'New thinking': Modular homes factory to 'turbocharge' NSW housing supply

New South Wales is launching a new initiative to accelerate home construction by partnering with private companies to establish a modular housing factory. The government aims to "turbocharge" the delivery of new homes through modern construction methods, which promise faster building times and lower costs.

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The way we build homes has barely changed for generations. But the housing pressures facing NSW demand new thinking, new technology and new solutions.

Premier Chris Minns stated that traditional home building methods have remained largely unchanged for generations, necessitating "new thinking, new technology and new solutions" to address the state's housing pressures. The government is backing these modern methods to produce high-quality homes more quickly and ease cost burdens.

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There can be savings of up to 20 per cent in time, and 50 per cent in cost when it comes to using modern methods of construction.

Planning Minister Paul Scully highlighted that modern construction techniques can achieve savings of up to 20 percent in time and 50 percent in cost. The government is exploring various partnership models with the private sector, including equity stakes, land provision, or training support, to establish one or more facilities. These factories will focus on producing components for medium-density housing projects, aligning with the state's housing pattern book designed to streamline approvals for developers.

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The New South Wales government is wanting to turbocharge the way homes are built in New South Wales by unlocking the potential modern methods of construction.

The government hopes to create multiple facilities statewide to combat growing housing shortages. The tender process is expected to open in the coming weeks, with the goal of engaging the private sector to adopt this new approach to building more homes. While no specific dollar value has been attached to the plan yet, the initiative precedes the state government's upcoming budget.

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The government is looking at what the private sector is looking for to support the establishment of one or more modern methods of construction facilities in New South Wales.