The Housing Diversity Pipeline is part of the State Government’s $2.4 billion, four-year program to improve the quality and accessibility of social housing in Western Australia, which includes the delivery of 3,300 new homes.
Delivering on this record investment requires a coordinated and targeted approach across Government.
Several agencies including the Department of Planning, Lands and Heritage (the Department) are working collaboratively, through a developer-focused approach, to identify and offer suitable surplus Government-land to the market for innovative housing developments that provide for social housing and deliver more housing choice for our communities.
The State Government is thinking outside the box, breaking away from traditional housing development and encouraging the market to propose their specific design solutions to deliver housing development on these sites.
Project delivery methods may include (but are not limited to) long-term ground leases, partnership models, and design and construct models for either build-to-rent or build-to-sell housing.
All developments must deliver a minimum of 20 per cent of social housing dwellings across the total development.
This program will create a long-term pipeline of new developments that will not only ensure we meet the future housing demands of our growing population, but also ensure jobs for the construction industry when the current development boom eases.
The Housing Diversity Pipeline is an opportunity for the industry to join the Government to develop innovative and fit-for-purpose solutions that deliver inclusive mixed-use housing and better housing outcomes for all Western Australians.
Procurement Process
The State Government facilitated an Expression of Interest (EOI) process for the first tranche of the Housing Diversity Pipeline, which included eight Government-owned sites in the Perth metropolitan region and one located in the South West region.
Following a strong response from industry through the EOI process, the State Government has short-listed offers on six sites to progress to the final stage of the procurement process.
The State Government is keen to complete this final stage of the procurement process for all six sites by early 2024.
Subscribe for updates
Frequently Asked Questions
What is the next stage of the Procurement Process?
The Department has developed a shortlist of offers to progress on these six sites:
- Albany Highway, Kelmscott
- Merrifield Avenue, Kelmscott
- East Parade/Guildford Road, Mount Lawley
- Gwenyfred Road, South Perth
- East Street, East Fremantle
- Brown Street, Busselton
DevelopmentWA will lead the process on behalf of the State Government, with the intent of reaching a deal that delivers value for money for the State.
This will be undertaken through a Request for Detailed Proposals process where multiple suitable proponents have been shortlisted, or a direct negotiation process where only one proponent has been shortlisted.
Once the procurement process has been completed, local communities will have the opportunity to provide feedback on any of the site developments when they have been submitted to the relevant authority for planning approval.
Why aren’t the Cannington, West Perth and Redcliffe sites progressing?
Through the evaluation of the EOI submissions it was determined that the proposals on the sites at Cecil Avenue, Cannington; Thomas Street, West Perth; and Brearley Avenue, Redcliffe did not meet the State Government’s requirements and they will not form part of the final stage of this procurement process.
The State Government is now reviewing the approach to these sites, with a view to releasing them to the market for residential development in the future under different criteria.
Will Housing Diversity Pipeline sites be able to access the Infrastructure Development Fund?
The State Government has launched the Infrastructure Development Fund (IDF) to help with the cost of resolving infrastructure constraints that impact the supply of medium to high density housing projects in priority infill locations in the Perth metropolitan area and worker accommodation in the regions.
The funding has been allocated equally ($40 million each) between metropolitan and regional projects. Funding to address infrastructure constraints such as water, wastewater and electricity is available for sites in the Pipeline through the:
- Targeted apartment rebate (Stream 1)
- Unlocking infill precincts (Stream 2)
Visit the IDF page for more information.
What funding is available for individual projects?
Applicants were required to identify the State Government contributions needed to meet the project objectives as part of their EOI submissions. The financial and land contributions required from the State were considered as part of the EOI assessment process. Recurrent funding is not available for projects. Funding sources include the Social Housing Investment Fund (SHIF).
When will more sites be released?
The Government is continuously reviewing its landholdings to identify surplus parcels that are suitable for inclusion in the Housing Diversity Pipeline.
The Department is currently scoping and undertaking necessary due diligence on Government-owned sites to determine future releases to market.
The Department expects to undertake procurement processes for additional sites later in 2023.
