The Brisbane City Council budget released this week was broadly in line with the property sector’s expectations, with the continued focus on economic development the major positive for the industry according to the Property Council of Australia.
The Lord Mayor’s commitment to invest in the long-term economic development of the city sends a strong signal that Brisbane is open for business, Queensland Executive Director of the Property Council of Australia Kathy Mac Dermott says.
“The property industry is right behind Brisbane City Council’s efforts to grow our local economy,” Ms Mac Dermott says.
“It is great to see Council backing up the economic development plan it released earlier this year with committed funding.”
Local Government budgets are watched closely by the property industry as council rates, fees and charges directly affect the bottom line of all property owners, investors and developers.
“Importantly for the property industry the Brisbane City Council budget did not include any surprises in relation to rates and charges.
“In past years a number of local governments have used their minimum and differential rating capacity to dramatically increase the rates charged on business premises. This in effect means that commercial property owners are subsidizing residential rate payers.”
“The industry is pleased that Brisbane City Council has kept commercial rate increases in line with those that will be experienced by residential property owners in this year’s budget.”
“However, continued growth in development fees is a concern for the industry.”
“This is not a challenge unique to Brisbane. The industry is experiencing wildly different fees and charges frameworks across local governments.”
“In the context of economic development, it is important to recognize that local governments are competing for investment not only with each other, but with councils in other states.”
“These fees directly affect our investment competitiveness and the Property Council is eager to work with councils and the State Government to ensure a more consistent and sustainable framework is developed.”
Media Enquiries: Kathy Mac Dermott – Property Council of Australia Queensland Executive Director – 0427 243 986