NSW Housing Initiative Sparks Developer Confidence

In a promising shift for New South Wales’ housing market, the state’s call for Expressions of Interest (EoIs) has yielded an overwhelming response—equivalent to 40,000 new homes—within just three weeks of opening. With 85 submissions for metropolitan areas and 11 for regional NSW, industry leaders are hopeful that this momentum could help the state reach its Housing Accord targets.

For developers and industry stakeholders, this response was both expected and welcomed. Tom Forrest, CEO of Urban Taskforce, highlighted that industry advocates had long pushed for a policy-driven approach to address the housing crisis. The significant uptake of the state significant development pathway demonstrates a widespread eagerness to deliver much-needed housing solutions. According to Forrest, by removing restrictive planning bureaucracy, the market has responded with a flood of proposals that could reshape the housing landscape.

NSW Planning Minister Paul Scully acknowledged the strong industry trust in the initiative. Originally, the state anticipated receiving 80 to 100 EoIs over the course of a year, yet within just a month, it had nearly met that expectation. The initiative, which focuses on streamlining approvals for major housing developments valued above $60 million in Greater Sydney and $30 million in regional NSW, aims to expedite project timelines. To reinforce commitment, developers must begin construction within two years or risk losing their approval.

This shift toward faster approvals is seen as a game-changer by key industry bodies. Brad Armitage, NSW Executive Director of the Housing Industry Association, emphasised that the early success of the initiative underscores the housing sector’s readiness to move forward with viable large-scale projects. He noted that diverting approvals away from traditional council processes and into a more efficient state-led pathway could accelerate construction and help bridge the housing supply gap.

The Housing Development Authority (HDA) now has a unique opportunity to fast-track approvals, ensuring that projects with real feasibility move from concept to construction without unnecessary delays. The requirement for readiness to deliver means that only serious proposals make it through, providing a much-needed boost to the state’s housing pipeline.

With the EoI process ongoing and submissions reviewed monthly, developers continue to have regular opportunities to put forward major residential projects. This dynamic approach, rooted in industry demand and streamlined approvals, marks a significant step toward addressing NSW’s housing shortage and delivering high-quality homes faster. The road ahead may still present challenges, but with strong policy support and a proactive industry response, NSW is well-positioned to drive meaningful progress in its housing sector.