Geraldton Housing Action Plan
The Commission delivered the Geraldton Housing Development Forum in 2023, providing an opportunity for industry, Government and key stakeholders to discuss housing solutions to improve the capacity of the local housing market, respond to the needs of current and future population growth, learn about government funding opportunities, address key challenges and connect with industry partners.
Two workshop sessions were held with Forum attendees, which focussed on supply and demand challenges and possible interventions in the constrained Geraldton housing market.
These identified several priority actions including the development of a Geraldton Housing Action Plan, and formation of a Geraldton Housing Advisory Group and Geraldton Housing Industry Working Group.
The Action Plan identifies actions, opportunities and outputs from the Forum workshop to increase housing for workers and provided recommendations for how the development of housing might be best facilitated in the city centre, including ranked priorities, lead agencies and potential funding.
The framework for the Action Plan is based on achieving seven critical outcomes to improve housing market efficiency and address the identified supply and demand challenges and opportunities.
The seven outcomes are:
- Supply side responses - to remove barriers to the local market’s ability to deliver the required accommodation to meet demand:
- Optimise existing housing and land stock
- Enable new housing and land supply
- Increase housing market capacity
- Attract funding and financing.
- Demand side responses - to cultivate, shore-up and bring forward the demand required to secure the required supply:
- Coordinate current and future demand
- Optimise outcomes from (Government and private sector housing and worker accommodation) tender processes
- Increase investment in housing in the Mid West region.
Geraldton Housing Advisory Group
The Geraldton Housing Advisory Group (GHAG) is a collective of stakeholders from Government and industry who aim to foster a better understanding of the constraints and limitations for Geraldton housing supply, and to identify proactive solutions.
The GHAG members share knowledge and provide strategic advice and guidance to the Commission and other relevant agencies on strategies to increase housing supply as identified in the Geraldton Housing Action Plan.
The purpose of the GHAG is to:
- Support and guide the review and implementation of initiatives and actions in the Geraldton Housing Action Plan.
- Engage with government agencies, the private sector and relevant peak bodies on key housing issues.
- Collaborate with key representatives and stakeholders from across the housing sector, relevant community organisations and peak bodies as required.
- Identify solutions and next steps, including alternative housing solutions to address project-driven population growth, and associated delivery models.
- Leverage existing Government support with an understanding of the constraints and limitations for Geraldton housing supply, including capacity constraints.
Chaired by the Commission, the GHAG is made of industry peak bodies and key government bodies.
It provides advice to the Commission on local and State Government land supply and development options, project workforce accommodation needs, investor and industry attraction models, and other relevant issues.
Geraldton Housing Industry Working Group
The Geraldton Housing Industry Working Group (GHIWG) is a forum for building and construction industry leaders to develop a shared vision and cohesive industry voice.
The GHIWG provides insight and an understanding of the constraints, limitations and potential solutions for Geraldton housing supply, and feedback on key initiatives in the Action Plan.
The purpose of the GHIWG is to provide ‘real time’ insight into the housing and construction issues in Geraldton.
It advises the GHAG and ensures that any planning is directly informed by those currently working in the local construction industry.
North Midlands and Batavia Coast Housing Forum
The North Midlands and Batavia Coast Housing Forum connected Government and construction sector representatives, particularly modular building companies, in March 2024.
Different housing scenarios and case studies were shared, with delegates concluding that the following were critical to facilitate the required housing supply in these communities:
- Land availability – accessible land, suitably zoned and serviced to support the intended housing / accommodation outcomes
- Certainty of demand – proponent commitments to occupy and pay for the housing
- Funding and financing – a clear pathway to secure the required project funding and / or financing arrangements
- Delivery capability and capacity – ability of industry to efficiently deliver the required built form solutions to the desired scale, time, cost and quality standards.
Participants were invited to workshop the issues and collaborate to identify, plan and deliver specific solutions - and describe what they were willing to contribute.
The Forum concluded that a number of initiatives are necessary address this challenge, with strong willingness from all parties to work together.
The Commission continues to work with stakeholders to develop and progress tailored housing solutions.
Murchison Housing
The Commission funded a Murchison Housing Study in 2022-23 that was undertaken during 2023‑24.
