Kyrillos Ghaly

Developers have yet to start construction on nearly 40,000 homes with planning approval across Australia, including 11,170 in Sydney. According to KPMG’s recent report, the delay is largely attribu ted to high interest rates and rising construction costs . As of December 2023, 15,593 approved dwellings in New South Wales were still waiting for construction to comme nc e , a slight improvement from the previous year at 15,818 .   Victoria faces similar issues, with 7,897 dwellings , yet to break ground. Sydney and Melbourne account for nearly half of the nation’s stalled projects, with townhouses and apartments are representing the majority of unbuilt homes . KPMG urban economist Terry Rawnsley highlights the struggle developers face due to increased material costs and financing difficulties, impacting medium to high-density projects.   Brisbane saw a 3.8% rise in stalled projects, mainly detached houses, while the ACT experienced a near doubling in unstarted ap...

The construction industry is currently dealing with high interest rates, rising costs, and labour shortages, but a critical issue often overlooked is the impact on the mental health of tradies and business owners. MATES in Construction, a suicide-prevention organisation, has reported a significant increase in helpline calls, underscoring the severity of the mental health crisis. Research from Central Queensland University indicates that those in the building and construction industry face a higher risk of mental health issues compared to other sectors, compounded by the physical dangers and isolation inherent in these jobs.   James Knight, a Canberra electrician, has faced immense stress from unpaid work due to construction company collapses, worsening his struggles with depression, anxiety, and ADHD. To support their staff's well-being, Knight and his wife Nikki have implemented measures such as reimbursing health-related expenses and encouraging open dialogue about personal cha...

Rents have reached a historic high in Australia, with the national average now at $627 per week . H owever , the comparison between urban centres and regions is stark. City rents have reached an average of $750 per week in Sydney while the region al suburb s average $540 per week. CoreLogic's April 2024 data shows an 8.5% increase in annual rent growth . Eliza Owen, CoreLogic’s Head of Research, highlighted that the fastest growth is seen in regional areas and the outer suburbs, suggesting that affordability is pushing people to these locations.   Perth experienced the highest annual increase among state capitals, with a 13.6% rise, bringing the median rent to $669. Western Australia’s strong net interstate and overseas migration, coupled with employment growth in mining, has driven significant rental demand. Melbourne follows with a 9.6% rise, particularly in Dandenong and Tullamarine-Broadmeadows. Adelaide's median rent reached $580, reflecting a 9.1% increase, with Sa...

  The ACT Government is introducing a new initiative to establish a unified strategy for carbon measurement across the nation's commercial construction sector. This significant step was agreed upon at a recent national meeting of building ministers, where consensus was reached to implement a standardised method for gauging emissions.   Quoted in World Construction News this week, Rebecca Vassarotti , Australia’s Sustainable Building and Construction Minister, stressed the importance of this agreement. She highlighted that a consistent national framework is essential for the construction of new commercial buildings to achieve net-zero carbon emissions. “Across Australia, new buildings represent 10% of overall carbon emissions . Most of these emissions come from the materials, transport, and construction associated with new buildings , ” Vassarotti said.   Currently, there is no national standard for measuring ‘embodied carbon’—emissions from building materials, trans...

  Recent statistics from the Australian Bureau of Statistics a worrying trend : the total number of dwellings approved in April has fallen by 0.3% , with approvals down in three of the seven states. This downturn threat e ns the Australian government's ambitious plans to address the housing crisis.   Dr Michael Fotheringham from the Australian Housing and Urban Research Institute , quoted in an ABC article this week , emphasised that this decline is part of a broader trend in the struggling building sector. Consumer confidence in investing and building new homes has dwindled due to rising interest rates and cost-of-living pressures, compounded by significantly increased costs in housing construction. Despite the drop in approvals, the value has remained stable, suggesting that we are investing the same amount of money but building fewer homes.   The federal government's recent pledge of $9.3 billion to achieve a national housing target of 1.2 million new homes by 2029 i...