AM GC81: SOCIAL & AFFORDABLE HOUSING Summary of evidence: Dr Marcus Spiller

RECOMMENDED CHANGES TO GC81 AND RATIONALE Establish a social housing target of 10% for Fishermans Bend (FB) The average propensity to require social housing assistance in Australia and Victoria is 10% Include a mandatory inclusionary requirement for social housing in GC81, to operate in tandem with the FAU scheme Traditional government procurement is unlikely to contribute significantly to the social housing stock The FAU scheme is voluntary and cannot be relied upon to deliver all the required social housing Tandem operation will not discourage development in FB, provided redevelopment to residential/mixed use continues to be the highest and best use (versus continued industrial/commercial use) Set the mandatory contribution rate at 0.016 m2 (or $142 cash in lieu) per m2 of saleable floorspace (of all land use categories) Assumes 48.5% of the permanent social housing units currently targeted for FB (2,200) will be delivered via a mandatory requirement, with the remainder provided via the FAU scheme (48.5%) and conventional government procurement (3%) The mandatory inclusion requirement to be re-calibrated, if and when a 10% social housing target is adopted Adjust the social housing transfer ratio in the GC81 FAU scheme from 1 social housing unit to 8 private units to 1 to 10 Aligns with the pricing of additional development capacity available under Am C270 Melbourne Planning Scheme More likely to attract participation from proponents