Rising costs and infrastructure delays are putting new Gold Coast apartments at risk, says the Property Council of Australia. Picture: ANDREW KACIMAIWAI
The residential apartment pipeline on Queensland’s Gold Coast is increasingly at risk according to new research released by the Property Council of Australia.
The independent research, prepared by Urbis, shows 53 per cent of the Gold Coast’s apartment pipeline is at moderate to high risk of withdrawal or delay in 2026-27 as strangleholds imposed by rising costs increases.
In a Property Council of Australia (PCA) media release, Urbis Director Paul Riga said the number of projects that had launched on the tourist strip in the first quarter of 2024 were the lowest that the city has seen in five years.
“While we’re seeing a consistent number of Development Approvals (DAs), the red flags that indicate a potential slowdown are the increasing number of projects that simply aren’t advancing to formal sales or construction phases,” he says.
“Based on the growing volume of approved but inactive projects, the supply of new apartments in the Gold Coast could fall from 1900 units in 2025 to 1400 units in 2026, with only 50 units being relatively certain to be delivered in 2027.”
Mr Riga describes the situation as “alarming” for a city that has to shoulder the supply of 4500 new dwellings each year under the South-East Queensland Regional Plan.
Property Council of Australia (PCA) Queensland Executive Director Jess Caire points to rising costs and lack of new infrastructure as among the biggest obstacles to new projects and says that more action is needed.
“Cost burdens are placing enormous constraints on delivery programs. Not only the cost of construction, but the cost of increasing – and uncompetitive – taxes, and infrastructure that isn’t aligned with planning,” she says.
“To provide the housing we all deserve, we need to welcome the investment Queensland needs.
“This means meaningful tax reform that places secure housing back within reach of Queenslanders, and better aligning planning and infrastructure delivery as part of a coordinated approach to growth,” Ms Claire says.
“In the lead up to the election we need to see big, bold commitments from both sides of government.
“This includes expanding the Incentivising Infill Fund from a one-off, $350 million fund to an annual $500 million commitment that will encourage further development in under-utilised locations with the greatest housing demand.”
Gold Coast Councillor Mark Hammel, and chairman of the city council’s Planning and Regulation Committee, says the prospect of an apartment slowdown in the middle of a housing crisis is deeply concerning.
“This only reinforces why developing a new planning scheme as quickly as possible is so important,” he says.
“Creating more dwelling supply will require a joint effort between council, the State Government and the development industry.”
