Building 'plummeting' in NSW

By Adam Smith | 30/08/2011 4:00:00 AM | 0 comments

The home approval rate in NSW is "plummeting" at more than three times the national rate, it has been claimed.

The Urban Taskforce has criticised low volumes of building approvals in NSW, and has claimed Sydney will see a housing shortfall of 80,000 homes by 2014. The organisation's chief executive, Aarron Gadiel, said home approvals in the state are still trending downward.

"We've now seen three straight months of data where the NSW private sector home approvals have trended down by more than 4% a month," he commented.

Gadiel said this was more than double the rate of decline seen in Victoria, and more than triple that seen in WA. He commented that the decline spread beyond residential housing into the commercial sector, with non-residential approvals falling 57% since March.

"That's a serious sign that NSW isn't going to see the construction of new shops, workplaces and other business premises that the state desperately requires," Gadiel said.

The Urban Taskforce has called for action from the NSW Government to halt the decline in building activity.

"This means urgent interim planning reforms to encourage more investment in the state delivered now, rather than in 18 months time," Gadiel said.

Related stories:

Property developers blast COAG 'nonsense'

NSW falls behind in housing

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