The Property Council of Australia has congratulated Brisbane City Council’s Labor majority on its announcement today that it will abandon developer contributions to affordable housing, instead choosing to fund housing provisions with profits from the sale or redevelopment of council-owned land and property.
The Property Council of Australia’s Queensland executive director Robert Walker said the Property Council welcomed these changes as a sensible and economically sound decision.
"Ultimately, receipts from developers were not going to solve the problem. The community needs long-term, sustainable solutions that deliver good outcomes for those in the community who are unable to afford to either own or rent accommodation.," he said.
"The BCC Labor majority has recognised that funding from developers has been notoriously difficult to enforce because it has never been supported by State legislation and was not going to deliver their longer-term plans."
Brisbane City Council this afternoon announced the restructure that changes dramatically its previously held policy position on funding affordable housing. This decision has provided certainty for developers, who can now be assured they will not be charged contributions for affordable housing in future local area plans.
In addition, all previous developer contributions will be refunded - an amount expected to be in the order of $10 million.
"This is a state and national issue not a local council issue," Mr Walker said. "The financial burden should not rest with private developers, and in light of this decision we would now call on the State government to use some of the stamp duty windfall to assist the Brisbane City Council in providing much-needed housing.
"I congratulate the Labor majority for its sensible approach to this long-term community issue."