‘Policy spiral’: How rental laws could hurt student housing supply

A new report has warned that residential tenancy laws across the country are threatening investment in purpose-built student accommodation (PBSA), that could worsen Australia’s housing shortage. PBSA housing supply, which takes pressure off the broader rental market, is under threat from legislation in QLD, NSW and VIC, according to a new Urbis, Property Council report. Unfit for Purpose shows residential tenancy laws designed for the private rental market are shrinking investment in new PBSA which provides almost 70,000 private beds and supports Australia’s $55 billion international education industry. The report shows around 65 per cent of the nation’s 47,630-bed pipeline is yet to commence construction, estimating existing settings are also contributing to $106.2m in annual lost revenue across major PBSA markets. Property Council Chief Executive Mike Zorbas said governments risked worsening Australia’s housing gap by mis-applying conventional rental rules to a fundamentally different model. A new report says more strategic tenancy laws are needed to stop shrinking supply of new student homes. Picture: NCA NewsWire/Bianca De Marchi “Without proper targeting, these laws are chilli...