Queensland councils have released a hit list of the five biggest bottlenecks that are preventing the development of almost 600,000 sites zoned for new homes in the state.

The Local Government Association of Queensland, which says it’s been sounding the alarm on housing for three years, says state government’s figures confirm councils have already zoned for 595,636 greenfield homes and have approved more than nine years’ supply of townhouses and apartments in SEQ alone. 

But LGAQ chief executive officer Alison Smith says there’s only so much local government can do. 

“Councils can zone for and approve as much housing as they like, but if it’s not commercially feasible to build, those approvals won’t deliver desperately needed new homes,” she said.

LGA research has identified five bottlenecks that if addressed, can shift the dial on housing delivery, she says.

Infrastructure costs

Ms Smith says the research indicates that infrastructure costs are a major roadblock, with a projected $2.2 billion infrastructure funding gap over the next four years. 

“In regional Queensland, where the capacity to address infrastructure challenges can be more significant, the forecast trunk infrastructure gap is more than $650 million over the next four years, which could add an additional $437 per annum to rates for regional residential properties,” she said.

Other gaps include a lack of comprehensive measures to activate existing approvals, insufficient incentives for councils to support and prioritise affordable housing, high state fees, and lack of collaboration between all tiers of government and the private sector.

“Keeping housing affordable means looking at options to ensure councils can support and prioritise affordable housing proposals,” Ms Smith said.

This could include a ‘covenant-on-title’ scheme which could restrict the way land can be used, or specify that the landowner must conduct a certain activity, and which the government says it will “explore”. 

“At present, councils have no way to ensure the housing they approve as ‘affordable’ for their communities will continue to stay that way as it’s sold and on-sold,” Ms Smith says.

Councils are also calling for a review of existing state property fees, charges and duties to remove barriers to development.

Call for commitments ahead of state poll

Ms Smith says LGAQ wants a commitment from the major parties to addressing the roadblocks ahead of the state election in October.

“Over the past three years there has been plenty of goodwill from all parties and sectors but without urgent commitments and action from government, we won’t see the homes we need now,” she said.

“Despite the State Government and Opposition releasing significant new housing policies in recent months, there are still some critical missing pieces of the housing puzzle that exist. “ 

Queensland councils have also outlined more than 40 housing solutions in its Local Government Housing Strategy.

Movement on modular homes

Meanwhile, the state government has announced it’s building 27 modular homes destined for Mackay as part of the state’s Homes for Queenslanders plan.

The modular homes will be built by Fleetwood and Ausco at their Queensland factories and delivered to four sites in Mackay, north of Brisbane.

The mix of raised one and two-bedroom homes will targeted at people who want to downsize from their current place, freeing up larger social homes for families.

Earlier this year, the Miles Government announced it would order 600 more modular homes in partnership with Queensland builders and through the state’s public building arm: QBuild.

“Modular homes are speeding up production and cutting timeframes – especially in regional parts of our state like Mackay – and they’re critical to our Homes for Queenslanders plan to deliver one million more homes, Housing minister Meaghan Scanlon said in a statement.

It comes after the NSW Government last month announced the first sites for a trial of modular social housing.

As reported by Government News, sites in Wollongong in the NSW Illawara Region, and Lake Macquarie in the Hunter, have been identified as suitable for the state’s first modular social homes.

NSW is investing $10 million to explore and trial the use of modular housing to deliver social homes as the state grapples with an affordable housing crisis within its borders.