Skip Ribbon Commands
Skip to main content

News release

SYDNEY

State Government funding for planning and housing in NSW a positive for property sector: JLL


​The commitment to funding of planning and housing in NSW delivered in the 2015/2016 NSW State Budget will have a positive impact on the state's property sector, according to JLL.

JLL's NSW Managing Director Michael Fenton said the funding would play an important role in the continued development of the state's residential property sector. "The $400 million allocation to the Housing Acceleration Fund in this year's budget is a significant addition to the initial amount and a positive for the house and land market in NSW, particularly Sydney. It will help fund the necessary infrastructure to speed up the delivery of land supply in key high population growth areas.

"According to the Metropolitan Development Program, the NSW Government has released land with the potential to provide 170,500 new dwellings in Greater Sydney. Blacktown, The Hills Shire, Camden, Campbelltown and Liverpool Local Government Areas (LGAs) contain almost 85% of this stock of land within the 'Priority Growth Areas'. However, less than half of the released land stock in the five LGAs has been re-zoned and serviced with water and sewerage connections necessary for land release."

Another positive for the property sector announced in the NSW State budget is the $19 million allocation to set up an independent Greater Sydney Commission, responsible for implementing the metropolitan growth strategy released in December 2014, 'A Plan for Growing Sydney'. "The development of six sub-regional plans will provide greater clarity on the magnitude and location of future population, housing and employment growth within each of the areas," Mr Fenton said.

JLL Director of Residential Research, Rupa Ganguli said, "The funding announced in the NSW State Budget will ensure better housing supply and have a positive impact in markets such as Sydney. Prices have been driven up due to a housing shortage over the past five years, with affordability an issue as price growth has been well above income growth."

The announcement of funding to accelerate infrastructure projects in the NSW Budget was also welcomed by Mr Fenton. "We continue to be encouraged by the NSW Government's commitment to infrastructure spending and the flow-on effect this will have on the commercial property market, as well as making NSW more attractive to live, work and visit," he said.