Compact City - Affordable Housing Strategy

Final Strategy

Compact City: Footscray Affordable Housing

FOOTSCRAY

L Bhavesh / C Chesworth G Osborne / A Truong

Acknowledgement of country

This strategy proudly acknowledges Victoria’s Aboriginal community and their rich culture and pays respect to their Elders past and present.

We acknowledge Aboriginal people as Australia’s first peoples and as the Traditional Owners and custodians of the land and water on which we rely. We recognise and value the ongoing contribution of Aboriginal people and communities to Victorian life and how this enriches us. We embrace the spirit of reconciliation, working towards the equality of outcomes and ensuring an equal voice.

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Executive Summary

For the Yalukit-willan, the Marin-balluk and the Wurundjeri peoples of the Kulin nation, Footscray was a meeting place where the local lands and river provided resources of survival and fostered unison among tribal groups.

As the shape of the landscape and its inhabitants changed, Footscray has remained consistent in its provision of lifegiving produce and social cohesion. From humble beginnings as the first link between Melbourne, Geelong, Ballarat and Bendigo and an area of industrial production, to a haven for post-war migrants Footscray has remained a place of acceptance and prosperity. As Footscray moves into the future it is experiencing further change to the function it plays for its residents, visitors and the Greater Melbourne region.

Significant investment in vital service and transport infrastructure means Footscray will further become a vital part of the greater city’s future, as it becomes a city within a city.

For Footscray to retain its unique social fabric in this rapidly changing economy it must plan for a shared future, providing for all people who call Footscray home, past, present and future. This plan must ensure there is significant provision of affordable housing community services and sanctuaries for societies most vulnerable.

As Footscray moves into this shared future it is of vital importance that the diverse and inclusive fabric that makes Footscray unique is not lost. An integral part of this is ensuring all residents are cared and provided for.

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Contents.

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6.

Introduction

9.

Vision

11.

Context

18.

Housing overview

20.

Affordable housing

22.

Sector overview

24.

The strategy

27.

Affordable housing plan

38.

Implementation timeline

40.

Needs analysis

50.

Exemplary sites

57.

Pilot sites

61.

Vipont Street

65.

Conclusion

68.

References

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Introduction

As Footscray moves into the future it is of vital importance that the diverse and inclusive fabric that makes Footscray unique is not lost.

An integral part of this is ensuring all residents are cared and provided for

The purpose of this affordable housing plan for Footscray is to ensure that all residents are cared and provided for in the face of rapid development, densification and gentrification. Through quantitative analysis it is clear that while Footscray remains relatively affordable compared to the the Greater Melbourne region overall, housing stress is likely to grow in line with broader economic restructuring, population growth and income inequality. In the future more low and moderate income households are expected to fall into housing stress.

Footscray also has a relatively high proportion of people experiencing homelessness or living in insecure housing. This present reality is something that this plan seeks to urgently address through the provision of additional short and long term accomodation options.

Taking this into consideration this affordable housing plan proposes that significant investment is needed to ensure Footscray retains its cultural fabric and affordability. This plan will look at appropriate council owned sites that are suitable for redevelopment into various affordable housing options.

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Policy context This report begins by reviewing the housing policy environment which forms its background. From its post-war heyday, enthusiasm for public housing waned considerably after the 1970’s. AHURI describes a shift from housing conceived as a universal right, with state-policy taking an active role in the provision of key worker housing to a more targeted, welfare based system. After a period of divestment, affordable housing policy and provision came to the fore after the Global Financial Crisis, used as a form of stimulus. Although funding for public housing has stagnated, there is currently significant investment in the Community Housing sector by federal and state governments.

Context analysis Context analysis is broken into studies of basic cultural and economic demographics; analysis of wealth and income inequality; housing; housing affordability and a review of the affordable housing sector.

Affordable Housing Plan The plan for affordable housing plan outlines the key implementation plan for achieving the principles in the strategy. It is broken into four broader directions: planning, provision, finance and partnerships.

Needs analysis The needs analysis outlines our tool for establishing equitable locations for affordable housing based on the sorts of services different people in affordable housing may require access to. It finds that most of the central Footscray area is suitable for affordable housing.

Case studies and pilot sites Case studies are used to illustrate the creative possibilities for development on the pilot sites identified through the needs analysis. The final case study, Vipont Street, is visited in greater detail to explore some of the implementation strategies in context.

The Strategy The strategy is organised around one vision, three principles and eight implementation goals.

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Vision

‘Footscray is a city within a city, celebrated for its historical diversity its cultural landscape and its cohesive community.

Footscray will continue to be a beacon of inclusion in Greater Melbourne, ensuring all member of its community are provided for through the provision of well designed, sustainable affordable housing and access to essential services and amenities, a stones throw from the CBD’

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Context.

Introduction to Footscray Footscray is a place the has evolved and been shaped by its inhabitants, the tribal groups of the Kulin nation and more recently European, Asian and African migrants refugees. All these people came to Footscray for its natural provision of food, shelter, protection and acceptance. Through their occupancy Footscray became one of the most accepting multicultural suburbs in Melbourne, home to people from every corner of the world, all feeling at home.

The continuing evolution of Footscray is currently being influenced by the range of service and transport infrastructure projects currently being undertaken.

