developments curated from various publications, impacting building design practices, with actionable insights for your professional work.
ESSENTIAL UPDATES
This week's developments reflect significant challenges and opportunities across Australia's building and design sectors. Major themes include innovative approaches to housing supply, concerning trends in construction costs and approvals, and important regulatory developments. The news cycle highlights an industry in transition, grappling with affordability challenges while embracing new construction methods and sustainable practices
8 Feb 2025
In this newsletter you can expect:
Market trends and sector developments
Industry leadership updates
Policy reform insights & economic analysis and data
Links to Pprofessional development opportunities
HOUSING SUPPLY AND DEVELOPMENT
In a significant development for NSW's housing sector, the Housing Development Authority (HDA) has reported an exceptional response to its recent initiative, receiving 96 submissions within three weeks - including 85 for metropolitan areas and 11 for regional NSW. This response could potentially deliver 40,000 new homes, substantially exceeding state expectations and highlighting strong private sector engagement in addressing housing supply challenges
Parallel to this, major financial institutions are adapting to support innovative construction methods. Commonwealth Bank has taken the lead by announcing reforms to their lending requirements for prefabricated housing, acknowledging current challenges in meeting the federal Labor government's target of 1.2 million homes by 2030 This move has prompted the Albanese government to call on other major banks to follow suit and revise their prefabricated housing lending policies
Those interested in exploring emerging construction technologies can attend the February InspoExpo series, featuring presentations from Kingspan Insulation
Smart Power Tech 1
Smart Power Tech 2
Australian Glass Group 1
Australian Glass group 2
Sources: NSW Housing Development Authority, The Australian, Sydney Morning Herald
Related Professional Development: The upcoming "Ask a Planner: Online Workshop Series" will provide guidance on optimising designs for rapid development approval.
INDUSTRY LEADERSHIP AND INTEGRITY
Leadership Changes and Integrity Challenge
Shape Victorian Building Sector
The Victorian building industry is experiencing significant shifts in both leadership and regulato oversight Development Victoria has appointed Anne Jolic as CEO, bringing extensive industry credentials including executive positions at Lendlease, Mirvac, and the Property Council of Australia. With over 25 years of experience, Jolic's appointment aligns with the Allan Labor Government's development agenda, particularly focusing on housing supply and urban renewal initiatives.
Related
Professional Development
However, the sector is also facing some challenges following ABC News' revelation of an extensive anti-corruption investigation into the Victorian Building Authority (VBA) The investigation has led to charges against three VBA employees and multiple builders in an alleged bribery scheme involving builder registration processes. The scandal, centred around accusations of staff accepting payments to fast-track applications, has exposed potential systemic weaknesses in regulatory oversight
Industry professionals can enhance their understanding of compliant contract administration through the upcoming Contract Administration Workshop with Geoff Hoare, scheduled for April 12, June 28, and September 27
Anne Jolic, CEO, Development Victoria
INDUSTRY CHALLENGES AND INNOVATION
Supply Chain Disruption and Digital Evolution Reshape Industry Landscape
The Australian construction industry faces a significant shift in its supply chain dynamics with the collapse of Oceania Glass, the nation's only architectural glass manufacturer. As reported by the Australian Financial Review, this closure ends 169 years of operation, affecting 260 employees and raising critical questions about Australia's manufacturing self-sufficiency and increasing reliance on imported materials
Simultaneously, the Canberra Times reports that the industry's digital transformation is creating a dual landscape of opportunities and challenges. While digital tools have revolutionised project management, client communications, and documentation processes, they've also introduced new vulnerabilities requiring careful management of cybersecurity risks
POLICY AND ADVOCACY
Reform Push and Infrastructure Investment Call Mark Policy Agenda
A multi-faceted policy debate is emerging across the sector The Sydney Morning Herald reports that the Business Council of Australia has initiated a significant campaign for regulatory reform, drawing inspiration from international deregulation efforts while aiming to maintain essential safety and quality standards.
