The Victorian government is preparing to announce the largest release of land for housing in the state’s history, targeting Melbourne’s outer suburbs to combat the ongoing housing crisis.
According to the Herald Sun, Premier Jacinta Allan’s government plans to open up extensive plots of land in Melbourne’s outer north, west, and southeast, potentially accommodating thousands of new homes.
This initiative aligns with the government’s commitment to construct 30 per cent of new homes in outer suburban areas.
Draft housing targets indicate that council areas in Melbourne’s outer north, including Mitchell Shire and Melton, may need to expand significantly by 2051 to accommodate projected population growth.
The move comes after delays in plans for tens of thousands of homes in Melbourne’s outer southeast, north, and northwest.
Industry figures have attributed these delays to government bureaucracy and resource shortages.
Planning Minister Sonya Kilkenny has been reviewing a proposal for over 16,000 homes in Beverage North West since 2022.
Another development in Clyde South, proposing more than 13,000 homes, has also faced setbacks.
The government is expected to provide more details about the specific areas targeted for development in the coming days.
This land release is part of a comprehensive housing strategy that includes stamp duty reductions, planning changes to permit high-rise developments in 50 suburban activity centres, and increased infrastructure contributions from developers.
Additionally, the government has allocated $1 billion to a Regional Housing Fund aimed at delivering over 1,300 new homes across regional Victoria.
Kelly Ryan, CEO of the Real Estate Institute of Victoria (REIV), said the move is an important step in dealing with the housing crisis.
“We support additional land coming online to build more housing,” Ms Ryan said.
“We’re aware of the statistics showing how many houses are needed to meet Victoria’s growing population, and it won’t be solved by one solution alone.
“Unlocking land in the outer regions is essential to help address the issue.”
Ms Ryan also said this is just one part of the process.
“Everything has to start somewhere,” she said.
“While people may want more action and options, you have to appreciate that the sum of multiple efforts will absolutely make a difference.”