Significant investment is being made which will ensure Footscray continues to be the gateway to the Melbourne CBD, with project such as the metro and West Gate Tunnel placing Footscray at the centre of logistics and transport in the Greater Melbourne region. Additionally the investment being made in Victoria University and the redevelopment of Footscray Hospital will continue to make Footscray the cornerstone of health and academic research in Melbourne.

As Footscray continues on this trajectory of development there has been, and will continue to be, a shift in the people who occupy the traditionally working class suburb. With improved transport and densification young professionals and students will take advantage of Footscray’s close proximity to the Melbourne CBD and university, and rents that for the time being continue to be below the Greater Melbourne average.

During this time of investment and change it is imperative that Footscray continues to care and provide for all its residents, new and old, in the way that it has for thousands of years. Apart of this is the need for societies marginalised to be considered in all future planning.

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Context: Policy In the last 30 years, there has been a growing concern and pressures for the housing market to attend to the needs of those in the lower income groups (AHURI, 2017). Single-person households, people who are or at risk of homelessness and people with disabilities are particularly vulnerable to housing insecurity. The current Federal Government has continued a number of policies targetting housing affordability.

From its post-war heyday, enthusiasm for public housing waned considerably after the 1970’s. AHURI describes a shift from housing conceived as a universal right, with state-policy taking an active role in the provision of key worker housing to a more targeted, welfare based system. After a period of divestment, affordable housing policy and provision came to the fore after the Global Financial Crisis, used as a form of stimulus. Although funding for public housing has stagnated, there is currently significant investment in the Community Housing sector by federal and state governments.

The National Housing Homelessness Agreement (NHHA) Established in 2017, $4.6 billion is available for improving the affordable housing plan for Australia. Initiative of agreement amongst the Federal Government and States to focus on improving housing stock for homeless individuals or those at risk.

Goals: achieving sustainable housing and social inclusion, ability to purcahse affordable housing, access for Indigenous community to have the same housing opportunities and ability for individuals to met their housing rental needs

The policy trends over the past 50 years of investment in affordable housing reflect a transition from direct government provision of housing to a more hands-off, neoliberal market-based approach through the privatisation of the housing sector.

Timeline: Housing Policy Commonwealth Housing Housing Commission Commission

Victoria (HCV)

1938

Metropolitan Melbourne Planning Scheme

Commonwealth State Agreement (CSHA)

1943

1945

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CSHA Amendments (Menzies Goverment)

1954

1956

Housing Act

1983

The National Housing Finance and Investment Corporation (NHFIC) Initiative by government to provide longterm low-cost finance for affordable housing providors. Established in 2018, it provides long-term low-cost finance to affordable housing providers and community housing associations. This takes the form of concessional loans, equity investments and grants totalling $1 billion. The benefits of this is the stronger push for private institutional investments to help expand greater accessibility to affordable rental housing.

The National Disability Insurance Scheme (NDIS) there is an available pool of $22.2 billion available aimed towards helping individuals with disabilities. The major focus is on assisting and helping them to access employment, education and health services in the community.

National Rental Affordability Scheme (NRAS)

Social Housing Initiative (SHI) National Affordable Housing Agreement (NAHA) National Partnership Agreement on Homelessness (NPAH)

2008

2009

Plan Melbourne (2017-2050) A Victorian State-led strategic plan addressing a variety of goals and targets (Victoria State Government, 2019). The goals range from managing population growth, increasing affordable housing to connecting communities through transportation modes.

Homes for Victoria (2017) Victorian State-led plan to address the affordable housing issues faced by Victorians. It aims to provide Victorians with greater choice in their housing. This is one of the biggest commitment by the Victorian Government to support homelessness services and social housing through $799 million of funding. The goal is to generate approximately 6,000 new social housing homes, renew 2,500 new public housing and to assist 19,000 people who are or at risk of homelessness. This takes the form of a Social Housing Growth Fund, Social Housing Pipeline, Public Housing Renewal Program to the supporting of housing associations with the management of transfer of public housing stock to the community housing sector.

National Housing & Homelessness Agreement (NHHA) National Housing Infrastructure Facility (NHIF) National Housing Finance & Invest Corporation (NHFIC)

Plan Melbourne

Homes for Victorias

2017

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Context: Demographics Population Footscray is one of the major activity centers identified in Plan Melbourne and is growing at a fast rate. Current projections estimate that the population will increase from 17,536 to 49,021 in 2041 (abs Census 2016).

Household composition According to the census, a large proportion of single-parent families live in Footscray comprising of 14.6 per cent in contrast with that of Greater Melbourne (6.5 per cent) (Australian Bureau of Statistics, 2018).

The average household size is 2.2 and has decreased overtime alongside increasing numbers of couples without children.

Employment There has been a significant shift in industries of employment in Footscray since 2006, with a shift away from manufacturing (11.2 per cent to 9.5 per cent) to healthcare (4.8 per cent to 11.6 per cent) (Australian Bureau of Statistics, 2018).

Cultural diversity Footscray is a culturally diverse suburb with residents of mainly European and South Asian descent, these are predominantly Italian, Greek, Vietnamese, Chinese, Ethiopian and Indian (Australian Bureau of Statistics, 2018).

Footscray has a relatively young population, with a median age of 32 (compared to 36 in Greater Melbourne).

Demographic trends indicate that there are an increasing number of households only speaking English at home. It is likely that this is relational to increasing household wealth and Gentrification which poses a challenge to future housiing affordability.

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Pu b l i c ad m i n

M edian weekly individual inc om e

$623

7.9%

15.6%

Ed u cati o n

M edian weekly household inc om e Fig 6.

