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25 July 2025
In this Edition...
1. Urban Taskforce makes 27 recommendations in its submission to the Federal Productivity Summit
2. Unions’ response to productivity crisis – shoot the messenger!
3. Sydney Water’s revised submission to IPART on water pricing
4. More state significant housing declarations through HDA pathway
...and much, much more.
5. Draft Wianamatta South Creek Cumulative Impacts on Flooding Policy
6. First impressions of the Pattern Book Development Code – Mills Oakley
7. Skills crisis hits home in NSW
8. What is the position of the Member for Wentworth on opening Woollahra Station?
9. Residential construction on $1.5B Upper North Shore Masterplan set to begin
10. Federal Parliament resumes – Housing is the first question of the term
11. Bradfield Development Authority – Q2 update
12. Spotlight on excellence – Indi Sydney by Investa
13. Members in the news
1. Urban Taskforce makes 27 recommendations in its submission to the Federal Productivity Summit
The Urban Taskforce submission to the Economic Roundtable (more commonly known as the National Productivity Summit) centred around the notion that fixing the housing supply crisis is predicated on arresting the dramatic productivity decline across the nation.
Fixing the tax system. Fixing workplace productivity. Slashing the red tape in planning and building code bureaucracy. Investing in infrastructure. Preventing union bullying and corruption on constructions sites.
In many ways, the issues causing the lack of housing supply in Australia, particularly in key States like NSW, are a microcosm of broader economic and societal trends.
That’s why the submission by Urban Taskforce to the Productivity Summit was based around 6 pillars of reform:
- Reforming the tax system – removing bad taxes and broadening the base
- Removing red tape
- Fostering innovation and more productive construction methods
- Enhancing workforce skills and addressing militant unionism
- Prioritising housing enabling infrastructure
- Curtailing excessive public sector growth and its ‘crowding out’ effect
Our submission makes 27 recommendations to lift productivity and improving housing and employment opportunities across the nation.
Despite the reforms undertaken by the Hawke, Keating and Howard Governments, the nation still suffers from a “lucky country” mentality.#
Changing this outlook has driven our push for the six priority areas of reform – major reform to a regulatory framework ill equipped for the economic needs of today; a tax system that looks more like the 1970s than the 2020s; a construction sector embracing new technologies at a snail’s pace; and an industrial relations system dominated by an unrepresentative minority that looks backwards rather than forwards.
In the case of housing supply, the private sector delivers at least 95% of the new housing required and yet it has been largely ignored by the Albanese Government which has focussed on the very public sector service delivery that the Productivity Commission say is driving down productivity in Australia.
Our sector continues to face impediments in the form of the six areas outlined in the Urban Taskforce submission. This build-up of inefficiency has grown on the back of lethargy. The growing encroachment of the public sector into private sector activity, with no business case to support this – is what economists refer to as the “crowding out effect”.
The Government has built a band-aid manufacturing plant called social housing funding – but to date has ignored the cause of the housing supply crisis – the strangling of productivity and profits in private sector supply.
An article published this week by the Centre for Independent Studies, Leviathan on the Rampage noted that more than half of the nation’s population relies on the taxpayer for a living should cause all participants at the upcoming summit to pause, reflect and commit to dramatic reform.
We run the risk of turning into a calcified economy, where unsustainable public sector largesse suppresses the ongoing health of the private sector.
The big question that lies before the Summit is what will the costs be if we continue to push reform down the road for another Government, or another term?
The Sunday Telegraph covered our submission to the upcoming Productivity Summit, honing in on union militancy, red tape and tax reform as key factors holding back the nation’s long term prosperity:
2. Unions’ response to productivity crisis – shoot the messenger!
Last week Urban Taskforce Australia called on the union movement to get on board with productivity reform to turn the Australian economy around.
This week, they showed their colours.
In a move taken directly from the Stalinist playbook we thought had long been buried in Australia, Australian Manufacturing Workers Union national secretary Steve Murphy called for the Productivity Commission to be abolished.
Quick: “Shoot the messenger” was his considered call.
Far from repudiating the AMWU boss, the ACTU’s Sally McManus once again showed just how far the union movement has regressed since the days where they led the charge for productivity reforms, reflecting on workers feeling “burnt out” and blaming management.
How many CFMEU members or metal workers on their $180K+ salaries feel burnt out?
Sure – nurses, teachers, police, aged care workers, child care workers are all doing it tough – that’s why we need tax reform including an increase to the GST, reductions in income and company tax and an abolition of stamp duty (in case you missed it, see story 1 above).
Yet it was visionary unionists like Bill Kelty, Simon Crean, Jenny George, Martin Ferguson, Anna Booth and in NSW, Michael Easson, Peter Sams and Michael Costa, who led the push towards Enterprise Bargaining and wage increases which were based on workplace reforms.
Award Restructuring, multi-skilling, training pathways enabling continuing education, union amalgamations – all were part of a rigorous focus on productivity that drove consistent real wage increases through the mid-1980s and well into the 1990s.
