Surplus Commonwealth Government land should be used for housing: UDIA

Diane LeowDecember 7, 2020

Underutilised Commonwealth government land could make way for thousands of new homes, increasing property supply levels and improving housing affordability, according to a report by urban development peak body Urban Development Institute of Australia.

The report suggests that the Commonwealth government should undertake thorough regular audits of its land assets in order to effectively identify and determine surplus land spaces available for housing development.

“There are numerous examples of redundant or underutilised commonwealth land such as defence sites occupying prime city locations,” said UDIA national president Julie Katz.

“They’re often in older, established areas, and already have good access to transport, employment and community infrastructure such as schools and shops, making them perfect for infill development.

“Development of surplus sites could provide a rapid and cost effective way of bringing much needed new housing to market, improving affordability and supporting jobs in the process,” Katz said.

Currently, there are 16 properties listed on the Register of Surplus Commonwealth Land. The Department of Finance and Deregulation advises that the register “is not a full list of surplus Commonwealth land holdings”. 

The UDIA has highlighted two sites that could potentially provide an additional 1000 homes in Queensland and 750 homes in South Australia.

The Bulimba Army Barracks at 167 Apollo Road measures around 23 hectares.

The UDIA’s policy officer Liam Foley told Property Observer the site has “the potential for a mixed use retail/residential precinct, which could yield over 1000 dwellings at 50+ dwellings per hectare.”

In addition, the Keswick Army Barracks in Unley measures around 12.5 hectares, with the potential to house 60 dwellings per hectare.

“The city of Unley have done considerable work on this site by preparing a mixed use scheme. They have discussed it with the Commonwealth and it was mooted for release at one stage, but there has been little recent activity,” Foley said.

According to the latest RP Data report, the median sale price for houses in Bulimba is $880,000, up 3.5% on last year. The average discount required to sell a house is 11%, while private treaty sales average 99 days on market. 

The median asking rent for Bulimba houses is $585 per week, while gross rental yield currently stands at 3.5%. 

The median sale price for units in Bulimba is $565,000, up 4% on last year. The average discount required to sell a unit is 6.7%, while private treaty sales average 122 days on market. 

The median asking rent for Bulimba units is $500 per week, while gross rental yield currently stands at 4.6%. 

According to the latest RP Data report, the median sale price for units in Keswick is $295,000, up 24.9% on last year. The average discount required to sell a unit is 6.5%, while private treaty sales average 93 days on market. 

The median asking rent for Keswick units is $245 per week, while gross rental yield currently stands at 4.3%.

Diane Leow

Diane has spent her entire career in the world of digital. She is passionate about delivering the best content to a world that is becoming increasingly jaded by the news. She also believes in the importance of great journalism and how it can change the world. Oh, she also drinks a lot of coffee.

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