Published Thursday, 16 August, 2007 at 10:10 AM
Minister for Public Works, Housing and Information and Communication Technology
The Honourable Robert Schwarten
WORK STARTS ON NEW SUNSHINE COAST HOUSING COMPLEX
Social housing on the Sunshine Coast is set for a major boost with construction of a total of 40 new Department of Housing dwellings starting recently or about to start, Housing Minister Robert Schwarten today announced.
Mr Schwarten said construction of 16, two-bedroom apartments on University Way, Sippy Downs, costing more than $4.4 million, had already started while construction of a 24 studio apartment complex on Broadmeadows Road, Maroochydore, costing more than $4.8 million, was due to start shortly.
He said construction of both complexes was part of the Department of Housing’s Housing Building Program which was now at risk because the Howard Government had decided to privatise all public housing.
“These units are funded by the Commonwealth and State Government pooling money together to build affordable housing for low income earners,” he said.
“The reason we are building them on the Sunshine Coast is that there is a shortage of accommodation for low income earners in this area.
“Projects like this just will not happen in the future because the Commonwealth has decided that they no longer wish to fund the States to build public housing.”
Mr Schwarten said rents in the Sunshine Coast area had risen by nearly 50% in five years. The average rent for a three bedroom house on the Sunshine Coast is now $320, he said.
“At the same time, Commonwealth rent assistance for low income earners has increased a dismal $7 per week,” he said.
“Rents are rising far faster than wages are, and that is what is forcing low income earners onto the public housing waiting lists.”
Mr Schwarten said the units were designed and are being project managed by the Department of Public Works. Both developments are expected to be completed by March.
He said he was pleased that housing affordability was receiving important attention at the Federal level.
“On the one hand you have Prime Minister Howard and Minister Brough abandoning public housing altogether and saying they will look for solutions in the private market.
“Now the alternative government led by Kevin Rudd has announced a large intervention in the private rental market to build 50,000 extra affordable homes to rent.
“The choice at the next election could not be clearer: More of the same from blame game from Howard or Labor’s plan to provide incentives to reduce rent by 20% for 50,000 homes,” he said.
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Mr Schwarten said construction of 16, two-bedroom apartments on University Way, Sippy Downs, costing more than $4.4 million, had already started while construction of a 24 studio apartment complex on Broadmeadows Road, Maroochydore, costing more than $4.8 million, was due to start shortly.
He said construction of both complexes was part of the Department of Housing’s Housing Building Program which was now at risk because the Howard Government had decided to privatise all public housing.
“These units are funded by the Commonwealth and State Government pooling money together to build affordable housing for low income earners,” he said.
“The reason we are building them on the Sunshine Coast is that there is a shortage of accommodation for low income earners in this area.
“Projects like this just will not happen in the future because the Commonwealth has decided that they no longer wish to fund the States to build public housing.”
Mr Schwarten said rents in the Sunshine Coast area had risen by nearly 50% in five years. The average rent for a three bedroom house on the Sunshine Coast is now $320, he said.
“At the same time, Commonwealth rent assistance for low income earners has increased a dismal $7 per week,” he said.
“Rents are rising far faster than wages are, and that is what is forcing low income earners onto the public housing waiting lists.”
Mr Schwarten said the units were designed and are being project managed by the Department of Public Works. Both developments are expected to be completed by March.
He said he was pleased that housing affordability was receiving important attention at the Federal level.
“On the one hand you have Prime Minister Howard and Minister Brough abandoning public housing altogether and saying they will look for solutions in the private market.
“Now the alternative government led by Kevin Rudd has announced a large intervention in the private rental market to build 50,000 extra affordable homes to rent.
“The choice at the next election could not be clearer: More of the same from blame game from Howard or Labor’s plan to provide incentives to reduce rent by 20% for 50,000 homes,” he said.
MEDIA CONTACT: (07) 32371184