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Sydney new-builds reach 16-year...

Sydney new-builds reach 16-year high

Over the past financial year an additional 30,000 homes were built in Sydney - the highest level of construction to be carried out in the city since the 2000 Olympic Games. 

The latest figures from the Metropolitan Housing Monitor reveal that over the course of 2015-2016, 30,191 new houses and apartments were completed, which is a ten per cent increase compared to the corresponding figure recorded the previous year. 

Indeed, it is the largest number since 30,520 new homes were built in 1999-2000 - a time when builders rushed into the market before the introduction of goods and services tax in July 2000. 

Despite this large increase, many industry commentators claim it will not have an impact on affordability, Domain reports. 

Approximately 40 per cent of the houses and apartments completed in the last financial year were concentrated in six local government areas. 

This includes the likes of the City of Sydney, Blacktown, Camden, Parramatta, Liverpool and The Hills. 

Stephen Albin, chief executive officer of the Urban Development Institute of Australia, welcomed the supply surge, stating that it is a positive and efficient step forward in terms of addressing the issue of affordability. 

"We have issues with affordability and the best way to tackle that with supply," he commented, adding that the new figures are just enough to meet supply. 

Mr Albin suggested that "we still need to eat into the 100,000 [undersupply]", indicating that more construction will be required to meet this challenge. 

Planning minister Rob Stokes agreed that the development is a positive one overall.

"More houses being built means more opportunity for Sydneysiders to buy homes across our city," he remarked, adding that infrastructure spending is also helping to tackle the undersupply issue. 

"Unprecedented spending on new public transport and roads is helping to address a housing undersupply backlog of up to 100,000 homes."

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