NHFIC provides $33 million to support 181 social and affordable homes across Tasmania

NHFIC’s loan will support the Tasmanian Government’s Community Housing Growth Program – New Social Housing Supply program (CHGP), to construct 1,000 social housing dwellings by the end of 2023. The tripartite agreement, covering projects worth approximately $60 million, will increase the supply of much needed social housing across Tasmania for those eligible on the Tasmanian social housing wait list.

NHFIC will provide HCT with up to $31 million in loans and $1.92 million in grants. Under the National Housing Infrastructure Facility (NHIF), $8 million of the funding will be provided to support roads and services infrastructure across 8 development sites. The loans will help fund the construction of 181 social dwellings, which will be suitable for a wide range of residents including those with mobility issues.

Minister for Housing Julie Collins said, “I’m delighted to see this project delivering additional homes in Tasmania. It’s more important than ever that we work together to ensure there is an adequate supply of affordable housing where it is needed.”

“The Australian Government will continue to work with the Tasmanian Government, along with all other State and Territory Governments, to deliver more social and affordable housing.”

Tasmanian Minister for Housing Guy Barnett commended Housing Choices Tasmania for their construction project underway.

“Through Homes Tasmania we are pleased to provide $24.43 million in capital funding to support Housing Choices to deliver their program of 181 homes around Tasmania” Minister Barnett said.

Minister Barnett said the new housing would provide safe and secure housing for Tasmanians on the housing register.

NHFIC CEO Nathan Dal Bon said, “We’re thrilled to be able to deliver this sizeable package to support the Tasmanian Government’s ambitious Community Housing Growth Program, working closely with our CHP partner Housing Choices Tasmania.”

“Given the acute housing challenges in Tasmania, it is pleasing to leverage both our bond aggregator and infrastructure facility to ensure more social housing is built and brought to market sooner,” Mr Dal Bon added.

Housing Choices Australia’s Managing Director Michael Lennon said, the organisation was very pleased to have finalised an agreement between the Tasmanian Government, Housing Choices Tasmania and NHFIC.

“The partnership with NHFIC has provided us with stable, long term financing that allows us to substantially expand our housing supply to Tasmanians locked out of home ownership and private rental. And we are very pleased to be building on our strong relationship with the Tasmanian Government and NHFIC to help meet the ever-increasing demand.”

General Manager of Housing Choices Tasmania Kim Bomford said, the expansion of the current portfolio which sits at more than 2,100 dwellings was a meaningful boost that would change the lives of many.

“This significant supply program, supported by NHFIC and the Tasmanian state government, will enable us to assist more vulnerable Tasmanians to access long-term, affordable housing and as a consequence, a range of life opportunities,” said Kim Bomford, General Manager, Housing Choices Tasmania.

Background

Under the Federal Budget, NHFIC, which will be renamed Housing Australia, will have the primary responsibility for delivering 40,000 homes through the Government’s new Housing Australia Future Fund and National Housing Accord, leveraging institutional capital to further develop a new asset class centred on investment in social and affordable housing.