This push coincides with HIA's proposal for a $12 billion federal infrastructure investment package, specifically targeting road network expansion in growth areas, water and sewerage infrastructure, and critical enabling infrastructure for new developments
Adding urgency to these initiatives, a new Productivity Commission’s report on Government Services highlights downward trends in Victoria's housing delivery, revealing that only 4,067 new social/community housing dwellings were added in the past decade – less than half of NSW's 10,454 Shadow Minister for Planning and Shadow Minister for Housing, Richard Riordan, says more concerning is the decline in public housing stock by 181 homes, despite the state's "Big Build" initiative.
New efficiency requirements in documentation and submission processes
Enhanced focus on selfregulation and professional accountability
Infrastructure investment could create:
New opportunities for integrated design approaches
Need for enhanced coordination with infrastructure planning
Increased focus on development-ready sites
The combined challenges and policy initiatives suggest a period of significant industry transformation, requiring building designers and energy assessors to maintain flexibility in their approaches while ensuring robust risk management practices.
ECONOMIC INIDICATORS AND MARKET ANALYSIS
Mixed Economic Signals Amid Housing Pressures
Recent economic data presents a nuanced picture of Australia's construction sector According to Architecture & Design's analysis of ABS figures, while underlying inflation has dropped below 3% for the first time in three years, housing-related costs continue their upward trajectory Master Builders Australia has emphasised the significance of this trend, particularly noting a 6.2% increase in rents over the past 12 months, and warns against premature optimism
HIA's analysis of December 2024 building approvals data further underscores the sector's challenges While overall residential approvals held steady at 15,170, the composition shows concerning shifts: detached house approvals declined by 2.8% to 8,860, partially offset by a 6 0% increase in multi-unit approvals to 6,310 These figures remain significantly below the levels required to meet current population growth demands.
Sources: Architecture & Design, Australian Bureau of Statistics, Housing Industry Association, Master Builders Australia
UPCOMING EVENTS
FEBRUARY 2024
INSPOEXPO Program (FREE Webinar series)
Dates: Feb 11–20
Location: Online via ZOOM
Status: No registration required direct ZOOM access
Just click the link to join.
Format: Six days of expert-led webinars
Daily Schedule
Tuesday Feb 11
1:00PM - Kingspan
2:00PM - Smart Power Tech
Wednesday Feb 12
1:00 PM - Australian Glass Group (Webinar 1)
Tuesday Feb 18
11:00 AM - Smart Power Tech (Webinar 2)
1:00 PM - XCEM
Wednesday Feb 19
1:00 PM - Australian Glass Group (Webinar 2)
Thursday Feb 20
10:00 AM - AWS 12:00 PM - Bondor
2025 South African Study Tour Info Evening
Date: Feb 13
Time: 6:00 PM
Location: 14 Queens Road, Melbourne
Status: 5 days till Registration closes
DMN's Summer Kick-Off 2025
Date: Feb 20
Time: 6:00 PM
Location: Carousel Albert Park, Melbourne
Status: Registrations Closing Soon
FirstRate5 LIVE: Model Class 2 Multi-Dwellings (v3.2)
Date: Feb 21
Time: 12:00 PM
Location: Online (AEDT)
Note: 8 hours (2 x 4 hours) small group training
Status: Registrations Closing Soon
Ask a Planner Series
Date: Feb 26
Time: 10:00 AM
Location: Online (AEDT)
Topic: Year in Review - Victorian Planning Changes
Status: Registrations Closing Soon
The Hütt 01 Passivhaus: Home Tour
Date: Feb 27
Time: 10:30 AM
Location: 146R Bell Street Coburg, Melbourne VIC
Status: Registrations Closing Soon
MARCH 2024
Women of DMN Catch Up at Northside Wines
Date: Mar 6
Time: 7:00 PM
Location: Northside Wines, 543-545 High St Northcote, Melbourne VIC 3070
Women of DMN Catch Up at Next Door
Date: Mar 7
Time: 12:30 PM
Location: Next Door At Omar & the Marvellous Coffee Bird, Melbourne VIC 3185
