The state government wants industry to build a manufacturing hub in Perth’s north to pump out affordable modular apartments at a faster and cheaper rate than traditional builds.
Treasurer Rita Saffioti and Minister for Housing John Carey called for expressions of interest this morning, with the government to make a 10 hectare block of land in the Neerabup industrial estate available for the facility.
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Saffioti said advanced manufacturing technology allows developers to build major components of a dwelling offsite, “like a modular home, but for apartments”.
“We’ve seen this being delivered across the world, and we’re seeing, as a result, far more volume in relation to apartments and multi-unit dwellings,” she said.
“There are a number of builders out there who have implemented this type of technology around the world, and we’re asking builders to provide their input into how they will deliver such a facility in WA.”
Carey said the ultimate aim of the facility would be to enable around 2000 apartments to be built each year for both the public (social housing) and private sector.
Perth’s rate of apartment completions has collapsed to its lowest since records began in the 1980s. Only 1.1 per cent of Perth homes are apartments, compared to Melbourne’s 3.8 per cent and Sydney’s 6 per cent.
The main barrier is simply that apartment projects are not financially viable because the cost of delivering an apartment is generally higher than the market was willing to pay.
