The federal government has announced 400 new homes for Australian Defence Force members and their families in Townsville as part of a five-year plan to deliver more than 1000 new homes for the Defence Housing Australia rental pool in key military locations.
Minister for Defence Personnel and Minister for Veterans’ Affairs, Matt Keogh said construction of the Townsville homes would commence soon with the first completed homes expected to be delivered next financial year.
“These over 400 homes will be located (in Shaw) and in other areas within 30km of Lavarack (Barracks), making sure that they’re close to where our defence force members go to work every day,” he said.
Mr Keogh said DHA entered into agreements with three Townsville housing businesses – Z&Me Property, Maidment Land and Tropical Homes – to build and develop the properties as part of the New Builds Volume Leasing Program.
“(This) will relieve pressure on the private rental market here in Townsville, as we bring more of our defence force members here and into the north of Australia at large,” he said.
“This is part of a much bigger program that Defence Housing Australia is operating across the country as we seek to grow our defence force, not just here in Townsville, but around Australia.”
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Mr Keogh said the new properties in Townsville would be owned by investors.
“This is a new model that is being operated here where DHA is contracting with housing providers where they will build the housing, sell it to a private owner who will then be leasing it back to DHA to provide to Defence members,” he said.
“It provides a great investment opportunity for people who want to be getting into that market, but it means also that we’re able to leverage the opportunity of property development to expand the number of houses available to defence force members without having to be responsible for owning and building.”
Mr Keogh said DHA was also in discussions with Townsville City Council to develop another 150 homes in Aitkenvale with a completion date of 2028.
Mr Keogh said the additional DHA housing in Townsville supported the expansion of defence personnel numbers in northern Australia.
“The National Defence Strategy made clear that our domestic force posture must change, that we must ‘deliver a logistically networked and resilient set of bases, predominantly across the north of Australia to enhance force projection’,” he said.
“Following our recent announcement in Rockingham to deliver hundreds of homes along with these Townsville agreements, we will be delivering more than 1000 new homes for Defence members and their families over the next five years.”
In October, the Albanese Government announced plans for 550 new homes in Perth, close to Fleet Base West, HMAS Stirling.
DHA signed agreements with Western Australian businesses Parcel Property, Forma Homes and Plunkett homes to develop and build the properties.
The first homes will be in Rockingham and are expected to be completed in 2025-26.
While delivery of the new homes in Townsville is not expected to start until next financial year, the garrison city will see an influx of defence members and their families, potentially beginning as soon as this month.
Mr Keogh said “a bit less than 400” additional Australian Defence Force members would be posted to Townsville in the next posting cycle.
“That’s going to be done in a staggered way to make sure … those people are able to settle (and) they’re not all hitting the Townsville market all at once,” he said.
“They’re able to be accommodated through a combination of vacant housing that DHA has available in the Townsville area as well as through the current rental property market.”
Mr Keogh said a number of defence members also owned their own homes in Townsville.
A DHA spokesman said in September last year DHA was provisioning 1174 dwellings for Defence families in Townsville.
The latest PropTrack property data showed the Townsville vacancy rate was sitting at a low 1.22 per cent in October.
“Certainly we acknowledge that there is a low vacancy rate in the rental market here in Townsville, and why projects like the one we’re announcing today are so vital,” Mr Keogh said.
“We’ll always make sure through Defence and DHA that our defence force members and their families are appropriately housed.”