High prices and infrastructure delays seen as major obstacles for new developments
The Gold Coast’s apartment pipeline faces a potential slowdown, with new research from the Property Council of Australia highlighting significant risks to the city’s residential sector.
The report, prepared by consultancy firm Urbis, revealed that 53% of the Gold Coast’s apartment projects are at moderate to high risk of being withdrawn or delayed by 2026-27, as rising costs put pressure on the industry.
Urbis director Paul Riga (pictured above left) said the number of projects launched in the first quarter of 2024 was the lowest the city had seen in five years.
“While we’re seeing a steady number of development approvals, the warning signs are clear,” Riga said. “Many projects aren’t moving forward to formal sales or construction.”
Riga noted that based on current trends, the number of new apartments on the Gold Coast could fall from 1,900 units in 2025 to 1,400 units in 2026, with just 50 units expected to be delivered in 2027.
“This is concerning for a city expected to deliver 4,500 new homes each year under the South East Queensland Regional Plan,” he said.
Jess Caire (pictured above centre), executive director of Property Council of Australia Queensland, pointed to escalating costs and infrastructure delays as major obstacles for new developments.
“Cost pressures, from rising construction expenses to high taxes, are constraining project delivery,” Caire said. “Infrastructure is also not keeping pace with planning.”
She called for policy reforms to encourage development, including tax changes and better alignment between infrastructure and planning. She also urged both major political parties to commit to housing measures ahead of the next election, suggesting an expansion of the Incentivising Infill Fund from a one-time $350 million to an annual $500 million.
Gold Coast councillor Mark Hammel (pictured above right), chair of the Planning and Regulation Committee, also expressed concern about the slowdown in the midst of a housing crisis.
“This underscores the importance of developing a new planning scheme quickly,” Hammel said, adding that collaboration between local and state governments and the development industry would be crucial. “I look forward to ensuring the development industry’s input into the new planning scheme is heard,” he said.
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