Apartments
PCA Tasmania has responded to the proposed reforms of the State Government. Source: Bernard Hermant from Unsplash.
  • PCA Tasmania responded to proposed reforms of the State Government
  • PCA says supporting development is crucial to economic recovery
  • Land tax and statutory approval reform is particularly relevant to attract investment

The Property Council of Australia (PCA) has responded to the latest announcements on the proposed reforms from the Tasmanian Government.

As reported on The Property Tribune, the PCA has been committed to major reform which they think is necessary to lead the state’s economic recovery.

“At a time when our State is trying to build its way out of a pandemic it’s crucial that development is supported,” said PCA Executive Director of Tasmania, Rebecca Ellston (who recently took up this position).

“The implementation of an Apartment Code to establish appropriate Permitted and Discretionary assessment pathways for medium-density residential development is something that the Property Council has long been advocating for, and believes will provide the right environment for economic stimulus.

“The Code will fast track appropriate good quality housing supply in built-up areas which are close to employment opportunities and established services and infrastructure by providing more certainty and consistency for developers.”

Rebecca Ellston, Executive Director of the PCA

The Tasmanian Government has said they will reform land tax thresholds to reflect today’s strong property market. The reforms include:

  • Doubling the land value at which land tax becomes payable, from $25,000 to $50,000.
  • Increase the maximum land value threshold, from $350,000 to $400,000.

Ms Ellston said the Property Council would take a good look at these proposed changes to land tax rates and thresholds in the coming days, saying it is crucial that Tasmania becomes are more attractive place in the nation to invest – which comes at the forefront with an attractive tax regime.

“Our state doesn’t have headquartered companies like Melbourne and Sydney and it doesn’t have the populations of these cities either, so we need to build our competitiveness in other areas and this includes land tax.”

“Given the changing nature of our state’s cultural and economic fabric in recent years, there’s never been a better time to invest in Tasmania.”

The PCA is pleased that the State Government will be providing additional funding to Macquarie Point, which they claim will unlock $500 million worth of private investment, providing more jobs within Hobart’s CBD.

Appropriate timeframes for statutory approvals by agencies such as local Government, TasNetworks, and TasWater remain highly critical for recovery.

PCA is committed to ensuring the State Government does not allow timeframes to be extended by these organisations.

They recommend appropriate funding to ensure these organisations have the necessary resources to review and approve work accordingly and fairly – as there remains a high risk the approvals become too onerous and set a bad precedent for future developments.

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