Big spending plans revealed to house 500 troops relocating to Townsville

A housing strategy has been revealed to ensure 500 troops relocating to Townsville had accommodation while not disadvantaging local residents. Read the latest details.

Assistant Defence Minister Matt Thistlethwaite has taken fire from Herbert MP Phillip Thompson over the number of vacant Defence homes in Townsville. Picture: Supplied.

Around 600 additional dwellings will be delivered for Townsville to ensure adequate housing was ready for an influx of 500 ADF members and their families over the next five years.

With Townsville gripped by a housing shortage and one per cent vacancy rate, there was concern within the community about residents being squeezed out of the property market by the troop movements.

Assistant Minister for Defence Matthew Thistlethwaite and Defence Housing Australia (DHA) managing director Barry Jackson provided more details on their housing plans to over a hundred people gathered at the Urban Development Institute of Australia’s Housing Our Troops breakfast event at Rydges Townsville on Thursday.

They included a dramatic transformation of DHA housing in Aitkenvale and partnering with private enterprise to secure hundreds of new house and land packages.

Mr Thistlethwaite said the housing plans would create “upwards of $200 million worth of work in the construction industry in Townsville”.

Assistant Minister for Defence Matthew Thistlethwaite. Picture: Leighton Smith.

“We want local businesses to get priority in terms of fulfilling these engagements and doing the work … including indigenous businesses,” Mr Thistlethwaite said.

Of the 500 troops gradually transferring to Townsville, Mr Thistlethwaite said about half of those would be single, and live at the Lavarack and RAAF bases, while the remaining 250 will be families living in the local community in family housing constructed by DHA.

At the RAAF base, about $80m was being spent to build 65 residences, primarily for singles and unaccompanied troops.

“Defence Housing Australia has gone out to the market to construct about 600 new properties here in Townsville to house those troops and their families and to provide additional housing for the local community … over the next five years,” he said.

Townsville Mayor Troy Thompson, DHA managing director Barry Jackson, Parkside Development's Michael Tapiolas, Assistant Minister for Defence Matthew Thistlethwaite and Herbert MP Phillip Thompson at the Urban Development Institute of Australia’s “Housing Our Troops” breakfast event. Picture: Leighton Smith.

“We’re just about to announce plans for the construction of 140 homes down by the Ross River and that will go out to tender in the coming months.

“Half of those homes will be for defence housing, and the rest will be for the local community, so there’s a big opportunity here for local businesses to engage with Defense Housing Australia to construct those properties.”

Estimated to cost $50-60m, the Aitkenvale housing project would see 69 dwellings in various states of disrepair, near Leopold St and Kimball St, either relocated or demolished to be replaced by a mix of housing types – impacting on a “small number” of occupied properties.

DHA provides 1,172 dwellings in Townsville, of which over a hundred sit empty.

“There’s spare capacity in the system at the moment, but over time that will fill up and we’ll construct those new properties to ensure that we’re meeting that demand as it grows into the future,” he said.

DHA managing director Barry Jackson. Picture: Leighton Smith.

Mr Jackson said DHA intended to engage with the new personnel at Townsville City Council about the Aitkenvale project before starting the full planning and consultation process, and completing construction by 2028.

DHA was also in the final stages of negotiations with Townsville building companies in Townsville to secure 50 house and land packages, with expressions of interest opening next week for 500 additional properties.

Two consultation meetings will take place on June 12 and 13 will provide more information for the community and local businesses.

Herbert MP Phillip Thompson wanted action by DHA to address the derelict property issue in Aitkenvale.

Having long advocated for and supported the new homes for Aitkenvale, Shadow Assistant Minister for Defence and Herbert MP Phillip Thompson welcomed the progress.

A Townsville City Council spokeswoman said they welcomed the pending expressions of interest announcement from Defence Housing Australia.

“Since the release of the Strategic Defence Review by Australian Defence Force in late 2023, Council has been acutely aware of the housing requirements of Defence personnel,” the spokeswoman said.

“A DHA Working Group, including council officer representation, continues to look at options to address housing needs of Defence personnel, without impacting the broader community housing supply.

“As well as the recent announcement, DHA is investigating options for redevelopment of a DHA-owned Aitkenvale site.

“Council has provided early information on planning requirements and in-principle support for development of the site.”

While the council supported and continued to engage with DHA on these issues, she said the broader challenge of housing needed to be considered.

“The ongoing need for affordable housing is a significant challenge across the community and we will continue to work with all proponents on looking to meet the growing need for housing in Townsville,” she said.

Originally published as Big spending plans revealed to house 500 troops relocating to Townsville