The role of greenfield markets in Victoria’s housing crisis: UDIA CEO Linda Allison shares valuable insights with Orens Capital
In the face of Australia’s escalating housing crisis, greenfield developments have emerged as a vital component in the quest for affordable housing solutions. Linda Allison, CEO of the Urban Development Institute of Australia (UDIA) Victoria, recently shared her expert insights with Orens Capital, shedding light on the challenges and opportunities in this critical sector.
Here are the key takeaways from her perspective:
Urban Development Challenges and Opportunities
Feasibility, affordability, and liveability are central themes not only for Victoria but also for urban development across Australia. The need to balance these elements is crucial as we strive to maintain the quality of life through innovative urban planning.
Greenfield Developments: The Backbone of Housing Affordability
With Victoria facing a housing crisis due to decades of underinvestment, greenfield lands have emerged as an incredibly valuable resource for meeting the growing needs for affordable homes. Allison highlighted the importance of a strong continuous land supply in the greenfield to prevent falling short of the government’s housing targets (80,000 homes delivered every year for a decade).
Government Collaboration and Policy Advocacy
With UDIA’s active involvement with the government to shape policies that foster urban development, Allison stressed the need for aligned goals, such as the current tax regime, and addressing misconceptions about land banking within the industry. She also highlighted the critical importance of transparent and continuous dialogue between developers and policymakers to ensure that the legislative environment supports sustainable development.
Economic and Market Outlook
Despite current market challenges, there is a strong underlying demand driven by migration and potential shifts in consumer sentiment later this year. Stability in interest rates could boost consumer and investor confidence, positively impacting the housing market. Allison pointed out that as economic conditions evolve, proactive adjustments in development strategies will be essential to capitalise on market recoveries and demographic shifts.
The Role of International Investment
Emphasising the need to attract and not deter international investment, Allison called for a reevaluation of restrictive tax policies and surcharges that hinder the property sector’s growth. She mentioned that fostering an attractive investment climate is crucial for drawing capital that fuels large-scale housing projects and infrastructural development, which are vital for meeting the nation’s increasing need for housing.
In conclusion, Linda Allison’s insights underscore the multifaceted nature of Victoria’s housing crisis and the indispensable role of greenfield developments in addressing it. By fostering collaborative efforts between developers, policymakers, and investors, Victoria can pave the way for a more sustainable and affordable housing future. Orens Capital remains committed to exploring and supporting innovative solutions that contribute to the growth and prosperity of our communities.
About Orens Capital:
Orens Capital is driven by a core mission: to dismantle the barriers that traditionally limit access to greenfield/land subdivision projects, which are the bedrock of the Australian residential market.
The team at Orens Capital boasts diverse cultural backgrounds, shaping their approach uniquely. This diversity equips them with a distinct perspective to understand and effectively communicate the intricacies of their funds and projects, catering to the specific needs of their global partners.
At its core, Orens Capital believes in the resilience and potential of the Australian property market. By facilitating investments in land subdivision projects, Orens Capital aims to create generational wealth that benefits not only individual investors but also contributes to the development of families and communities across the country.
Reliability and dependability are fundamental to Orens Capital’s operations. Partners and investors can trust that with Orens Capital, they have found a steadfast ally committed to their success and prosperity.
For more expert perspectives and actionable insights from industry leaders, subscribe to Orens Capital on LinkedIn and WeChat Official Account.
Disclaimer: This is general information only and does not purport to be complete and take into account your personal objectives, financial situation, or needs. The information is intended for wholesale investors only. Investors should seek independent finance advice before making any investment decisions.