‘Desperately needed’: Government rejects buying up two Brisbane community housing blocks as locals fume
The government has rejected the chance to buy up community housing blocks on sale in the middle of a housing crisis.
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The growing demand for affordable housing has pushed a not-for-profit organisation to sell two of its inner-city properties so it can try and buy multiple new homes for those in need further out of town.
But the state government has refused to buy the listings to ensure they stay in the social housing system, with the Department of Housing saying it’s because they are unsuitable for acquisition
Jacaranda Housing provides vulnerable Queenslanders with affordable places to live, but has recently listed two Brisbane homes on the property market.
A 458sq m two-bedroom property with a sprawling back yard in Kangaroo Point is “under offer”. Meanwhile, the other, a three-bedder located in Balmoral, has an asking price of $970,000.
A third property in Brisbane’s south was advertised on the rental market for $600 per week but this has since been reduced to $550.
Jacaranda Housing’s chief executive, Lizz Bott, said the organisation had made the difficult decision to sell up the inner-city properties, so that they could obtain more housing elsewhere.
“We are reinvesting the sale proceeds into purchasing newer, modern, safe, and secure homes to help even more people needing housing,” she said.
They had purchased 17 homes this year and were looking to settle on another two properties, which would offset the sales.
It comes as it’s never been harder to rent in Brisbane, with a new rental affordability index earlier this month finding that the median rent of $553 now consumes 28 per cent of the average rental household income of about $104,000.
Someone with knowledge of the Jacaranda Homes matter claimed that these three community homes have sat empty and residents have been cleared out while the organisation waits for buyers and renters.
“These houses have always provided desperately needed families with long term, stable and affordable housing,” the person said.
“People have been shuffled around (and are) losing their communities.
“Many are women who have struggled to provide their children with a home and stability, and the many benefits that come with being part of a community.”
Jacaranda Housing claims that in some cases, for a short while, their homes were indeed left empty if a sale is underway, but this was rare.
“Sometimes our properties have been left vacant for short periods until the sale process happens,” Ms Bott said.
“However, in most cases, once a property has been identified for sale, Jacaranda Housing works closely with the Queensland Department of Housing as well as specialist homelessness service providers to ensure these homes can be used temporarily as we work to provide people with long-term, safe and secure housing.”
A spokesperson from the Department of Housing said they understood that Jacaranda was removing these homes from their portfolio because they had “significant maintenance costs, no longer suitable for their clients”.
The department would not say what criteria made them decide not to acquire the properties.
Jacaranda Homes took over housing cooperatives more than a decade ago and is listed on the charities register as having assets worth $50 million although it only turned a profit before tax of $155,000 in the most recent reporting period.
The organisation has three full-time employees and one part-time employee.
It comes as the state government has placed a pause on divesting social housing since March last year after copping criticism for selling off 295 homes in the space of six months.