Housing experts call for more student accommodation in Cairns
Accommodation for international and domestic students in Cairns must be seen as essential infrastructure or risk the region losing its status as a global market leader in the education sector, housing experts say.
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Accommodation for international and domestic students in Cairns must be seen as essential infrastructure or risk the region losing its status as a global market leader within the education sector, housing experts say.
MiHaven director Sarah Mort is calling for greater partnership between the public and private sector to build a 200-bed project within five km of the city’s CBD, catering to young adults currently engaged in higher learning.
Current land and materials prices make construction on such a project prohibitive, Ms Mort said.
But with support from all levels of government, student lodgings could be built for around $20m – minus land costs.
“International education in Cairns contributes about $56m a year to our gross income,” she said.
“It employs around 400 full-time employees. Apart from James Cook University, CQ Uni and TAFE, we have about 15 international colleges (in Cairns) that are providing education and employment.”
In 2018, MiHaven completed a 135-room purpose-built student accommodation project based at Parramatta Park.
Replicating something similar in today’s market would be near impossible for the building company, Ms Mort said.
“Land prices have increased 45 percent, construction costs back then were probably about $1800 per square metre,” she said.
“We’re probably looking at over $3000 per square metre now. The operating costs to run these facilities are no different to running a hotel.
“Insurance has gone up from $60,000 a year to close to $240,000 and then you’ve got the price point for students.”
More students would breathe new life into the city and energise the heart of the city, Planz Town Planning managing director Nikki Huddy said, while also bolstering the Far North’s workforce.
“We don’t want to lose our own students and they keep the town vibrant, energetic and thinking differently,” Ms Huddy said.
“The value of putting that demographic into our community is that they’re good spenders, they’ll play sport and they volunteer in community groups.
“You need young people to work in hospitality, connect us with what’s happening and what’s affecting them.”
Creating dedicated student accommodation would also ease the burden on the private rental market, Ms Huddy said.
“Cairns has always had a really low rental vacancy rate for the last 25 years. It’s generally been 2.5 percent or less,” she said.
“But that’s mostly affected low income earners. Now the problem’s gotten bigger than social housing and it’s started affecting everybody.”
Advance Cairns and James Cook University lobbied the federal government to fund more student accommodation earlier this year.
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Originally published as Housing experts call for more student accommodation in Cairns
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