F ig 5 .

19.40%

42.70%

M elb o u r n e CBD

Ca r

4.40%

36.15%

D o cklan d s 3.75%

Public Tra nsport

S o u th b a n k

11.48%

2.49%

Work a t home

Parkv ille 2.17%

8.36%

R i ch m o n d

A c tive Tra nsport

C o m m ut e t o wo rk

Mode of tra ve l to work

10. 5 8% 9.8 5 %

9. 9 3%

8. 27%

Heal th care

E d uc ati o n

7. 7 0%

1 1.4 0 %

10. 7 4%

Fig 7.

INDUSTRIES IN FOOTSCRAY

20 1 6

9 .90 %

4 .76 %

Acco m o d ati on & f o o d

20 1 1

8 .50 %

11. 2 2%

2006

M an u fa ctu r in g

$ 1 ,3 1 4

9 . 49%

29.8%

Heal th care

To p Em p l oyi ng i nd u stri e s fo r residents

Fig 8.

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Wealth & Inequality Wealth As household wealth increases so does inequality. While parts of Footscray are relatively properous, there remain large pockets of disadvantage and in Footscray there are massive disparities between streets.

Spatial distribution of inequality and wealth generates patterns of higher income levels are along the Eastern boundary closer to the more affluent Seddon and in the northwestern and western corners. Conversely, pockets of inequality largely dominate the north-east and south-western corners of the suburbs where there is a larger prevalence of social housing estates and community housing. Interestingly, this spatial distribution involves highly affluent pockets butting up to less affluent ones.

Income Income reflects not only socio-economic status but also a number of other demographic factors such as qualifications and occupations in the region.

There remains persistent disadvantage with a high percentage of individuals earning less than $500 per week. Additionally, when broken down into individual income quartiles.

Footscray has a higher proportion of individuals in the lowest income bracket (up to $310 a week), 25.9%, compared to the highest income bracket above $1199, 24.2%. The region has a smaller percentage of individuals earning more than $1750 (very high income) than it does earning very low incomes, with 8.5% earning up to $399.

This discrepancy helps to reflect that Footscray, although affluent in some pockets, is very a very mixed-income suburb.

Graph of income over time vs greater Melbourne 16 | UPD4001-Planning Project 1: Compact city ­— Assessment 2

IRSAD map in context IRSAD QUINTILE 1 2 3 4 MOST TO LEAST DISADVANTAGE

N

0

IRSAD map of Footscray

Footscray boundary

250m

500m

Fig 14 .

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Housing overview The data presented highlights the pertinent need for multiple types of affordable housing in Footscray. The percentage of households experiencing housing stress in Footscray is more than double that of the Greater Melbourne region, demonstrating that Footscray the need of the provision of long-term affordable housing for a range of household compositions. The relatively high proportion of people experiencing homelessness brings to light the needs for the development of crisis housing in the area.

This need is emphasised when looking to the future, where it is predicted more residents in Footscray will slip into a state of housing stress or crisis.

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The main tenure type for housing is private rental property at 40%, then private home ownership at 36.6% and lastly community housing comprising of a meagre 1.7% (Australian Bureau of Statistics, 2018).

With this in mind, there is currently a crisis in accommodation as roughly 894 people are homeless or in-crisis, 272 in crisis accommodation and 1,266 who are receiving government assistance. Out of the 894 people, a considerable concern is that 426 are sleeping in severely overcrowded conditions.

2016 total populaion 16,345

Greater Melbbourne

6,441 households with

consists of 1,574,474 households with a median

a median income of

$1,314

income of $1,542

677,608 (43%)

households earn above the median

housholds earn above the median

3,064 (47.6%)

741,570 (47.1%)

households earn below the median

households earn below the median

Median weekly rental

Median monthly mortgage repayment is

payment is $310

$1,842

3,783 households rent in Footscray, of these 923 spend 30% or more of

1,452 households in

Footscray have a mort-

gage, of these 67 spend

30% or more of their

their weekly income on rent

24.4%

rental stress

Melbourne

Footscray

2,825 (43.9%)

income on their mortgage

302

Homeless

4.6%

mortgage stress

S ou r c e : Australian Bureau of Statistics, 2016, Census of Population and Housing UPD4001-Planning Project 1: Compact city ­— Assessment 2 | 19

Affordable housing Affordable housing refers to housing that is located close to transport, services and employment, where the cost of housing (mortgage repayment or rent) is no more than 30% of the household income (Australian Housing and Urban Research Institute 2006).

Affordable housing is relevent to households recieving the lowest 40% of gross household income. Households who spend more then 30% of their gross income on housing are considered in ‘housing stress’.

Until now Footscray has been a relatively affordable area for renters. However, household wealth has historically been lower than greater Melbourne, with Footscray residents earning far less on average than people in other suburbs closer to the Melbourne CBD. With increasing household wealth there are concerns that disadvantaged communities will be pushed out of Footscray.

894

people homeless or in crisis

F ig 10 .

severely overcrowded boarding house couchsurfing crisis accomodation sleeping rough

In Footscray 15.37% of households are currently experiencing housing stress, comparatively only 6.18% of households in the Greater Melbourne region experience housing stres Social housing comprises both government owned, government managed housing, and houses managed by a community housing association. It is intended to be secure and affordable to people on very low incomes and with special needs. Although there is only a small number of community housing (1.9%) we anticipate this to rise in the future as the Victorian state moves away from managing housing. Eligibility for social housing depends on a means and assets test. Priority is also given to people who are in housing crisis (homeless, victim of domestic violence, disability or health needs) (Housing Victoria 2019).

