Expanding Build to Rent
Cook AP
Author
The Albanese Government has passed legislation to support the construction of around 80,000 new rental homes through tax breaks for build-to-rent projects. The program requires developments to have 50 or more dwellings and maintain single ownership for at least 15 years.
Key features of the legislation include:
10% of dwellings must be affordable tenancies
All tenancies must be offered for minimum five-year terms
Affordable tenancies will be managed by community housing organisations
No-fault evictions will be prohibited
Affordable rents capped at 74.9% of market value
Income requirements for affordable housing access
The legislation also allows existing build-to-rent developments (constructed or under construction before last year's Budget) to access the incentives if they meet eligibility criteria, which could provide up to 1,200 affordable homes immediately.
Industry groups including the Property Council of Australia, National Shelter, and the Community Housing Industry Association have shown support for this legislation, with YouGov polling indicating over 60% public support, rising to 71% among renters.
[1] https://ministers.treasury.gov.au/ministers/jim-chalmers-2022/media-releases/build-rent-bill-paves-way-construction-80000-homes
[2] https://www.brokernews.com.au/news/breaking-news/buildtorent-bill-could-ease-crisis-285992.aspx