The study explored options to address the challenges facing housing delivery in the Murchison subregion, which is also severely constrained by high development costs, scarcity of suppliers, cyclical economic conditions and relatively low investment returns.
Collaboration was identified as a key opportunity for shires to address housing challenges by pooling resources and coordinating advocacy, engagement and policy efforts to develop solutions.
An economic modelling tool was also produced that allows the comparison of different scenarios between individual shires and collectives.
The ‘model’ considers individual shire efforts as the ‘base case’ and compares this to individual dwellings and shared developments across multiple communities.
The model includes capital costs and expected revenues across individual and group developments, and allows users to consider the impact of external funding, interest rates, repayment periods and other factors on overall project feasibility (at a high level).
It highlights the value of collaboration and assumes benefits of larger scale developments in terms of external funding potential, streamlined design and procurement efforts and lower pricing.
The Commission shared the report with Murchison local governments during 2023-24 and will continue to encourage use of the model to compare different development scenarios.
Housing demands are unlikely to subside and the Commission will continue to advocate for collaborative efforts to address growing future housing demands across the Mid West.
Kalbarri key worker housing
Following STC Seroja in April 2021, there were various government efforts to provide short stay accommodation for key workers to aid the reconstruction efforts.
A suitable site opposite the Kalbarri foreshore was identified and although a preferred housing developer was selected, this process was later terminated.
Demand for key worker housing has not waned and the State released the Woods Street site to the Shire in 2023-24 for development.
The support the Shire’s efforts to develop the site, the Commission provided $130,000 for analysis of options, site designs and a business case.
Preliminary estimates suggest the lot will facilitate around 30 dwellings, which could mean accommodation for up to 60 key workers.
Future management of this site may include real estate services and tenancy management and servicing.
The business case will inform the Shire’s decision whether to manage these responsibilities in‑house or through a third party.
The dwellings will be modular in design to expedite development and reduce costs.
This project may also help introduce modular dwellings to the region, where standard ‘brick and tile’ construction methodologies and expertise are most prevalent.
The Shire confirmed plans for the modular dwellings late in 2023-24, which are expected to be delivered and erected within 2024‑25.
The first 1-2 dwellings will occupy Shire and contract staff involved with project management and site supervision for the Kalbarri foreshore redevelopment.
The emerging private sector focus on Kalbarri (e.g., renewables and garnet) is also driving significant demand from industry and government agencies.
Remaining dwellings may support these growing public and private sector demands in the medium-longer term.
Local content
The Commission is committed to capturing regional benefit from government and major industry investment by identifying local content opportunities from tenders or projects.
The Commission worked with local businesses to assess their capacity and capability to engage with government and the private sector for commercial tendering opportunities, identify support mechanisms and actively promote local content opportunities to businesses.
Supporting the development of new and existing Aboriginal owned and operated businesses is a priority.
By working closely with JTSI and the Department of Finance, regional businesses were better prepared to meet the requirements of the Buy Local Policy, Aboriginal Procurement Policy and Western Australian Procurement Rules, and participate in local tenders, contracts and projects.
Throughout 2023-24, the Commission worked closely with Multiplex, the head contractor for the State Government’s Geraldton Health Campus Upgrade.
A review of project documentation identified opportunities to isolate individual work packages suitable for local businesses and a Stage 1 minor works package was awarded to a local Aboriginal business.
As a result of the strong working relationships established with Geraldton Health Campus project managers, the Commission was then engaged in the early-stage development of the Meekatharra Hospital Project.
The process has also resulted in the development of a database of 500 businesses and detailed understanding of capacity and capability across the region.
Additional local content outcomes include:
- Value of contracts awarded to local businesses in the Mid West and reported for 2022-23 was over $14 million.
- Current estimated value of contracts awarded for 2023-24 in the Mid West is approximately $27 million.
- Forward procurement planning look ahead for the Mid West region for 2024-25 has approximately six opportunities with a value estimate of $23 million.
- Awareness-raising of State Government, local government, resources and large private enterprise tenders via weekly subscription email to local businesses.
- Increased local business engagement and awareness of opportunities for Department of Communities tenders.