I’m here with the COVID-19 business continuity update on Friday 15th May.
In today’s briefing, I want to update business owners on the increasing support I’m seeing for new building investment.
In my previous posts I’ve written about where I predicted we might see stimulus directed to rebuild the Australian economy. In particular I spoke about building and the possibility of social housing being an area that could see stimulus invested.
Since then, I’ve seen an increasing groundswell from political parties and industry influencers for the government to invest in housing construction, for both private home buyers and for social housing. Both the Labor party (to read the article, click here) and the Greens (and to read this article, click here) are pushing for housing, and the Liberal party themselves are known to be pro-construction.
Cbus, the construction industry fund, has $2.5 billion ready to spend on housing, infrastructure and local companies. Other groups that are also advocating for investment in new housing are the Urban Taskforce, Property Council of Australia, the ACTU, and leading academics.
This kind of groundswell of support doesn’t necessarily mean it will convert into investment, but with this level of bi-partisan support and so many industry experts pushing for it, we’d be smart to assume that there will be some money allocated to social housing.
Today the Victorian government announced the approval of the latest round of funding for the Social Housing Growth Fund. The fund was established in 2018 so this isn’t a new investment but what we can take from this announcement is that this project is continuing to gain momentum and the money is flowing.
So, if this industry and stimulus measure is applicable to you, I want you to start talking to your business coach and thinking about what you need to do to position yourself to be a supplier to social housing. Go through your network and reach out to people you know who either operate in this space or may be able to introduce you to someone who does. As I’ve highlighted before in these posts, follow the money.
Learn what you can about where the projects are, the scope of the works, who’s running them. For example, the scope of the Carlton housing redevelopment project includes:
- 246 new public housing units and 847 private sale apartments,
- a community wellbeing precinct providing aged care living, rehabilitation services and child care services.
- The project will also deliver foyer upgrades, garden and open space areas, safety and security features, and recreation and play areas.
The Housing Victoria website is a good research resource: https://www.housing.vic.gov.au/housing-projects
As we head into the first weekend of the relaxed restrictions, I hope you’re able to enjoy catching up with friends and family. Stay safe.
Ashley Thomson B.Eng(Hons), Grad. Dip. Mgmt, MEI
Tenfold Business Coaching