CLP plan to convert vacant office space to student housing

The government has scrapped plans for 10,000 students by 2025 but the CLP said there still isn’t enough housing. See their plan.

Untenanted commercial buildings in Darwin’s CBD could be converted into student accommodation under a plan announced by the Country Liberal Party.

Opposition Leader Lia Finocchiaro said vacant office space could be converted into residential accommodation to meet a forecast student housing shortfall.

She said about 17 per cent of Darwin CBD’s commercial office space was vacant, potentially 58,000sq m that could be converted into student housing.

Ms Finocchiaro made the announcement in front of the old Health House building in Mitchell Street Darwin to illustrate the capacity to develop student accommodation from existing housing stock.

CDU welcomes international students on campus. Picture Katrina Bridgeford.

Vacated by the NT public service in late 2017, the building at 87 Mitchell Street has 5245sq m of available office space Ms Finocchiaro said could potentially be converted to accommodation to avert a student housing crisis.

The CLP announcement follows Charles Darwin University’s decision to sign-up to the StudyStays platform to find private accommodation in the Top End for overseas students.

Its new CBD campus, which will attract thousands of students to the city, is expected to open next year.

The NT government recently announced it would fall short on its plan to attract 10,000 overseas students by 2025, but Ms Finocchiaro said there was nowhere near enough housing for even half that number.

She said the tragic death of 23-year-old Bangladeshi exchange student Sifat Isfaqur Rahman and reports of high crime rates were already deterring overseas students.

CDU’s Casuarina Campus. Picture: Glenn Campbell

“All these negative headlines are having a detrimental impact on our ability to market ourselves as a safe place for international students to live,” Ms Finocchiaro said.

“We don’t need to give them any more disincentive by, on top of that, letting them know there is nowhere for them to live.”

She said a CLP government would deliver a framework that “prepared a very clear pathway” for commercial building owners to be able to work through the red tape and convert what once was office space into short or long-term student or worker shortage accommodation.

“If we were able to convert the 17 per cent of vacant commercial space here in Darwin CBD, we would immediately put stock on the market and it would create enormous activation to have that injection of people.”

She said without a government approved framework to guide business owners, the cost of converting buildings would be prohibitively expensive.

She said the South Australian government had recently delivered such a framework and the NT should follow suit.

Property Council NT executive director Ruth Palmer Picture: SUPPLIED

The NT Property Council last year identified that Darwin’s purpose-built student accommodation rate is 33 students per room – by far Australia’s worst.

Property Council chief executive Ruth Palmer said an accommodation crisis could be catastrophic for the international education sector.

“Governments need to look at ways of removing the barriers to investment in this asset class – like expedited planning approvals and tax incentives – to ensure we have enough beds to service growing demand,” Ms Palmer said.

“The CBD campus is well and truly under way, with doors set to open to students in 2024, however, there is currently zero accommodation options for students on the table.

“We run this real risk of students choosing to study elsewhere if there are limited accommodation options for them when they choose to enrol at CDU.”

Planning Minister Eva Lawler said the CLP’s idea was already in effect.

“This policy already exists, buildings can already be and have been repurposed for accommodation previously,” she said.