The Queensland government says it will spend $200 million to help unlock housing supply in south-east Queensland.
The funding is contained in the 2022-23 state budget and is earmarked for trunk infrastructure costs.
Queensland’s deputy premier and planning minister Steven Miles said housing supply was key as the rate of migration to Queensland continued to run hot.
“People and businesses are moving to Queensland in droves to enjoy the economic, job and lifestyle opportunities on offer,” Miles said.
“This has increased demand for land supply, especially in south-east Queensland.”
However, the cost of installing and creating trunk infrastructure on land that has not been developed for large residential communities is often deemed too great for councils to bear.
Developers also prefer not to take on an additional financial cost or risk in developing shared trunk infrastructure such as roads, public transport stops, water pipes and treatment devices.
Miles said this created a barrier to creating land for residential development.
“This new infrastructure funding ensures we can boost land supply and affordable housing choices,” Miles said.
“We are ensuring government, councils, developers and industry can keep up with the increase in demand for land, housing and the supporting infrastructure that comes with it.”
The $200 million will be distributed via two funds.
The new Growth Acceleration Fund will develop trunk infrastructure for new communities such as Caboolture West.
The fund will receive $50 million in equity funding with $15 million already allocated for water and sewer infrastructure in Caboolture West.
“The new Growth Acceleration Fund will focus on growth areas in south-east Queensland, including the Sunshine Coast, Moreton Bay, Brisbane, Redland, and Gold Coast,” Miles said.
“It will fund new roads, water and sewerage infrastructure and other public facilities.”
The second fund is the Catalyst Infrastructure Fund, which will receive $150 million in equity funding for infrastructure needed to ensure communities such as Ripley Valley and Greater Flagstone can be completed.
“The funding will be supplemented by contributions from property developers who will be required to make co-investments of at least 20 per cent towards the cost of the major infrastructure going into their development projects,” Miles said.
Almost 50,000 residential lots have been unlocked in south-east Queensland since the 2020 state election, including 30,000 in Caboolture West.
New South Wales announced a similar plan to help fund the costs of planning and trunk infrastructure in the regions this year while Victoria is researching the extent of the issue in its regions.
