Brand new workers’ accommodation will be built in South Australia’s Mid North after an Adelaide-based developer secured funding from Renewal SA.
Graycar Contractors will deliver 42 new housing allotments and 10 homes for key workers in Port Pirie after receiving $1 million in funding from Renewal SA.
The Adelaide-based developer successfully submitted an Expression of Interest for a share in the $10 million Regional Housing Initiatives Program (RHIP), which will support the creation of development-ready land across the state.
Renewal SA said that Port Pirie was identified by the Office for Regional Housing as a priority location due to high demand for government workforce housing, as well as being close to growing mining activity in the state’s north and the region’s established construction sector.
The new houses and allotments will be delivered as part of a two-stage expansion of the Balmoral Park Estate in Risdon Park, which is located three kilometres southwest of Port Pirie.
Stage one will include 20 new serviced allotments and 10 fit-for-purpose homes, which will be leased to the state’s Government Employee Housing scheme for a minimum of 10 years, while stage two will see the creation of 32 serviced allotments.
Matt Hunt, who is director of the Office for Regional Housing, said Graycar Contractors’ bid far exceeded original expectations for the project.
“In order to access the full $1 million of funding assistance on offer as part of our EOI, developers had to deliver 10 houses and at least 20 additional allotments; however, Graycar Contractors has committed to providing much more,” he said.
“The creation of 52 new housing opportunities in Port Pirie will go a long way in easing pressure in a tight housing market.
“The fact that the developer is already active in the area provided added efficiencies and gave us confidence that the project would be delivered to a high standard.”
The 10 homes will be built by Chelsea Homes, which has committed to completing construction within 30 months.
Graycar Constructions owner Lucio Signore said his company is proud to contribute to RHIP to “make a real difference for Port Pirie”.
“These homes will help attract and retain essential workers and, with our construction partner Chelsea Homes, we’re committed to delivering them to the highest standard,” he said
“Being able to deliver 52 allotments at Balmoral Park will go a long way toward easing housing shortages in the area, stimulate local construction and provide jobs and income for the local community.”
The news comes after the Malinauskas government joined a $135 million package with the Tasmanian and federal governments to support struggling metal smelters owned by Nyrstar, including one in Port Pirie.
Renewal SA also recently announced 26 newly built state government-owned houses in regional South Australia have been listed for sale, which it said offers investors access to decade-long leaseback deals at attractive rates.
The new homes, to be occupied by government workers in education, healthcare and law enforcement, are located in Ceduna, Kadina, Moonta Bay, Mount Gambier and Remark and were built in the past 18 months by local construction companies as part of the Regional Key Worker Housing Scheme.
“At a time of significant market instability, what we have on offer is an attractive opportunity for investors to include a strong and stable investment in regional South Australian housing in their portfolios,” said Hunt.