272

people in crisis accomodation

F ig 1 1.

44 14

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1,266

people receiving rent assistance

Fig 12.

426

138 272

2359

Fig 16.

1.7%

2586

109

6.2%

IN FOOTSCRAY...

risen

ten years

117% in

ten years

$500

$500 $400

$375

$300

$270

$200

$500

$500

$400

$470 $430

$300 $200

$100 $0 2000

700

House prices have

68% in

$600

399

Fig 17.

Private rent has gone up

10.8% Other

Homeowners

currently on the waiting list for government housing in inner-Western Melbourne

40%

Government

36.6%

Community housing

4,194 households

Private renting

Tenure

$100 2003

2006 2009 2012 2015 1 bedrooms2 bedrooms3 bedrooms

2018

$0

2000

Rent per week: Apartment

2003

2006 2009 2012 2015 2 bedrooms3 bedrooms4 bedrooms

2018

Rent per week: House

Fig 19.

1851 new dwellings built between 2004-2015

Footscray will have

44,796 residents by 2036

Requiring 12,390 new dwellings

Fi g 20.

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Sector overview There are three main actors engaged in affordable housing provision: community housing associations; government and the private market.

Community housing associations are nonfor-profit providers of affordable housing who work on the development, provision, administration and management of affordable housing (Australian Capital Territory Government, n.d.). Community housing associations receive funding from all levels of government and the private sector to help with the costs of providing affordable housing. Community housing associations currently contribute 1.7 per cent of total housing stock in Footscray, with this set to rise as governments continue to privatise public housing.

Government provides long-term affordable public housing to eligible people. Public housing makes up 6.2% of total housing stock in Footscray, this is significantly more than across Greater Melbourne. Current government sentiment will see management of public housing privatised and administered by community housing associations (Australian Bureau of Statistics, 2018).

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Private housing makes up the remainder of housing stock in Footscray and is split between private rentals and private ownership.

The private housing market is susceptible to external economic factors that that influence the price of housing, as Footscray develops into a key activity centre in Melbourne demand for housing will increase which will result in higher prices for housing.

The private market is a key source of affordable housing for medium level income households, but is unreliable for the provision of long-term affordable housing for those households on the lowest incomes.

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The strategy.

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How it works The Footyscray Affordable Housing Strategy is a long-term vision for Footscray •

A 15 year blueprint to ensure the sustainable development and management of affordable housing in footscray.

•

A plan to ensure the social and cultural fabric of historic Footscray is maintained, with the incorporation of wrap-around services.

•

A mechanism to ensure all members of Footscray are provided for, especially those most marginalised.

•

A tool to ensure community assets are used at their highest efficiency and revitilise public spaces.

The strategy has:

1 vision

3 principles 3 strategic goals 8 implementation strategies 1 direction

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A 15 year vision

‘Footscray is a city within a city, celebrated for its historical diversity its cultural landscape and its cohesive community. Footscray will continue to be a beacon of inclusion in Greater Melbourne, ensuring all member of its community are provided for through the provision of well designed, sustainable affordable housing and access to essential services and amenities, a stones throw from the CBD’

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Principles

Affordable

Footscray will have a mix of housing stock that will provide affordability to households on all income levels, ensuring all residents are provided for in a thoughtful way.

Diverse & Inclusive

Footscray will foster a sense of diversity and inclusion through the provision of a community-wide strategy that will ensure Footscray remains the cultural melting pot of Melbourne.

Revitilised

Footscray built and natural environment will undergo revitalisation and enhancement with community amenities at the core of the strategy.

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Strategic goals Increase Supply of Affordable Housing The strategy will increase the supply and mix of affordable housing in Footscray for a range of households on diverse incomes and circumstances. The strategy will ensure new development is beneficial to the wider community and breath new life into Footscray.

Partner and Collaborate The strategy will partner and collaborate with existing community housing organisations to deliver and manage affordable housing developments, and to integrate wrap-around services for residents and the wider community.

Foster Connection and Integration The strategy will ensure affordable housing stock is accesible to community services and employment opportunities, as well as being well integrated with the wider Footscray community fostering a diverse and inclusive neighbourhood.

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Affordable housing plan.

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Planning 1.1 Inclusionary Zoning There are two main models of Inclusionary Zoning (IZ) outlined by AHURI encompassing mandatory and voluntary planning mechanisms (AHURI, 2017). Inclusionary zoning has been tested with varying success in New South Wales (NSW) (voluntary) and South Australia (SA) (mandatory). In NSW, a fairly flexible arrangement has been designed whereby developers are asked to contribute 2% affordable housing in significant areas or else to pay an affordable housing levy.

However, enthusiasm for IZ in Sydney has waned after legal action in 2000 questioned the validity of the policy (Gurran et al, 2018).

Widely used internationally such as in the United Kingdom, it has been more successfully used in SA where it is applied to residential rezoning on significant development sites (over twenty units) with an aim for 15% affordable housing to be sold to people on low and moderate incomes (Gurran et al., 2018). By 2016 this had resulted in an additional 2,009 affordable homes being built with an additional 3,476 in the pipeline. The community housing sector has also been able to capitalize on the scheme, buying into many new developments.

