Government, sector collaborates on SA social and affordable housing
9 January 2023 at 4:59 pm
A collaboration on social and affordable housing is a first for South Australia and the country.
A new build-to-rent project will be undertaken by the South Australian Housing Authority (SAHA) and the community housing sector, with support from the National Housing Finance and Investment Corporation (NHFIC).
It’s the first such undertaking since the federal government expanded the National Housing Infrastructure Facility (NHFI) to include funding the provision of new social and affordable housing.
The announcement of the project follows the federal government’s budget pledge to build 40,000 new social and affordable homes in the first five years of the Housing Australia Future Fund and the NHFI.
See more: Housing spending blitz in budget
NHFIC has provided in-principle support for around $50 million in funding subject to SAHA successfully attracting a Tier 1 Community Housing Provider (CHP) for the project.
SAHA will now invite select CHPs to participate in a procurement process.
The project is also subject to NHFIC receiving a formal application for finance from the successful CHP.
The successful CHP is expected to be announced in the first half of 2023. SAHA will provide the land necessary for the project under a 99-year lease agreement valued at $9.5 million, and will contribute up to $5.8 million in capital grants towards construction costs.
It is anticipated the project will see the development of 130 plus residential dwellings on the site of a decommissioned social housing block in Park Court, Eastwood, Adelaide.
The new homes are expected to include 30 to 50 social dwellings, with the balance made of affordable housing, targeted at key workers, and private build-to-rent dwellings.
The properties will cater to people with disability, women leaving domestic violence situations and those who need social or affordable housing.
Federal housing minister Julie Collins said the federal government had taken “quick action” to “unlock” funding to invest in social and affordable housing around the country.
South Australian Minister for Human Services Nat Cook said the collaboration “puts South Australia at the forefront of housing innovation in Australia at a time we all know so many people are struggling to find a place to call home.”
NHFIC CEO Nathan Dal Bon said NHFIC is “proud to work collaboratively” with SAHA on the project.
