Growth and housing
The Sunshine Coast is recognised as a high-growth region when measured both by population and economic growth. Over the past decade the region has seen its population boom, a strong increase in gross regional product, improving household income, a diversifying economy and a strong investment pipeline leading into the next decade.
During the three-year Covid period from 2020 to 2022, the region experienced higher-than-average growth in housing prices, largely due to migration from southern states, with the regional housing market continuing to perform well despite the expected national market correction. The flipside of this good news, however, is the resultant pressure on rental cost and availability to accommodate families and workers.
Housing availability and affordability — which were a concern well before Covid — remains a growing problem and demands meaningful actions by state and local government to allow the region to continue a sustainable growth path. According to the Sunshine Coast Market Report by Urbis, it is estimated that this region requires a minimum of 3500 new houses to be developed each year across all price points to keep pace with population growth alone.
The lack of housing and diversity of accommodation across all price points is causing major disruption within this region and is a real threat to regional growth. It is critical, when competing with other regions and cities to attract new talent, that this region can demonstrate it has the capacity to accommodate a burgeoning permanent and temporary workforce — including those key workers we need to attract to support the growth of the identified high-value industries, and who are in demand and have opportunities nationally.
The Sunshine Coast Business Council (SCBC) believes this is one of the region’s key challenges to sustainable growth. We further believe that unless immediate, decisive actions are taken to address housing and accommodation shortages — particularly the local factors exacerbating the problem — the impact will continue to be a major drag on growth as we will not have access to the workforce essential to support the diversifying and expanding economy.
As in all regions, Sunshine Coast businesses face a tough road ahead in 2023, particularly in terms of global eco-political issues, raising inflation and interest rates. While these are headwinds we cannot address locally, we can, and need to, address the local impacts on growth.
SCBC has been working with other industry groups to understand the issues impacting housing availability, affordability and liveability, and presented submissions to Sunshine Coast councillors and executives on our recommendations. We have looked beyond the statistics to understand the interrelated issues, and in late 2022 SCBC undertook its third investor market survey in the past decade to ascertain current investor sentiment (regional, national and international) and whether it had changed towards the Sunshine Coast as an investment location.
Some of the key findings were expected:
- The Sunshine Coast is seen positively as a place to invest when considered against investment criteria including strong population growth, demographic and market profiles, strength of demand and the ability to achieve target rates of return.
- There are constraints to investment if not addressed, such as lack of ease of business in terms of planning matters: how planning schemes are implemented, timeliness and delays in decision making, influence of minority community voices and the lack of access to councillors.
- That access to labour poses a serious risk to investment for regional projects both during development and for ongoing operations, particularly impacting aged care facilities and hotels and resorts.
- Standout projects identified by investors for their impact on growing and diversifying the region are Maroochydore City Centre, Sunshine Coast Airport and Aura.
- That clear investment policy and planning schemes are key areas to get right to facilitate investment, in areas such as residential and industrial land supply, growth areas and density, and protection areas.
- Promoting the region’s vision, strengths and growth policies are important to attract national and international investors.
The Sunshine Coast region has a strong private and public sector investment pipeline and investor interest, to keep this growing population employed into the future. The big question for the wider community to grapple with is do we want to live in a region equipped with affordable housing and accommodation, social, health, education and other sustainable infrastructure required to support a growing population and a diversifying economy?
Or do we want to somehow stop or slow population growth, understanding this will limit employment opportunities, limit investment in housing and all other classes of infrastructure including hospitals, schools and the social infrastructure to keep our community engaged, and would result in an unaffordable housing market for those who drive our ambulances, teach our future generations and work in our cafes and restaurants?
Both options have consequences that need to be understood within the wider community and that is the responsibility of our regional political leaders.
Just as there are opportunities, there are challenges. The next few years will be financially and emotionally tough for many of our hard-working people and businesses. Rising inflation and interest rates will continue to put pressure on both the ability to pay existing loans as well as future borrowing capacity, which we are told has already decreased by about 25 per cent for many.
This is the time, again, for pragmatic, decisive regional leadership that ensures we have the most effective policy levers, including competitive incentives in place, to attract new investors and encourage those already here to continue to deliver the vital infrastructure required to create the jobs and keep our economy prosperous well to the future.
We know with a great deal of certainty that investors place their funds in regions where growth is planned for and not limited. We must remain that region.
Sandy Zubrinich, Sunshine Coast Business Council chair
February 23
Well worth the sacrifices
Read the letter here: No logic to system
Yes, I do feel sorry for the renters. I was one too, once.
I remember my first home, moving in without tiles, carpet and furniture, living in poverty, driving my old car I couldn’t afford to replace. All this while battling 17 per cent interest rates.
I watched the renters with no worries, living it up, paying off the flash car – I would have loved a V8. But now I’m glad we made the sacrifice.
Barry Wild, Pacific Paradise
February 18
Sense in development required
My family is one of many affected by a proliferation of duplex and large home developments in Kawana. While we appreciate the desire to renovate and rebuild, we among many, face unwelcome impact to lifestyle and privacy with development. Thankfully, our discussions with the developer were positive and well received, resulting in a mutually acceptable solution. Many others are not so lucky.
I urge residents to respond to the draft plan when council releases the document for feedback. We cannot allow development at any cost, particularly to privacy of existing homes and lifestyles. Sensitive and responsible development we welcome.
Mark Stephens, Bokarina
February 21
Town needs investment
I am writing in relation to the proposed east-west track (Nambour to Coolum Recreation Trail). The proposal seems like a fantastic idea and most necessary. As someone with a young family in the area, I believe that providing walking and cycling tracks as well as public transport to the coast is imperative for the future of Nambour. My biggest reason for saying this is that the children of this town (present and future) need to have ways to access the coast, parklands and recreational areas that the Sunshine Coast has to offer. If they do not, then they get bored, cause trouble, loiter, commit petty crime and so on. Growing up on the outskirts of London, England, this is something I grew up with and moved to Australia to get away from. We are so lucky here to have so much free natural enjoyment that this is something we need not worry about, however, it needs to be accessible.