Action 1.1: 15% affordable housing on all land rezoned where there is value uplift

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While the scheme has been received positively by the community housing sector, AHURI notes that it has been most successful when government land has been used and that in the absence of grants, such as NRAS, it would be difficult for Community Housing Associations (CHA) to purchase property.

Although no silver bullet in its own right, we think the SA model can be tested in the context of Maribyrnong in new significant developments of more than 20 units or as a form of value uplift in residential land rezoning.

There is a case to be made that this benefits the developer since it boosts presales where homes are sold to CHP’s.

1.2 Section 173 Agreements In Victoria Section 173 of the Planning and Environment Act allows Council’s to enter into voluntary agreement with developers (DELWP, 2018). Affordable housing can be incorporated into these agreements and has been applied in exchange for density bonuses.

One way of achieving this is through an additional design and development overlay in

Action 1.2: 15% affordable housing in exchange for density bonuses in the Central Footscray area

areas compatible with high and medium density.If the developer is unwilling to contribute floor space, they could be given an option of contributing a comparative amount to Maribyrnong’s affordable housing fund.

This additional overlay will be applied throughout the Footscray Activity Centre in area allowing for significant density.

1.3 Fast track planning through VicSmart Targeted housing policy in NSW has increased the supply of small units through a waiver in the planning scheme for small additional units. Division 2 of the NSW Environmental Planning Policy (Affordable Rental Housing) 2009 allows landowners to build a secondary small dwelling outside of the regular planning approvals process if it meets certain requirements for minimum lot size, setbacks and street frontage. Although this policy has increased supply, with an additional 20,000 units contributed, there is no statement of affordability. In line with broader trends, household size is decreasing across Footscray and it is arguable that there is a need for small homes for those who do not

Action 1.3: 15% affordable housing for all new significant developments (more than 20 units)

wish to live in an apartment.

To stimulate housing supply for people on moderate incomes, Maribyrnong will propose a change to its planning scheme for second dwellings to be built through the VicSmart fasttracked process allowing them to be assessed within 21 days. It will provide additional controls by stipulating that homes must be rented to a low or moderate income household at 75% market rent. These tenants can be sourced through new partnerships with CHAs.

Action 1.3: Establishment of a fast-track VicSmart application for small additional dwellings

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Provision 2.1 Making land available for development Research by Randolph et al (2018) finds that access to land is a major barrier for affordable housing development by the not-for-profit sector. Maribyrnong Council has the potential to play an active role in facilitating the development of social housing projects by assisting CHA’s to access land through social partnerships. Under Federal schemes such as NRAS there is significant funding available to CHA’s to commence new projects. By making land available to CHAs, Maribyrnong can help them overcome a substantial barrier to commencing new projects. A more high risk model, alternatively, is for Councils to be involved in the developing and administering of housing stock through the establishment of a not-forprofit corporation. Maribyrnong can look to Council’s such as the City of Port Phillip and City of Melbourne who have had a role in the direct provision of affordable housing through the establishment of new CHA’s. There are also innovative models currently tested such as Brisbane Affordable Housing Corporation, a government funded but semi-autonomous ‘arms length’ entity (Senate Select Committee on Housing Affordability , 2008) or Moreland Council’s proposed Moreland Housing Ltd.

While Maribyrnong already is in possession of underutilised land throughout the Footscray Activity Centre, it can you revenue streams form changes to the planning scheme to purchase new land. Moreland Council’s ‘A park close to home’ is a relevant precedent which shows how revenue streams from development contributions and other sources can be used to purchase land to achieve strategic goals (2017).

Action 2.1: Release of existing Council owned land for development

by Community Housing Associations

Action 2.2: Purchase of new land for development through social partnerships

Finance 3.1 Affordable Housing Fund While Council is unable to assist CHA’s access finance due to constraints in the Local Government Act 1989 it may be able to play a role in financing AH through providing access to land. Revenue streams established by changes to the planning scheme can also be used, by way of an Affordable Housing Fund, to purchase further land. As discussed, Inclusionary Zoning and Section 173 agreements are a potential source of revenue for affordable housing provision. Through the establishment of an Affordable Housing Fund, Maribyrnong is able to manage revenue raised ensuring its resources are used to in the most effective way.

The management of an Affordable Housing Fund could provide a further mechanism for integrating knowledge about finance through the establishment of a knowledge platform.

This could be done through the establishment of a Board to the Fund whose purpose is to determine the best use of Council’s assets and provide technical expertise about the AH finance environment.

As discussed, one of the biggest barriers for CHA’s establishing affordable housing projects is access to land (Gurran et al.

2018). This research further suggests that Council’s can play an active role in assisting affordable housing through the acquisition of land through partnerships with other state and federal government agencies below market value. Furthermore, the retention of land following development can also be financially beneficial allowing Council’s to benefit from rising land prices overtime.

Action 3.1: Establishment of an Affordable Housing Fund

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Funding cntd.

3.2 Integrating other funding Through the policy analysis we have also uncovered a number of other sources of revenue that can be unlocked by CHA’s, including: Housing Growth Fund This $1 billion fund from established by the Victorian Government to develop and maintain 6,000 new dwellings and maintain existing dwellings. Targeted at Community Housing Associations. CHA’s partnering with Council to provide AH can access this funding enabling new projects to access to this fund and benefit from the full program.