The elimination of tariff protection opened-up huge opportunities for exports and employment growth, but they also exposed areas where protections had maintained employment in highly unproductive areas of Australian industry. With no tariffs to protect those inefficient worksites, those industries either restructured into areas where they held a comparative advantage over our competitors, or they closed down.
It’s high time that today’s union leaders stood up and took some responsibility for fixing the problem. But what is Sally McManus’s contribution? It’s not our fault – it’s all because of poor management!!!
Please! If this is the best you’ve got, don’t send your four delegates to the productivity summit.
Australians want tangible ideas and real reform. We can do without the set piece soap box speeches that hark back to the industrial revolution.
In a recently published Sourceable article, Urban Taskforce Australia urged the Productivity Summit to prioritise supply-side housing solutions and ensure wage increases are tied to genuine productivity improvements, warning against yet another ineffective “talkfest.”
3. Sydney Water’s revised submission to IPART on water pricing
Sydney Water has tweaked its ask of the IPART in terms of Sydney Water prices.
Sydney Water is reported in the AFR to have reduced its ask from a 53% increase in water rates, to fund new water infrastructure to support housing supply, to a 32% price rise over 5 years – much closer to the IPART draft decision to increase rates by 25% over 5 years.
Sydney Water continues to ring the alarm bells that reducing investment will be disastrous for housing supply, especially in greenfield developments in the growing Western Sydney region:
We agree and have told IPART to look at the longer-term needs of Sydney.
Anyone interested in the economic growth of Western Sydney is on a unity ticket when it comes to the need to sufficiently invest in water infrastructure across the region.
The established Sydney suburbs had their water infrastructure paid for and provided through a broad impost – State Government taxation.
Building the Northern Suburbs Ocean Outfall sewer - paid for by the NSW taxpayer
A final decision by the IPART is due by September 2025.
4. More state significant housing declarations through HDA pathway
The work of the HDA forges on, with the Minister declaring 30 projects as State Significant under the HDA pathway - representing a potential of 9,544 new homes.
To date, the Minister has declared 183 applications as State Significant under this pathway, representing potentially 69,655 new dwellings to the NSW housing supply pipeline.
We now await these projects progressing through the SEARS, lodgement and critically the approval phases. That’s why we need Sydney Water to get on with its job and build the essential core water housing infrastructure.
5. Draft Wianamatta South Creek Cumulative Impacts on Flooding Policy
DPHI have placed the draft Wianamatta South Creek Cumulative Impacts on Flooding Policy on public exhibition. The Department is seeking feedback by 18 August.
The Department is running webinars to discuss the policy:
- from 1.30 – 2.30 pm on Monday, 4 August, for industry; and
- from 1.30 – 2.30 pm on Tuesday, 5 August, for general stakeholders.
To register refer to the DPHI link below.
This policy identifies some key considerations for flood management across the catchment. One of the matters is the position regarding the location of infrastructure in the flood pathway. It seems bizarre that DPHI is telling Sydney Water where to locate its infrastructure, and as a result, pushing that infrastructure into high value residential land.
This potentially limits the ability to construct stormwater management infrastructure in lower cost flood liable lands and require them to be relocated in to more expensive developable land.
This will have the disastrous effect of increasing the potential infrastructure contributions for the scheme and reduce the amount of developable land available.
Just when you think the beast has been slain, like the Greek mythical Hydra, DPHI grows two more heads to hold back housing supply.
6. First impressions of the Pattern Book Development Code – Mills Oakley
On the back of last week’s release of the Pattern Book for low rise housing and its associated code-based assessment regime, Mills Oakley’s Aaron Gadiel has prepared an excellent first cut summary of the Minns Government’ NSW Pattern Book Development Code.
Aaron Gadiel takes a look at the Pattern Book reform
Effective from 30 July 2025, the new Code aims to introduce a streamlined pathway for residential development in order to accelerate approvals and expedite low rise housing supply.
We shall provide updates when a further assessment of the detail contained within the pattern books is prepared by Mills Oakley - ascertaining how easy (or how difficult) it will be to satisfy the development standards, location requirements, technical drawing sets and technical information in each pattern.
7. Skills crisis hits home in NSW
Less than a month out from the productivity summit, bad news this week with the NSW TAFE system bulging at the seams and turning away would-be electricians in all but 6 campuses in greater Sydney until at least 2026.
The challenge of housing supply simply won’t end on June 2029, even if the nation gets close to the 1.2 million new homes.
To accommodate a growing population, we need a steady pipeline of trades and other skilled workers to ensure that housing supply never again falls behind demand.
Jobs and Skills Australia says we need 85,000 new electricians alone by 2050 to keep up with housing and renewable energy requirements.
Yet the Federal Government spent 2 years wishing away the housing skills crisis, seemingly preferring yoga teachers than importing skilled construction workers from overseas.
More funding Is needed to ensure we have an array of skilled workers sufficient to deliver on the Accord targets and beyond.
8. What is the position of the Member for Wentworth on opening Woollahra Station?
Media pressure is building on the State MP for Wentworth, Kellie Sloane, on her position with respect to the opening of a new station and associated housing at Woollahra.
