Homes Victoria
Housing at Brighton, Flemington and Prahran will be delivered through a Ground Lease Model.
| Location | Completion | Project Value |
|---|---|---|
| Victoria | Early 2024 | $500,000,000 |
Number and type of affordable/social housing dwellings
The project will build 1,110 new homes – 619 brand new social housing dwellings, 126 affordable homes and 365 market rental homes, including 52 Specialist Disability Accommodation dwellings. New social and affordable homes housing at Brighton, Flemington and Prahran will be delivered through a Ground Lease by a not for profit project group, overseen by Homes Victoria.
How it will be delivered
The first of its kind for social housing in Australia – the Labor Government will lease land in Brighton, Flemington and Prahran to a consortium to build, operate and maintain housing on the sites for 40 years. At the end of the lease, the land and all 1,110 dwellings will come under the management of Homes Victoria. The dwellings will replace 445 outdated social dwellings and be a mix of one, two, three and four-bedroom homes – catering for both individuals, couples and families. They will also be energy efficient, environmentally sustainable and have large communal green spaces.
Funding
A not for profit project group overseen by Homes Victoria will design, construct, finance, maintain and manage all new housing at each site in agreement with Homes Victoria’s project requirements and specifications.
The project group is made up of:
- “>Community Housing (a Registered Housing Agency) as the equity provider and operator
- (National Housing Finance and Investment Corporation) as the debt provider
- Tetris as bid lead and financial advisor
- Icon as the builder
- Citta Property as development and property advisor
How affordability is ensured long term
Homes Victoria will retain ownership of the land and lease it to the consortium, to build, operate and maintain the housing for 40 years. At the end of the ground lease, the land and all homes will return to public ownership and management. The homes will be returned in the same condition they were in at the start of the 40-year term.
“CHL will reinvest its rental income over the remaining 28 years in developing new housing, which would allow it to double volume of new stock created, keeping in the same proportion of market housing and social and affordable housing stock.” 1
Links
- More homes and thousands of jobs in new housing model
- FAQs Home Victoria – Ground Lease Model
- Financial Review article (account required)
- New Street, Brighton Update
- Holland Court, Flemington Update
- Bangs Street, Prahran Update
- Michael Bleby – Financial Review – 16th May 2021 – Victoria taps ground lease model to boost affordable housing
