One of Western Australia's largest property developers has delivered a stark warning about the state government's approach to solving Perth's housing crisis, arguing that focusing solely on high-density development misses the fundamental problem.
Planning Reforms Fall Short
The Satterley Property Group, responsible for developing entire communities across Perth, has publicly criticised the Cook government's planning reforms that encourage higher-density living near transport hubs. While the government claims these measures will increase housing supply, industry leaders argue they ignore the core issue of inadequate land supply on Perth's fringes.
Chief executive Andrew Satterley stated that the government's infill targets are unrealistic and fail to address the growing demand for diverse housing options. "The state government's infill targets are not being met and will not be met," Mr Satterley declared, highlighting a critical gap in the government's housing strategy.
The Land Supply Bottleneck
The property group's analysis reveals a concerning trend that threatens to exacerbate Perth's housing shortage. Current projections indicate that Perth will face a shortfall of 40,000 lots by 2027 if current policies remain unchanged. This deficit comes despite the government's ambitious plan to accommodate 47 percent of new housing through infill development.
Mr Satterley emphasised that while medium and high-density housing has its place, it cannot serve as the sole solution. "We are not anti-infill, but we are pro-choice," he explained, noting that many Australian families still prefer standalone homes with backyard space, particularly those with children.
The developer pointed to significant delays in land development approvals as a major contributing factor to the crisis. What once took three to four years now stretches to seven or eight years, creating artificial constraints on land supply that drive up prices and limit options for homebuyers.
Industry and Government Response
The property industry's concerns have found support from opposition housing spokesman Steve Martin, who described the government's housing policy as "in tatters." He criticised the approach of forcing density into established suburbs while failing to release sufficient land for new housing developments.
However, Planning Minister John Carey defended the government's strategy, arguing that a balanced approach is necessary. "We are pursuing infill and density in the right locations, close to transport and services, while also delivering greenfield land," Mr Carey stated.
The minister pointed to recent reforms aimed at accelerating planning processes, including the removal of unnecessary development assessment panels and the implementation of streamlined approval pathways. He also highlighted the government's commitment to investing in infrastructure to support new housing developments.
The Path Forward
Industry experts suggest that solving Perth's housing crisis requires a multi-faceted approach that addresses both infill development and land supply. The Satterley Property Group advocates for a more balanced strategy that recognises the diverse housing needs of Perth's growing population.
The current housing shortage has pushed Perth's vacancy rate below 1 percent, creating extremely competitive conditions for renters and buyers alike. With population growth continuing to outpace housing supply, the urgency for effective solutions has never been greater.
As the debate continues, all parties agree that immediate action is required to prevent the housing crisis from worsening. The coming months will be critical in determining whether government policies can effectively address the complex challenges facing Perth's property market.
