High Tasmanian take-up of national rental scheme initiative
24 September 2008
Statement by Mr. Chris Atkins, Executive Director, Master Builders Tasmania
Private entities and not-for-profit housing organisations have flooded the Australian Government with requests to take advantage of its national rental affordability scheme (NRAS) in Tasmania, according to Master Builders Tasmania, the peak employer body representing the building and construction industry.
Mr Chris Atkins, Executive Director said, “The Federal Government has received 244 proposals to build 12,770 new homes throughout Australia. Of that number 1,038, or around 8%, of the applications were to build affordable rental homes in Tasmania. The Government will approve 3,500 new dwellings in this financial year. This means that around 280 new dwellings will be built in Tasmania as a result of the first round of funding. The balance of the applicants are likely to be approved in subsequent funding rounds which will approve a further 46,500 dwellings over the next 3 years, bringing to 50,000 the total number of dwellings approved under this scheme.”
Mr. Atkins continued, “The benefits to all Tasmanians of such a scheme cannot be overstated, the scheme will put new homes on the ground in a reasonable time period and provide affordable rental accommodation for families on low-incomes. As a consequence the Scheme will stimulate the supply side of the residential construction market; the Scheme will be the catalyst for an increased supply of affordable land and housing. The total Tasmanian applications of 1,038 represent over one-third of the total homes built in Tasmania in any one year. Obviously this many rental properties, only accessible to low income earners, would alleviate the current rental crisis dramatically.”
Mr. Atkins concluded “While rentals are in short demand at all levels, it is the lack of affordable properties that is causing the acute problems in Tasmania. The NRAS will deliver rental properties for low-income households at least 20% below the market rate. The Association’s only concern is whether the industry can meet the additional demand with labour shortages across the entire industry.”
C. Atkins
Executive Director
For further details contact: Chris Atkins (03) 6234 3810 Mob. 0438 623 438
