- Purchase of 32 apartments for $13.8 million will help four medium and high-density developments secure finance and start construction
- Projects are expected to create and support around 500 jobs in the residential housing sector and generate $94 million in construction activity
- WA's residential building industry makes a significant contribution to the domestic economy, accounted for $5.2 billion of Gross State Product in 2018-19
The McGowan Government is helping accelerate the start of four Perth apartment projects by purchasing 32 apartments as part of the $319 million Social Housing Economic Recovery Package.
The four projects will deliver another 231 apartments to the Perth market in total, creating an estimated 500 jobs in the process and generating $94 million in construction activity.
The purchase, valued at $13.8 million, will support jobs in Western Australia's housing industry by stimulating residential construction and provide a welcome boost to government housing programs.
The Department of Communities' call for submissions process ran from June 15 to July 3, and received 16 submissions in total.
The department will acquire 17 one-bedroom and 15 two-bedroom properties from the following successful respondents:
- Amara 2018 Pty Ltd - 13 apartments in Booragoon;
- Architectura II Pty Ltd - five apartments in North Perth;
- Megara Constructions Pty Ltd - nine apartments in Ardross; and
- Momentum Wealth - five apartments in Victoria Park.
By purchasing off-the-plan homes, the Government has helped medium and high-density residential developments achieve the minimum number of pre-sales required to secure finance and commence construction.
The State Government's $319 million Social Housing Economic Recovery Package is the biggest housing maintenance and refurbishment program in WA's history.
Announced in June 2020, it includes the refurbishment of 1,500 public and community houses, supported accommodation facilities such as FDV refuges, and residential group homes.
The package also includes a rolling maintenance program targeting 3,800 regional government-owned properties, and delivery of about 250 new homes to help the most vulnerable people in our community.
Comments attributed to Housing Minister Peter Tinley:
"The McGowan Government is delivering on its plan to provide an appropriate level of social and affordable housing, as well as supporting the housing construction industry through the COVID-19 pandemic.
"Our estimates indicate that buying the 32 apartments across these four developments will result in the construction of projects that will generate an estimated $94 million in economic activity.
"It will also create and support around 500 jobs in the residential housing sector - the second biggest employment sector in WA.
"In June, we invited developers to prepare submissions for residential developments that were well-designed, well-located and offered value for money.
"The 32 homes acquired through this process may be allocated to any of the Department of Communities' housing programs, including social and affordable housing."
Minister's office - 6552 5300