During the last State election campaign, Ms Sloane nailed her colours to the NIMBY mast, trotting out the now infamous line “don’t punish us with housing”.
With a shifting of ground and public sentiment to well- located housing close to transport links, more questions are now being asked of the Member for Wentworth, especially given the Woollahra Station proposal.
State Political reporter for the SMH, Alexandra Smith, wrote a column this week noting the delicate position in which the MP finds herself:
We have already seen the MP try to play both sides of the debate over a proposal for mixed used development in Rose Bay.
Now we have the Woollahra Station proposal, which pits NIMBY and YIMBY forces against each other.
As for Ms Sloane’s position? Sometime when you sit on the fence, all you come away with is splinters.
Image in part generated by Chat GPT
9. Residential construction on $1.5B Upper North Shore Masterplan set to begin
This week Capital Corporation announced the appointment of leading private, multi award-winning family-owned Australian business DASCO to deliver the first 128 apartments at The Residences at Wahroonga Estate, part of the largest master plan on Sydney’s Upper North Shore.
The $1.5 billion transformation of a 31.4-hectare site heralds a new era for Upper North Shore, with The Residences at Wahroonga Estate forming the cornerstone of a broader vision to create a world-class integrated health precinct centred around the San Hospital, Sydney’s largest private hospital.
The broader master plan has already delivered several key outcomes, including the expansion of the San Hospital to 90,000m², a new high school, retail and medical suites, and the ongoing construction of 15,000m² of student and key worker housing.
Construction of the 128 apartments will commence in the coming months, with completion targeted for late 2027.
10. Federal Parliament resumes – Housing is the first question of the term
The 48th Parliament met for the first time this week, and the first question from the new Leader of the Opposition, Susan Ley MP, to the Prime Minister was on the National Housing Accord targets.
Excellent to see that housing will continue to dominate federal affairs. Let’s hope we get a bit more bipartisanship and bit less politics on the need to get behind those who will have to deliver 95% of the 1.2 million new homes required by mid 2029. The absence of former Greens MP Max Chandler-Mather is a good start.
The reappointed Federal Minister for Housing, Clare O’Neil, set a good tone in Parliament in terms of the Government’s focus on housing and the need for co-operation in the fifth question asked in the chamber:
Less politics, more positive policies. That’s what is desperately needed!
11. Bradfield Development Authority – Q2 update
There appears to be a lot of colour and movement out Bradfield way if the latest newsletter is anything to go by. CEO Ken Morrison writes that Bradfield is advancing rapidly as Australia’s first new city in a century moves from planning to delivery.
The city’s first building is open and recognized nationally for iconic design, digital infrastructure is underway, and foundational works will enable future innovation and growth.
Major public and private investments are flowing, and delegations from around the world are engaging with the project’s opportunities.
The First Building
The Authority seems to be thriving under its refined focus on Bradfield and new CEO Ken Morrison.
12. Spotlight on excellence – Indi Sydney by Investa
Winner of the 2025 Development Excellence Awards’ best Build to Rent development was Investa’s Indi Sydney.
Indi Sydney comprises 234 premium BTR apartments positioned above the new Gadigal Station on Pitt Street.
Developed by Investa on behalf of owner Oxford, designed by Bates Smart and built by CPB Contractors, it leads the burgeoning BTR sector as the first purpose-built BTR residence in Sydney’s CBD and the first completed BTR asset under the Indi platform.
A cutting-edge, transport-oriented development, it addresses the CBD’s acute housing need while delivering a vibrant, central and highly connected residential offering that boosts the city’s social and economic vitality.
A worthy winner combining the burgeoning BTR sector right on top of A world class metro station.
Below, L-R: Ian Lyon (Oxford Properties) together with the winning Investa team: Jody Lao, Tom Fleming, Alan Beaver, Stefan De Jesus, Mark Tait, Courtney Raven, Trevan Robinson
13. Members in the news
*Please note these articles may be paywall protected
“… Ellipse Property head of development Nigel Farquhar says that being able to leverage its partner company Decode’s iCIRT rating—both were founded by Sam El Rihani—meant the focus could remain on quality ... read more ...
To read more, click here: The Urban Developer, 21 July
"… At the larger end of the scale, Landmark Group’s Casa Delmar will deliver 283 apartments across two buildings on a 7830sq m site at 4 Delmar Parade and 812 Pittwater Road … read more ...
To read more, click here: The Urban Developer, 22 July
"… Coronation Property has taken over the build-to-rent project of an agribusiness and property tycoon and plans to nearly double the number of homes originally proposed ... read more ...
To read more, click here: The Urban Developer, 23 July
"… The deal prompted Dexus to increase its investment in the retail fund by $170 million, taking its total commitment to $300 million ... read more ...
To read more, click here: The Urban Developer, 23 July
DISCLAIMER: All representations and information contained in this document are made in good faith. The information may contain material from other sources including media releases, official correspondence and publications. Urban Taskforce Australia Ltd accepts no responsibility for the accuracy of any information contained in this document.