Home for Homes Home for Homes (HFH) was established

by The Big Issue to create a new and sustainable funding stream for social and affordable housing in Australia. HFH enters into agreements with homeowners that legally binds 0.1% of the sale of homes being donated to HFH (this obligation remains with the property each time it is sold). HFH distributes money from its funds to AHA’s, property developers and other organisations throughout Australia. Council AH initiatives could benefit from HFH through partnerships with CHA’s. This will be further explored in the Anglis House redevelopment and expansion.

Through partnerships with CHA’s who are able to access these alternative funding sources, Maribyrnong can ensure it plays an active role in AH while ensuring its resources are managed in a fiscally responsible way.

Partnerships 4. Promoting partnership As suggested in the previous research, there is great potential for Council to build partnerships with not-for-profit, private and government sectors to stimulate affordable housing supply.

These partnerships can take many different forms, but the use of partnerships to create new projects is an area of particular interest for this strategy. The Ballarat Road Project, currently being delivered by Launch Housing in partnership with VicRoads is an example of how partnerships can be used in innovative ways to access underutilised land and create temporary, modular housing for low and moderate income earners (Palm et al., 2018).

4.1 Affordable Housing Taskforce and Network Council’s can use its networks to integrate AH knowledge and promote AH as an economic and social issue.One proposition is establishing an Affordable Housing Taskforce comprising of nominated Councilor’s and interested staff who will meet once a month with the aim of establishing a wider knowledge and skills sharing network. Once established, Council can use it connections to the Municipal Association of Victoria (MAV) to expand the network to encompass any relevant Council’s and stakeholders.

Action 4.1: Establishment of an Affordable Housing Taskforce and Network

Proposed changes to the planning scheme

DDO2

DDO1

DESIGN & DEVELOPMENT OVERLAY INCLUSIONARY ZONING (DDO1)

36 | UPD4001-Planning Project 1: Compact city ­— Assessment 2

DESIGN & DEVELOPMENT OVERLAY FOOTSCRAY ACTIVITY CENTRE (DDO2)

Key actions

Action 1.1. 15% affordable housing on all land rezoned where there is value uplift Action 1.2 15% affordable housing in exchange for density bonuses in the Central Footscray area.

Action 1.3. 15% affordable housing for all new significant developments (more than 20 units) Action 1.4. Establishment of a fast-track VicSmart application for small additional dwellings Action 2.1. Release of existing Council owned land for development by Community Housing Associations Action 2.2. Purchase of new land for development through social partnerships Action 3.1. Establishment of an Affordable Housing Fund

Action 4.1. Establishment of an Affordable Housing Taskforce and Network

38 | UPD4001-Planning Project 1: Compact city ­— Assessment 2

Expand Partnerships

VicSmart Fast Track

Review & Evauate Strategy

Advertise Planning Scheme

Est Affordable Housing Taskforce

Vipont St Development

YEAR 3

Begin New Developments

Legislate Changes

Appoint Committee

Vipont St Development

YEAR 2

Widen Knowledge Share

Est Affordable Housing Fund

Publish Strategy

YEAR 1

Review & Evauate Strategy

Est Partnerships

Planning Scheme Amendments

Implementation Timeline

YEAR 10

Review & Evauate Strategy

Review & Evauate Strategy

Feasability Stduy

Est Small Houses Comp

YEAR 5

Aquire New Land

Review of Policy and Funding

Review & Evauate Strategy

Review & Evauate Strategy

YEAR 4 YEAR 15

UPD4001-Planning Project 1: Compact city ­— Assessment 2 | 39

Needs analysis.

Needs analysis Our needs analysis builds on work done by Transforming Housing research network. The HART Access Rating Tool is a 20 point tool to create a score for locations suitable located for social housing (Palm, 2018). Unlike other tools its primary intention is for the location of social housing, and excludes luxury items like restaurants, bars and boutique shopping that people on a very low or low income may not be able to afford. By this model all essential services should be located within 20 minutes walking distance, with allowances made for young children and persons with disabilities.

Application of this tool in Footscray reveals that the area in and directly around the main activity centre is very suitable for the location of affordable housing. The area within 500 metres of the train station should be prioritised for people with health issues and mobility impairment.

Since we are looking at three bandings of affordability, including people on moderate incomes, we have built further on the categories described in the HART tool to include access to jobs and Adult Education.

We also add a separate category for people who are mobility impaired acknowledging that their needs are different to others not living with a physical disability. Priority should be given to ensure appropriate accommodation for people with disabilities is located next to accessible transport (that is, if a bus does not have a low floor, it is not accessible transport).

In line with these trends, the need for public and community housing is expected to increase as the lowest income households are priced out of the private rental market.

The primary findings of our demographic analysis are that dual processes of the population growth and workforce polarisation are the biggest challenges for the provision of future affordable housing.

