Prefab homes: A solution for housing crisis?

Prefab homes drawing new interest

Prefab homes: A solution for housing crisis?

News

By Mina Martin

Prefab and modular housing have been touted as potential solutions to Australia’s housing crisis.

Prefabrication involves the off-site construction of parts or entire structures, which are then transported to the construction site.

This method, known as modern methods of construction or industrialised building, is gaining government interest, according to the Property Council.

See LinkedIn post here.

Government initiatives and support

In March, building ministers nationwide agreed to reduce red tape to expand prefabricated and modular construction.

“We need to pull every lever to help use advanced manufacturing to support the rollout of these homes,” said Ed Husic, minister for industry and science.

The Queensland government’s recent budget committed funding for up to 600 new modular homes.

“We’re utilising our public builder QBuild and Queensland businesses to deliver hundreds more modular homes,” said QLD Housing Minister Meaghan Scanlon.

State-specific prefab housing projects

Western Australia is piloting a $1 million project using prefabricated tiny homes to boost social housing.

“Our government is utilising a number of alternative construction methods to deliver more social housing across the state,” WA Housing Minister John Carey said.

Similarly, New South Wales and Victoria are investing in modular housing trials and projects as part of broader housing initiatives.

Expert insights and challenges

Professor Mathew Aitchison, CEO of Building 4.0 CRC, stressed the historical context and challenges of modular housing.

“Australia has been doing prefab on and off since the mid-19th century,” Aitchison said.

However, he cautioned against viewing it as a cure-all for the housing crisis.

“It is another tool in the tool bag… It can play a role, and governments are right to explore it. But it is by no means a ‘get out of jail free’ card.

“We need to start capturing more data to understand this part of the industry better,” he said.

The Building 4.0 CRC recently hosted an innovation showcase featuring cutting-edge innovations, underscoring the importance of continued investment and development.

Industry perspectives

Property Council CEO Mike Zorbas (pictured above) advocates for greater inclusion of prefab and modular housing in the housing mix.

“We need to invest in innovation and establish secure demand pipelines to scale up industrialised construction,” Zorbas said.

The Property Council chief acknowledged the challenges but noted the potential benefits of large-scale production.

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