12 June 2012
The NSW Budget focus on proposals to revitalise the housing and construction sector is welcomed by the Urban Taskforce Australia.
“The NSW building construction sector is currently operating at about half the level of Victoria on a per-capita basis and about three quarters of Queenslands performance, so measures are needed to boost jobs in the industry says Urban Taskforce CEO Chris Johnson.
“We believe the focus on initiatives that revitalise the housing and construction industry, including the ˜Building the State package of $561 million of new funding to accelerate housing construction is a very positive initiative. This includes the $481 million Housing Acceleration Fund that proposes to drive infrastructure that supports housing.
The most significant stimulus to housing is that the First Home Owners Grant has been doubled to $15,000 and will only apply to new housing. Other purchasers of new housing will have a grant of $5,000. Both of these measures, along with stamp duty deduction for first home owners should lead to more housing supply.
“There are however, other constraints on the industry that need resolving including the Special Infrastructure Contribution (SIC), where the current reduction expires on June 30. The government needs to continue the reduction over a considerable time span.”
“The $50 million for a new Urban Activation Precinct Program could help kick-start urban precincts like the Parramatta Road Corridor.”
We are particularly keen to see that there are proposals for a code based assessment process and a pilot project to develop zoning and built form controls.
The announcement of ˜Urbangrowth NSW is a positive signal that the state will drive urban renewal but more details on its mandate are required. The Urban Taskforce believes Urbangrowth NSW should have acquisition powers and a planning assessment role.
