Business, Earthmoving News

Stimulus for South Australian housing

South Australia announces Housing Construction Stimulus Package

The South Australian government has released around $48 million of new initiatives to support housing construction in the state, once the impact of the federal government’s HomeBuilder incentives wear off.

In total, the stimulus is expected to result in an extra 960 new dwelling commencements over the next five years and includes:

• an expansion of HomeStart’s shared equity product so that it applies to new home construction ($21 million)

• support for the apartment building sector through the underwriting of a mix of affordable and market apartments within the Adelaide CBD and inner urban fringe (including the Royal at Kent Town project) ($20 million)

• expanding the HomeStart’s Starter Loan scheme by 1,000 loans, with 50 per cent of the extended program to be limited to new home construction

• support for a Build-to-Rent proposal in partnership with a Community Housing Provider to deliver up to 180 social, affordable and market rental properties at Eastwood. (At least $10m, including a $9 million land contribution from the South Australian Housing Authority).

Premier Steven Marshall said provision for a stimulus package was made in the 2020–21 State Budget and, while nearly $4 million had already been committed, further investment wasn’t required until now due to the booming housing construction market, as a result of the federal HomeBuilder grant.

“South Australia’s housing construction industry is a vital sector that helps underpin the state’s strong, ongoing economic and jobs growth, and it’s important we do all we can to ensure our trades continue to thrive beyond the surge in activity we’ve seen throughout the pandemic,” says Marshall.

Minister for Human Services Michelle Lensink adds: “The Eastwood project alone will inject up to $61 million during construction into our economy and support 400 jobs post COVID-19 pandemic.”

Send this to a friend