that 26 per cent of home owners intended to invest in other property, 9 per cent in starting a business and 9 per cent already derived income from their home (usually by basing a small business there). 
"The participation in Indigenous home ownership has positive long term cost benefits for government. The more economically independent Indigenous Australians can become, the less financial and other supports are required from government. For example, the cost savings from home ownership versus public housing costs have been estimated to be in the order of $167 million to $669 million per 100 households over a 20-year period.
"For Aboriginal people at the margins of home loan affordability, having access to FHOG and stamp duty concessions would make the difference between being trapped as renters of social housing versus having home ownership. Without this support fewer Indigenous Australians will be able to be assisted by IBA or other financiers."
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