The developer and building materials company have teamed up via the state government’s market led pathway, as the government continues to roll out its $80 million infrastructure fund.
Hesperia and Heidelberg Materials are progressing a proposal to unlock land for residential development in Ellenbrook, as the state government continues to roll out its $80 million infrastructure fund.
Premier Roger Cook today announced the government would support the delivery of more than 5,500 new homes, via its infrastructure development fund and market led proposal (MLP) pathway.
Ben Lisle-led Hesperia has entered a consortium with Heidelberg to unlock a significant parcel of land west of Ellenbrook for housing, which is currently subject to Heidelberg’s sand mining lease.
The joint venture, entered into via the MLP process, would involve the building materials company ending its mining lease prematurely to facilitate the delivery of up to 4,000 homes.
The proposal also involves the restoration of the former Gnangara Pines plantation to Banksia Woodland.
The parties could not comment on the deal, given its part of the MLP, but more details are expected to be released later this year.
Housing Minister John Carey said the MLP process exemplified how the public and private sectors could collaborate to provide housing.
“This proposal could utilise the capacity of the private sector to unlock the potential of land that is currently constrained for residential development, at this critical time where we are looking at all opportunities to boost housing diversity and affordability,” he said.
Mr Cook spruiked the government’s infrastructure development fund, which provides funding to connect utilities to new infill developments.
Speaking at Bluerock Projects’ $25 million Midland build-to-rent project, he announced that a further $16 million has been allocated to 20 projects across 1,560 dwellings via the $80 million fund, bringing the total number of projects funded via the scheme to 100.
Bluerock Projects’ Midland build-to-rent project, expected to be complete this December, was among the projects funded via the scheme.
Bluerock Projects director Daniel Rainone welcome the $510,000 allocated to the 51-dwelling development, and said he hoped to utilise the fund again in future.
“We’ve used every penny of the funding on this project and we have more build-to-rent projects on the horizon,” he told Business News.
“Whether you’re building an apartment in more remote or socio-economically challenged areas, or in the western suburbs, infrastructure costs are an enormous barrier for getting it from feasibility to turning dirt on site.
“[The funding] gets rid of massive upfront costs.”
Property industry groups including the Housing Industry Association, Property Council of Australia and Urban Development Institute also expressed their support of the infrastructure development fund.
HIA WA executive director Michael McGowan said “the genuine need for housing across the entire housing continuum must continue to be addressed.”