Nambour is geographically the heartland of the Sunshine Coast and that will never change. Unfortunately, Nambour has become a graveyard of shopfronts with very little amenity, utility and desirability. As of late, the town seems to have come awash with people with drug issues.
I recently had family and friends visit over Christmas/New Year. I noticed how we visited so many different suburbs to go shopping, to markets, bushwalking, to the beach or to spend money at boutique restaurants and businesses. It occurred to me that the only reason we went to Nambour was to grab some groceries. It baffles me as to how such a relatively large town, strategically located with all the infrastructure it has, could have so little economic activity. It’s really concerning for someone looking to raise children here.
With the lead-up to the Olympics I believe that there has never been a better time to gentrify Nambour and restore its former glory. With Bonza finally getting off the ground I feel that having transport links from the airport to Nambour and the adjoining train links to Brisbane would be an amazing opportunity for Queensland, interstate and international visitors as a way to get around and see as much of the local area as possible.
I believe people would be willing to spend on Nambour investment if council showed interest in the gentrification of the town. This issue is clearly too big to ignore. Obviously, things don’t change overnight but we have a 10-year window. I fully appreciate that it is tricky, the council has budgeting requirements and has to cut its cloth accordingly. There is lots to be done on the Sunshine Coast over the next decade, not just with the Olympics but also with interstate migration and the population boom that we are seeing. There is plenty of private money people are willing to spend in the coastal towns.
Investment in Nambour will lift up the whole Sunshine Coast by serendipity.
With that said, Nambour also has so much existing infrastructure to build upon. It is the most undervalued, under-utilised and underdeveloped town on the coast in relation to capacity. You only have to look at the zoning to see that if there was one place in Queensland that could help solve the housing crisis, it’s right here. Construction would bring housing and jobs. This in turn would help refill some of the vacant shops and restaurants. Since the Queensland land tax reforms last year, the whole country is looking to spend money investing in South-East Queensland right now. If the council showed that they wanted Nambour back on the map, considering its relative affordability, people could pour into this town. Everyone wants to invest in the Sunshine Coast and there are very few places that most people can afford to, Nambour is that place.
I discovered recently that Nambour was being earmarked for a future entertainment precinct, the nightlife hub of the Sunshine Coast where people could enjoy live music, dance and drink into the early hours. This sounds like a good concept. With that said, if there are no public transport links here I don’t see how it would work. People typically do not want to drive on a night out. I was shocked when looking into the strategic growth plan that any proposed train line or light rail tracks were going to completely bypass Nambour. We already have a tram station in place that could be repackaged for a light rail station to run from the train station to the showgrounds, up to the Big Pineapple and even out to the hospital, Maroochydore CBD, airport and coast. I also believe that there would be significantly less pushback from locals in Nambour for the light rail to pass through their backyard as opposed to other parts of the Sunshine Coast.
I think there is a great opportunity to make Nambour the hydrogen green energy node that supplies the Sunshine Coast with green energy into the future. Considering its strategic location, the vision of the future Sunshine Coast to be the most sustainable region in Australia by 2050, it would be a great way to provide jobs and infrastructure to this beautiful region, now and into the future. Green gas is an imperative energy source for restaurants to get away from LPG, it’s also necessary for commercial purposes and times if the grid goes down.
I really hope that others can see my vision for the future of Nambour. If so, I am more than happy to have a discussion on how it can be achieved.
Don’t give up on Nambour.
John Morrison, Nambour
February 20
Veterans deserve respect
Members of the Australian Defence Force and veterans deserve the gratitude of a nation, which starts with respect and care.
Recent decisions from the Albanese Government have troubled me and I don’t believe they are doing enough to back our ADF members and veterans on behalf of a grateful nation.
According to media reports, the Defence Strategic Review – being considered by the Albanese Government – has a chapter dedicated to a workforce crisis.
One of the many ways to help in the way of recruitment and retention is to show Defence personnel the country takes care of its veterans.
I once again call on the federal government to deliver the much-needed services for our veterans including support for transition, employment, education and health for our veteran community by the adoption of an Australian form of the US “GI Bill”.
I’m reminded of Sunshine Coast Young Veterans president Peter Kennedy’s words in relation to the axed wellbeing centre last year: “This is a complete disrespect to our veterans and their families … why did I bother serving my country if my nation doesn’t care about me.”
I assure Peter and our many Sunshine Coast veterans that we do care and we stand beside you and call on the Albanese Government to deliver the services our community deserves.
Carefully considered spending is required in the upcoming Budget in May with Defence and veteran affairs a top priority, including the eight proposed wellbeing centres they axed in last year’s October Federal Budget.
There is some positive news when it comes to moves to streamline veteran entitlement legislation.
The recommendation to harmonise the myriad of Acts that governs veterans’ entitlements is the first recommendation of the Royal Commission into Defence and Veterans Suicide, which was established by the previous Coalition Government.
We are pleased the Royal Commission is coming up with meaningful long-term recommendations, and we welcome the current government support for this initiative.
Veterans looking for counselling or support services can contact Open Arms for free and confidential 24/7 support on 1800 011 046.
To sign the petition for a Veteran Wellbeing Centre on the Sunshine Coast, click here.
Andrew Wallace, Federal Member for Fisher
February 24
Do you have an opinion to share? Submit a Letter to the Editor at Sunshine Coast News via: news@sunshinecoastnews.com.au. You must include your name and suburb.