UPD4001-Planning Project 1: Compact city ­— Assessment 2 | 41

Table 1 - Definition of low income range Very low income range (annual)

Low income range (annual)

Moderate income range (annual)

Single adult

Up to $25,220

$25,221 to $40,340

$40,341 to $60,510

Couple, no dependents

Up to $37,820

$37,821 to $60, 520

$60,521 to $90,770

Family (with one or two parents) and dependent children

Up to $52,940

$52,941 to $84, 720

$84,721 to $127,080

Source: Department of Environment, Land, Water and Planning, 2018, Section 3AB ‘Specification of Income range’, Planning and Environment Act 1987, Accessed on 11 April 2018 via <www.planning.vic.gov.au/__data/assets/pdf_file/0020/214823/Final_Order-in-Council_for-Gazette.pdf>

Table 2 - Affordable housing (rent per week) Very low income range (annual)

Low income range (annual)

Moderate income range (annual)

Single adult

Up to $145

Up to $235

Up to $350

Couple, no dependents

Up to $220

Up to $350

Up to $530

Family (with one or two parents) and dependent children

Up to $305

Up to $450

Up to $740

Source: Department of Environment, Land, Water and Planning, 2018, Section 3AB ‘Specification of Income range’, Planning and Environment Act 1987, Accessed on 11 April 2018 via <www.planning.vic.gov.au/__data/assets/pdf_file/0020/214823/Final_Order-in-Council_for-Gazette.pdf>

Table 3 - Number of people in Footscray Very low income range (annual)

Low income range (annual)

Moderate income range (annual)

Couple, no dependents

210

110

395

Family (with one or two parents) and dependent children

300

326

110

Single adult

Source: Statistics, ABS (2017, July 4). http://stat.data.abs.gov.au. Retrieved from http://abs.gov.au:http://stat.data.abs.gov.au/Index.aspx?DataSetCode=ABS_CENSUS2011_T29 42 | UPD4001-Planning Project 1: Compact city ­— Assessment 2

Table 4 - Needs analysis Single adult

Long term illness or disability

Mobility impaired

• •

• • •

Unemployed or underemployed

Key worker

Student/apprentice

Elderly pensioner

• •

• •

• •

• • •

Couple, no dependents

May not be able to travel far from the home.

Needs access to medical, social services, open space.

•

May not be able to travel far from the home.

Needs accessible transport.

Needs access to medical, social services, open space.

•

•

• •

May need access to training/reskilling.

Needs access to social services.

•

May use a car for work.

May be a shift worker, requiring late night services and safe streets.

•

May need a car for training.

Needs access to quality education.

•

May not be able to travel far from the home.

Needs access community support, activity programs.

Needs access to medical, social services, open space.

•

•

•

• • •

Family (with one or two parents) and dependent children

May not be able to travel far from the home.

Needs access to medical, social services, open space.

•

May not be able to travel far from the home.

Needs accessible transport.

Needs access to medical, social services, open space.

•

• •

• •

May need access to training/reskilling.

Needs access to social services.

•

May use a car for work.

May be a shift worker, requiring late night services and safe streets.

•

May need a car for training.

Needs access to quality education.

•

May not be able to travel far from the home.

Needs access community support, activity programs.

Needs access to medical, social services, open space.

• •

•

•

• •

• • • •

May not be able to travel far from the home.

Needs access to medical, social services.

Needs access to public schools and childcare..

Needs accessible transport.

Needs access to medical, social services.

Needs access to public schools and childcare.

May need access to training/reskilling.

Needs access to social services.

Needs access to public schools and childcare.

May use a car for work.

May be a shift worker, requiring late night services and safe streets.

Access to schools, possibly childcare.

May need a car for training.

Needs access to quality education.

Access to public schools, possibly childcare.

May not be able to travel far from the home.

Needs access community support, activity programs.

Needs access to medical, social services.

Needs access to public schools.

UPD4001-Planning Project 1: Compact city ­— Assessment 2 | 43

Affordable housing rating tool Mobility impaired or special needs

Points

Not mobility impaired

Points

Groceries

<500m

3

<1000m

3

Public transport

3

<1000m

3

Childcare, Primary & Secondary schools

<500m from rail <500m Childcare & Primary, <1500m Secondary

3

<500m Childcare & Primary, <1500m Secondary

3

Libraries

<1000m

1

<1000m

1

Parks & Open Space

<500m

3

<500m

3

Healthcare & Pharmacy

<1000m

3

<1500m

3

Social Services

<1000m

1

<1500m

1

Access to jobs

<1000m

2

<1500m

2

Access to adult education

<1000m

1

<1500m

1

Total

20

20

Points

Suitability

15-20

Excellent (priority)

10-15

Less suitable

5-10

Not suitable

Points

Suitability

15-20

Suitable for people with a disability

44 | UPD4001-Planning Project 1: Compact city ­â&#x20AC;&#x201D; Assessment 2

Colour

Colour

Transport map

500M 1KM

N

0

250m

500m

Train Station Tram Bus Route Tram Route Train Route

UPD4001-Planning Project 1: Compact city ­— Assessment 2 | 45

Services

3.

1.

500M

1KM

2.

University

N

High School Primary School Kindergarten Groceries Library Health/Doctor Centrelink

46 | UPD4001-Planning Project 1: Compact city ­â&#x20AC;&#x201D; Assessment 2

0

250m

500m

Available land There is currently a large stock of underdeveloped council land available for release by council to private developers and community housing associations. Using new zoning measures council can add to affordable housing stock by collaborating with private developers. Council, in instances, will be able to leverage the value of land to act as developer of affordable housing and community spaces.

N

Council owned available land

0

250m

500m

UPD4001-Planning Project 1: Compact city ­â&#x20AC;&#x201D; Assessment 2 | 47

N

0

250m

500m

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Vipont St

Hopkins St

Irving St

Raleigh St UPD4001-Planning Project 1: Compact city ­— Assessment 2 | 49

Exemplary projects.

