This article is from the Australian Property Journal archive
AN infrastructure funding agreement between the National Housing Finance and Investment Corporation (NHFIC) and the South Australian government will deliver more than 600 new social and affordable homes for the state.
With the finalisation of the first multimillion dollar infrastructure funding agreement between the state government and NHFIC, South Australians will be given access to up to $45 million in loans and grants.
The funding will be accessible through the National Housing Infrastructure Facility (NHIF), a $1 billion federal government initiative for financing infrastructure projects that boosts new housing supply.
“This five-year funding agreement with the South Australian Housing Authority will fast-track the delivery of crucial infrastructure across parts of metropolitan Adelaide to develop more than 600 social, affordable and market homes in these areas,” said Nathan Dal Bon, CEO of the NHFIC.
This new deal is in addition to the $125 million of finance already provided by the SA community housing provider, to boost the supply of affordable housing.
“This innovative financing means the Authority is able to access $45 million in loans and grants to fund the infrastructure associated with building housing, including affordable housing,” said Michael Buchan, chief executive of the SA Housing Authority.
According to REISA the deal will make housing prospects more optimistic to those for whom affordable housing supply is limited and demand is high.
“We realise that shelter is a basic human need and a community expectation. We recognise that higher property and rental prices, while providing great benefit to our economy and homeowners, do not help everyone looking for a place to live,” said Barry Money, chief executive of REISA.
Money also highlighted that demand for all housing solutions is set to increase, especially with net migration figures rising.
“The costs of buying a home are on the rise due to greater confidence in the South Australian economy combined with attractive interest rates. There is also a strain on the stock of available housing at all price levels.”
“More affordable housing will be always required, whether the property market is strong or otherwise. This initiative should accelerate the construction of new homes and bring welcome news to those in need,” added Money.
Meanwhile, an $8.179 million state government backed development near Grange Beach will create housing South Australians with low-to-moderate incomes.
The Seaton redevelopment will include 43 affordable homes, 16 social housing residences, 42 house and land market sales and a 2,600sqm landscaped reserve.
“The Seaton project is one of a number of deliberate and targeted Marshall Liberal Government housing projects aimed at helping more South Australians into homeownership, as well as providing a vital jobs boost in our construction industry,” said premier Steven Marshall.
The project is part of the state government’s $54 million Neighbourhood Renewal Project under their $550 million housing and homelessness strategy, Our Housing Future 2020-30.
