Industry body backs intergenerational report's density push but flags construction viability as the critical missing link
The Property Council of Australia has welcomed the 2026–27 NSW Intergenerational Report's call for greater housing supply and density, but cautioned that long-term projections must be supported by conditions that allow projects to proceed to construction.
Property Council NSW executive director Katie Stevenson (pictured top) said the report aligned with the organisation's longstanding advocacy on planning reform, housing supply, productivity, and taxation.
"This report makes clear that NSW can't accommodate millions more people, lift living standards and maintain essential services without building more homes and making our cities more productive," Stevenson said. "Treasury has provided powerful evidence for allowing more homes close to jobs, transport and services, and for treating planning and housing reform as economic reform."
Stevenson acknowledged progress on planning but drew a distinction between rezoning capacity and actual housing delivery. "The government deserves credit for the planning reforms already underway, but planning capacity is not the same as housing delivery," she said.
"A rezoning doesn't become a home unless the project is feasible, financed, serviced and able to move into construction. Construction costs, taxes, charges, infrastructure delays, workforce constraints and access to capital all determine whether a project proceeds. Those barriers deserve the same policy attention as rezoning and assessment reform."
The Property Council also highlighted the report's findings on emergency services funding, noting their relevance to a NSW Parliamentary Committee currently examining levy reform options. The report flags that population growth and more frequent climate-related disasters will increase pressure on emergency services expenditure.
On funding, Stevenson cautioned against placing additional costs on the property sector, arguing the burden should be distributed more broadly.
"As these costs grow, we need to consider a broad-based, fair and sustainable funding approach that shares the burden among everyone that benefits, rather than introducing new taxes and charges on one sector," she said. "The economic reality is that additional costs on the property sector will flow through the economy, increasing costs for tenants, businesses and ultimately consumers."
Stevenson concluded by calling on government, industry, and the community to convert the report's long-range outlook into a concrete delivery plan, citing faster approvals, coordinated infrastructure, workforce development, and modern construction methods as priorities.
"NSW can't tax its way to prosperity and the best response to the challenges identified in this report is to make it easier for businesses to invest, build and create jobs," she said.
"The Intergenerational Report gives NSW a clear view of the destination and the task now is for government, industry and the community to build the delivery plan that gets us there."
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