Industry needs tools to convert booming apartment approvals into homes for Queenslanders

8 March 2024

The number of new units being approved across Queensland is continuing to climb, making it vital the industry gets the support needed to convert the numbers into bricks and mortar.

The first round of figures from the Australian Bureau of Statistics (ABS) for 2024 show the number of multi-unit dwellings approved across the state in January jumped 84 per cent on the previous month. The three-month data confirms an upward trend of 61 per cent.

Approvals for detached homes continue to languish, down 3 per cent across January, and 9 per cent over the three months.

The strong showing for unit approvals was the driver for a 32 per cent jump in the total number of dwellings approved in Queensland. However, the 12-month rolling total of 33,623 new approvals confirms the state remains a long way from the national five-year target of 49,000 dwellings per year.

Master Builders CEO Paul Bidwell said the challenge now is not only increasing the number of houses and apartments getting the green light, but also ensuring they can actually be built.

“These latest ABS figures show the demand is growing, making it critical the building and construction industry is supported to operate in the most effective way possible and by knocking down the blocks to building.

“We continue to call for support to boost productivity by targeting unnecessary regulation hampering the construction of new homes, such as the unwarranted changes to the National Construction Code 2022, and different rules around the state for what can be built and where. We also need government help in tackling the skilled labour shortage.

“When it comes to getting more apartments built, government settings are a big factor in how many new homes we can provide. This includes policies that result in builders and subcontractors needing to sign up to industrial conditions, known as Best Practice Industry Conditions or BPICs, if they want to work on major government projects.

“This is making large unit developments and essential government infrastructure projects too expensive to build, mostly owing to lost time and productivity. Put simply, the longer it takes to build, the more it costs.

“We support those parts of government policies that put safety at the top of the agenda and protect diversity, equity and pay for building and construction workers. But the negative impacts of BPICs are also stopping projects going ahead, which is bad news in the middle of a housing crisis and when the government is so reliant on units to meet housing targets.

“We’re proposing these conditions are changed in the next round of BPICs, delivering a win-win for employees and employers, without compromising on worker safety or building quality.

“We also need to do more with less and find new ways of building through modern methods of construction. Conditions supporting innovative methods such as prefabrication would also boost productivity and free up labour.

“This is not about cutting corners or rushing work. It’s about getting on with addressing the housing crisis, while ensuing building quality and worker safety remain paramount.

“Master Builders is eager to sit down with government and unions to discuss these opportunities.”

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