Social housing project at Fitzroy Gasworks site suspended by Victorian Government, sparking outcry
A prized state government project which promised to provide inner-city housing for low-income families and ease the rental crisis is now in doubt.
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A much-lauded state government project to build affordable homes on an inner-city redevelopment site has been suspended, sparking outrage among housing advocates.
Development Victoria advised it had “paused” the social and affordable housing element of the Fitzroy Gasworks redevelopment.
The government had previously spruiked the project as a “vibrant new neighbourhood”. But doubts now exist over the future of the housing project which was to have 20 per cent social housing – or about 240 apartments.
The affordable homes had been rated a priority and were to be built first.
Yarra independent councillor Stephen Jolly slammed the suspension and sought answers on the reasons behind the delay.
“This is a bitter disappointment to the dozens of families who would have enjoyed low-cost housing on this site,’’ Cr Jolly said.
Richmond Greens MP and former Yarra mayor Gabrielle de Vietri branded as “outrageous” the government’s decision to suspend construction of affordable homes.
“It beggars belief that this government is walking back commitments to build social and affordable housing that were already weak to begin with.
“Until this government seriously invests in public housing, homelessness will get worse, not better. Housing waiting lists will get longer. More people will be forced to live in cars, accept dangerous rooming houses, or sleep rough.’’
The site development plan said the land known as Parcel A would include affordable build-to-rent and social housing.
A Development Victoria spokesperson said that work on Parcel A was “progressing” but did not clarify why it notified stakeholders on Thursday of the “pause” in works.
“Development Victoria is delivering the best outcome for Fitzroy Gasworks and opportunities to deliver social and affordable housing options.’’
The overall project includes 1200 apartments, a 650-student senior school, a sports centre and public space.
The 3.9 hectare site is bordered by Smith St, Alexandra Parade, George St and Queens Parade.
The senior campus opened last year and construction began on the new sports centre in April.
The state government had committed $49.5m to the sports project, with $5m from Yarra City Council, which will manage the centre.
Yarra Mayor Claudia Nguyen said the council was disappointed at the government’s decision.
“The provision of affordable housing is a significant issue for many in our community and one that needs to be addressed as a priority,’’ Cr Nguyen said.
In November 2021, Infrastructure Minister Jacinta Allan proclaimed the government’s commitment to the site.
“We’re getting on with transforming the Fitzroy Gasworks site – delivering affordable housing, more open space and a high school close to public transport,’’ Ms Allan said.
The development plan said: “Parcel A will be prioritised for development, and will deliver the majority of the precinct affordable housing requirement, ensuring that this benefit is realised at the earliest opportunity.’’
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