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Granbury Four Streets Community Location

Liverpool, UK

Use mix

Affordable housing and community space

Designers

Assemble

Funding

Mixture of community not-for profit, profit and local government agencies secured funding for the Community Land Trust. In this model land can be leased by the trust and financial risk is shared.

Design

Preserves the existing historic quality of the neighbourhood while gutting and refurbishing them. Emphasis on lively street frontages created by interventions like colourful pain and garden boxes.

Planning

The Community Land Trust is a not-for-profit and controls the use of land. In this model the members of the trust have final say over the development and can secue affordable housing.

Revitalisation of the dilapidated housing stock is supported by the Burrough.

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Chapel Street Affordable Housing Location

St Kilda, AU

Use mix

Affordable housing and private housing

Designers

MGS Architects

Funding

Funding came from Port Phillip Housing Association (now Housing First). Negotiations were made with the vendor on the final sale price.

Design

The development was created to attract a diverse mix of people, offering affordable rental housing. The design of the apartment buildings and connecting landscape removes any stigma associated with low-rental housing. There is no preferential treatment or invesment in one building over another.

Planning

Collaboration between Port Phillip Housing Association, MGS Architects and Post Phillip Council preciptated the implementation and development of a previously vacant block to provide long-term affordable and private housing and resident car parks in line with council planning policy

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Drill Hall Location

Melbourne, AU

Use mix

Affordable housing and community space

Designers

MGS Architects

Funding

Funding came from federal and state governments, local council and Housing Choices Australia. The existing site was donated on the condition that the exiting hall be restored for the community.

Design

Underpinned by aspirations for environmental, economic and cultural sustainability this project breathes new life into the 1937 Art Deco Drill Hall and establishes a new vibrant focus for community life in the city while providing high quality affordable housing.

Planning

Heritage planning was taken into consideration for the site.

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Pilot sites.

Site 1: Hopkins Street

Image: Schematic massing model

Rating: 20 Suitable for people with disabilities

long term affordable

private housing

community services

The council owned lot in central Footscray is suitable for medium-high density development.

Development of affordable housing at Hopkins Street site would be delivered through partnership with private developer and community housing associations. Use of the new zoning overlays would allow the private developer to increase height to compensate for the inclusions of long-term affordable housing and a new community space to be administered by community housing associations.

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Site 2: Raleigh Street Image: Schematic massing model

Rating: 20 Unsuitable for people with disabilities Raleigh Street car park is a large council owned car park that is suitable for the development of medium density housing and the inclusion of a new open community space. Delivery of the development would be done in partnership with private developers and would deliver private housing, long-term affordable housing to be administered by community housing association.

60 | UPD4001-Planning Project 1: Compact city ­â&#x20AC;&#x201D; Assessment 2

long term affordable

private housing

Site 3: Irving Street Image: Schematic massing model

Rating: 20 Suitable for people with disabilities

long term affordable

private housing

community services

The council owned Irving street car park is in central footscray which makes it suitable for development for peoples with mobilityimpairments. The positioning of the site in the retail centre of Footscray makes it ideal for the delivery of long-term affordable housing, private housing and a new space for community services. Development would require collaboration with private developers and community housing associations.

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Vipont street.

Rating: 20 Unsuitable for people with disabilities

Suitable site for the redevelopment of existing community services, the provision of crisis and long-term affordable housing with the integration of wrap-around services.

With council as developer in collaboration with community housign associations and wrap around service providers Vipont Street site will deliver outcomes for all residents and the wider Footscray community.

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Vipont Street

The current site of ther Anglis Neighbourhood House community space and Anglis Childrens Centre, Vipont Street offers a great opportunity for the development of a mixsed used development that will deliver outcomes for residents and the wider community.

With council as developer the site would be administered by community housing associations to deliver well thought out, sustainable long-term affordable housing for single parent households, crisis accommodation for people experiencing homelessness and those in need for a womens refuge.

The redevelopment would also create new, integrated and expanded wraparound services. With increased childcare capabilities, space for adult learning and shared community space.

Partnerships Crisis accomodation and women’s refuge: - Women’s Housing Ltd - Safe Steps Family Violence Response Centre - Unison Renewed community space: - Anglis House - Anglis Children’s Centre Long-term affordable housing: - Housing Choices Australia - Launch Housing - Housing First Ltd

64 | UPD4001-Planning Project 1: Compact city ­— Assessment 2

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Conclusion.

Housing in Victoria is complex. With responsibilities for affordable housing and delivery shared across three levels of government and the private sector, Maribyrnong City Council will be responsible for overseeing susatinable provision and administration of affordable housing in Footscray.

The affordable housing strategy will be implemented in yearly blocks for the first five years with an evaluation and review every five years thereafter. The implementation plan will be overseen by the affordable housing task force.

Governance and partnership Implementation of the affordable housing plan will require focused, coordinated actions by all levels of government, the private sector, the community and local residents.

As Melbourne grows, planning at a local level will help to achieve a better balance between jobs and population growth across the city and helps to provide with a greater regional collaboration with local governments. There will be a greater focus and engagement with local communities about their ongoing priorities and concerns.

Monitoring and review Monitoring and reporting under the affordable housing task force will be developed to track the progress in alignment with success on the new developments.

Progress reports will be publicly available. The monitoring and reporting framework will be aimed at informing the delivery and investment decisions on all levels of the strategy.

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References.

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L Bhavesh / C Chesworth FOOTSCRAY

G Osborne / A Truong