As part of the State Government’s commitment to addressing Western Australia’s housing shortage, the Department of Housing and Works has acquired a short-stay residential building (hotel) and additional commercial (office and retail) space located on Adelaide Terrace, East Perth, to convert the short-stay suites into long-term accommodation.
The building will be repurposed to provide over 200 residential dwellings for affordable and social housing tenants.
Affordable housing tenants can include key workers, childcare educators, retail and hospitality workers, health support workers and general administrative services.
The new homes are expected to comprise a mix of predominantly one-bedroom and some two-bedroom apartments for singles, couples and seniors, who are often some of Western Australia’s most vulnerable community members.
By providing a diverse range of affordable and social housing in a central location, this project ensures more Western Australians have the opportunity to thrive, regardless of their background, stage of life, or income.
The property forms part of the Queens Riverside precinct and is close to public transport, shopping and other essential amenities.
Project update
The works for the Property will be procured and completed over two stages and will comprise both structural and non-structural works. The Department recently appointed Kardan Construction to deliver Stage One works. These are minor non-structural works that will prepare for the Property’s transformation into long-term residential housing.
A Development Application was lodged on 4 September 2025. This seeks to change the use of the building from serviced apartments to residential apartments, noting residential use is already a preferred category for this site under the Central Perth Redevelopment Scheme. Importantly, this change of use is easily achieved through minor internal upgrades to the existing apartments and will not alter the building’s height, scale or exterior appearance.
The Development Application will be open for comment until 25 September 2025 on DevelopmentWA’s website.
A Community Housing Provider (CHP) will be appointed through the Community Housing Prequalification Scheme to manage the property and tenancy of the building. The CHP will be responsible for property and tenancy management including tenant selection.
Community engagement
Following feedback from community information sessions, the Department has established a Queens Riverside QIV Project Reference Group (PRG). Membership for the PRG includes four residents of Queens Riverside and representatives from the City of Perth, Anglicare and the Department of Housing and Works.
This PRG will play a central role in fostering collaborative, respectful dialogue and ensuring a smooth and integrated transition for future tenants and existing residents. The purpose of the PRG is to:
- support the positive integration of new residents into the Queens Riverside community
- facilitate sharing of insights, lived experience, and community perspectives to help guide project outcomes
- facilitate consistent and accurate information sharing.
Media statements
Historic boost to affordable and social housing in East Perth - 26 June 2025
First stage of refurbishment works underway at former Fraser Suites - 8 September 2025
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Frequently asked questions
Why was the property purchased?
Show moreThe State Government continues to drive investment and new initiatives to deliver more housing for Western Australians, and the Department’s priority is to see as many as possible in safe, secure and sustainable homes. This acquisition will see short-stay accommodation converted to much-needed long-term social and affordable residential housing – meeting a clear need in the community without competing with the established residential market.
The Department is actively working to significantly increase housing options for the most vulnerable members of the community by using all available strategies to expand housing availability across the State. The acquisition will address the significant demand for social and affordable housing in the metropolitan area, 80 per cent of which is driven by people are seeking one- and two-bedroom homes.
Acquiring and repurposing the property will allow the State Government to quickly and efficiently deliver a housing solution for those who most need it, saving significant time and money in comparison to building a standalone development.
Why was this location chosen?
Show moreThe property forms part of the Queens Riverside precinct and is close to public transport, shopping and other amenities.
The project will deliver an increase in much-needed new social and affordable housing by repurposing existing short-term accommodation, without competing with the permanent residential market and reducing available affordable housing stock. Importantly, these new homes will be made available quickly and economically, helping to meet community need.
Who will be eligible to live in these apartments?
Show moreAn experienced Community Housing Provider will be appointed to manage the property and will be responsible for selecting suitable tenants.
People who satisfy the requirements of the Community Housing Income and Asset Limits are eligible to apply for community housing.
The split is expected to be 70 per cent affordable and 30 per cent social housing.
