FUNDING BOOST FOR GCHC

FUNDING BOOST FOR GCHC

AMID predictions by the demographer Bernard Salt regarding an affordability crisis on the Gold Coast, the region’s largest affordable housing provider has secured more than $110 million in federal, state and local government funding.

High demand for affordable housing has led to Gold Coast Housing Company (GCHC) forecasting a five-fold growth in properties under management.

The not-for profit organisation will build around 430 properties on the Gold Coast, with major developments in Palm Beach, Ashmore, Coombabah and Southport in the pipeline or already underway.

GCHC chief executive Jason Cubit, says there is a ‘massive’ demand for affordable housing from low-income workers on the Gold Coast, particularly in the hospitality and retail industries.

“Our main purpose is to provide and manage affordable housing appropriate for low-income earners as they need to live close to where they work,” he says.

“We have around 15 initiatives we use. The Federal Government’s National Rental Affordability Scheme involves houses rented at 75 per cent of the market value whereas another takes 25 per cent of the base income as rent.

“We also develop houses for sale through various subsidies which we then keep 25 percent of the equity.

“This means first home buyers only need 75 per cent of a normal deposit and only have 75 per cent of the standard repayments.”

While the large forecasted growth of the company is largely due to the economic downturn and a decrease in affordable living, Cubit emphasises that it will have a significantly positive impact on the building industry.

“We are licensed to build but we still use local builders and all the profits go back into the community,” he says.

“The houses are no different in quality or design to the average homes in the areas. For instance we have a very good relationship with Devine homes. They are standard-looking houses of good quality and nobody would pick them from other homes.”

GCHC was formed in 2007 following the merger of Gold Coast Community Housing Association and Gold Coast Vision Housing and has since built 260 homes state-wide with that figure expected to rise to almost 1000 in 18 months.

“We have seen a wider variety of people from all walks of life seeking assistance – from business people who have lost the lot, to seniors with diminished super funds who are finding themselves priced out of the market,” says Cubit.

“Last year we helped over 700 people that would have otherwise been homeless and this year we have been even busier.”

Enjoyed this article?

Don't miss out on the knowledge and insights to be gained from our daily news and features.

Subscribe today to unlock unlimited access to in-depth business coverage, expert analysis, and exclusive content across all devices.

Support independent journalism and stay informed with stories that matter to you.

Subscribe now and get 50% off your first year!

SMEs urged to consider business insurance to mitigate financial risks
Partner Content
A single “bad luck” incident could cause financial disaster for many Australian sma...
Advertisement

Related Stories

Federal Court shows Qantas no mercy with $100m fine for selling cancelled flight tickets

Federal Court shows Qantas no mercy with $100m fine for selling cancelled flight tickets

The Federal Court has shown Qantas Airways no mercy for selling tic...

Salter Brothers tops up hotel portfolio with acquisition of Bannisters group’s three NSW properties

Salter Brothers tops up hotel portfolio with acquisition of Bannisters group’s three NSW properties

Salter Brothers has topped up its $2 billion hotel portfolio throug...

Vision for a zero-waste venture dashed as Circonomy calls in voluntary liquidators

Vision for a zero-waste venture dashed as Circonomy calls in voluntary liquidators

The vision to grow Australia’s first recovery, repair and res...

Sydney data centre designer Greenbox Architecture acquired by US multinational Woolpert

Sydney data centre designer Greenbox Architecture acquired by US multinational Woolpert

Greenbox Architecture, a full-service firm that has worked on the l...