Affordable housing is a type of housing that supports households on low to moderate incomes (around $62,000 for singles and $86,000 for couples) who are ineligible for social housing but unable to afford current market rental housing to access a suitable home. This might include people who work in retail, hospitality, health support and aged care.
When will a Community Housing Provider be appointed?
Show moreThe Department will undertake a detailed evaluation process to ensure a capable and suitably experienced Community Housing Provider (CHP) is appointed to manage the property and the tenants. We aim to appoint a CHP in late 2025.
What is the role of the Community Housing Provider?
Show moreThe Community Housing Provider will be responsible for the management of the property and the tenants. This includes and is not limited to:
- maintenance and upkeep of the property
- tenant selection and tenancy management
- strata fees and strata engagement
- management of communal amenities within the building.
When will the repurposing work begin?
Show moreThe works will be completed and procured over two stages and will comprise both structural and non-structural works. Works will commence shortly.
How long will the repurposing work take to complete?
Show moreIt is expected that the overall conversion of the property will be complete by mid-2026 and that there will be minimal impact to the surrounding apartments. Updates will continue to be provided during the conversion phase.
What kind of work will be involved in the repurposing of the property?
Show moreThe Department intends to undertake minor works to the existing property to make the short-stay apartments suitable for long-term housing in two stages, with the first stage of works including:
- the repurposing of the outdoor communal area and gymnasium into useful tenant amenity areas with the inclusion of landscaping and function space
- minor maintenance works within the apartments, studios and other areas within the lot
- the creation of a bin collection point and temporary amenities for residents.
The second stage of works will comprise structural works such as:
- the addition of storerooms, kitchenettes and permanent bike and laundry facilities
- the repurposing of the pool to provide additional common amenity areas.
The Department will obtain approval from the strata where required, as well as a building approval for the Stage 2 works.
How will works be managed to avoid disruption to surrounding residents and businesses?
Show moreThe Department will engage a suitably qualified contractor and require them to:
- manage the works in line with local requirements, which means most works will occur during the specified hours of 7am to 7pm Monday through to Friday and, if required, Saturdays
- provide public contact information for any queries relating to building works.
How will tenants be selected?
Show moreCommunity Housing Providers are skilled in matching people to properties by assigning housing according to individual requirements and paying attention to location, design and support needs.
To be eligible for community housing, individuals must satisfy the requirements of the Community Housing Income and Asset Limits test.
When will the first residents move in?
Show moreThe first residents are expected to move in shortly after a Community Housing Provider has been appointed.
What security measures will be in place?
Show moreThe Department will be upgrading the current CCTV system at key entry points of the building and will review the current security measures in place, including access cards, to determine whether they are sufficient for a long-term tenancy cohort.
The dedicated Community Housing Provider (CHP) will have an on-site presence at the property to provide assistance to its tenants.
The Department will work with the appointed CHP on an appropriate management strategy and additional measures as part of the tender process.
How can I apply for housing in this property?
Show moreA Community Housing Provider (CHP) will be appointed to undertake long-term property and tenancy management, and this CHP will manage the application process at the appropriate time.
What will happen to the current amenities at the property?
Show moreThe pool, gymnasium and sauna located within in Lot 1 are not common property and accordingly, are not accessible to the public or other members of the strata.
These facilities will be decommissioned as part of the building repurposing. These spaces will remain as amenity areas for future residents in the form of a communal function and living area.
What is happening to the commercial suites?
Show moreThe existing commercial tenancies will remain. The Department is investigating leasing opportunities for these tenancies to improve activation for the area.
The Department understands that several commercial suites in the complex have remained vacant for extended periods of time. The Department will actively progress the leasing of the commercial space to benefit all strata owners and tenants.
More information
Show moreUpdates will be made available on this page as the project progresses. If you have questions about the project or require information in an alternative format, please email SAHProjects@dohw.wa.gov.au.
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