Commonwealth Land (Affordable Housing)

Current status

This bill is currently before Parliament.

Policy area

Welfare & housing

What does this bill do?

Low- to moderate-income renters could access homes in developments built on suitable Commonwealth landLand owned by the federal government. sold or leased for at least 50 years.

Why was it introduced?

The bill’s sponsor said rents were rising much faster than incomes. Median advertised rents rose 69% in the six years to May 2026, while average weekly earnings rose about 20%. Housing costs for the lowest-income fifth of households rose from 23% of income in 2005 to 29% in 2020. The explanatory memorandum also compared about 100,000 new social and affordable homes expected this decade with 640,000 households whose need for social housing was unmet in 2021.

Broader context

Australia already had national commitments to expand social and affordable rental housing, but the need remained far larger than planned additions and suitable land was expensive and scarce. As advertised rents rose 69 per cent in the six years to May 2026 while average earnings rose 20 per cent, Senator Pocock David introduced a private bill on 2 July 2026 to attach affordable-housing conditions to suitable Commonwealth landLand owned by the federal government. sales and long leases, generally reserving 30 per cent of homes for eligible renters.

Key criticism

The evidence contains no criticism from an opposing speaker or party. The sponsor’s speech instead acknowledges that the bill would not transform the housing crisis and would need to form part of a broader, long-term housing plan.

Who supported it?

Senator Pocock David introduced this bill. Supportive speeches so far have come from some crossbench members.

Introduced in Senate 02 July 2026
At second reading in Senate 02 July 2026
Not yet reached House
Not yet law

Did it become law?

Not yet

Final passage

No final vote yet

The bill has not yet completed passage through Parliament.

Days since introduction

36 days

Updated 07 Aug 2026.

Official record

View on APH

Parliament of Australia bill page

What does this bill do?

  1. Low- to moderate-income renters could access homes in developments built on suitable Commonwealth landLand owned by the federal government. sold or leased for at least 50 years.

  2. Eligible renters would pay no more than 75% of market rentThe rent a home could normally attract. or 30% of their household income, whichever is lower.

  3. Developers would normally reserve at least 30% of homes in covered developments as affordable rentals. Regulations could set another share.

  4. Renters would have their income checked when a home is first offered. Income limits could vary by location and household type.

  5. Affordable-housing tenants would have their homes managed by registered not-for-profit housing organisations. The obligations could continue after the land is resold.

  6. Land buyers could face court action and a fine of 10,000 penalty units for a serious breach. That equalled $3.3 million in 2025-26.

  7. Buyers of sites under one hectare would generally be exempt. Exemptions also cover certain contaminated, remote, low-demand or unsuitable land.

Show source excerpts
  1. This Act sets up a scheme for the disposal of Commonwealth land suitable for residential development. This scheme is intended to contribute to the availability of affordable housing through conditions applying to certain disposals of Commonwealth land. In general, a Commonwealth entity disposing of such land must include an affordable housing condition in the contract or instrument of disposal. Before the disposal is completed, a recognised housing instrument must also be put in place under the law of the State or Territory where the land is situated. The scheme is intended to help ensure t
    Commonwealth Land (Affordable Housing) introduced text
  2. 14 Affordable rent The affordable rent for an affordable housing dwelling, for an eligible household, per week is the lesser of: (a) 75% of the weekly market rent for the dwelling; and (b) the amount worked out by dividing 30% of the household’s gross annual income by 52.
    Commonwealth Land (Affordable Housing) introduced text
  3. The 30% default reflects the policy objective that disposals of suitable Commonwealth land make a substantial but targeted contribution to affordable rental supply. Allowing another proportion to be prescribed by regulations provides flexibility to respond to different site types and market conditions. The 30% default also reflects the policy background identified in the outline, including public land proposals and planning policy examples that have used 30% as a benchmark for social and affordable housing on government land. Setting the default proportion in the Act provides a clear statutor
    Commonwealth Land (Affordable Housing) explanatory memorandum
  4. 15 Eligible households (1) A household is an eligible household for an affordable housing dwelling if, at the time the dwelling is first offered to the household for occupation, the household’s gross annual income does not exceed the income threshold for the household. (2) The income threshold for a household is the amount prescribed by the regulations for a household of that kind, having regard to the median household income for the area in which the dwelling is located. (3) Without limiting subsection (2), the regulations may prescribe different income thresholds for different: (a) areas
    Commonwealth Land (Affordable Housing) introduced text
  5. 12 Content of affordable housing condition (1) An affordable housing condition in relation to a covered disposal must require the purchaser to ensure that: (a) at least the required proportion of dwellings constructed on the land are designated as affordable housing dwellings; and (b) each affordable housing dwelling is managed by a registered not‑for‑profit community housing provider; and (c) each affordable housing dwelling is let only to an eligible household at the commencement of the tenancy; and (d) the rent charged for each affordable housing dwelling does not exceed the affordable
    Commonwealth Land (Affordable Housing) introduced text
  6. 20 Civil penalty for contravention of affordable housing condition (1) A person contravenes this subsection if: (a) the person is a purchaser, transferee or lessee under a contract or instrument of disposal in relation to Commonwealth land; (b) the contract or instrument of disposal contains an affordable housing condition; and (c) the person contravenes the affordable housing condition in a material respect. Civil penalty: 10,000 penalty units. (2) For the purposes of subsection (1), a contravention is material if it materially prejudices the achievement of one or more of the requiremen
    Commonwealth Land (Affordable Housing) introduced text
  7. 23 Simplified outline of this Part This Part sets out when a disposal of Commonwealth land is exempt from the requirements of this Act. In general, a disposal is exempt if the land is a small site, a significantly contaminated site, land in a remote area or low‑demand housing market, certain land connected with the Northern Territory Emergency Response measures, or land prescribed as not suitable for residential development. If a disposal is exempt, the requirements in Parts 2 and 3 do not apply to it. 24 Small sites A disposal of Commonwealth land is an exempt disposal if the area of the
    Commonwealth Land (Affordable Housing) introduced text

Broader context for this bill

Australia already had national commitments to expand social and affordable rental housing, but the need remained far larger than planned additions and suitable land was expensive and scarce. As advertised rents rose 69 per cent in the six years to May 2026 while average earnings rose 20 per cent, Senator Pocock David introduced a private bill on 2 July 2026 to attach affordable-housing conditions to suitable Commonwealth landLand owned by the federal government. sales and long leases, generally reserving 30 per cent of homes for eligible renters.

  1. 2022

    National Housing Accord commits to more affordable rental housing

    Governments committed to directly expanding below-market rental housing for low-to-moderate-income households as part of a broader target for new well-located homes.

    Treasury ↗
  2. 2025

    Housing council records a large unmet need for social housing

    The council’s 2025 State of the Housing System cited an estimated 640,000 households with unmet social-housing need in 2021, showing the scale of the gap.

    Commonwealth Land (Affordable Housing) explanatory memorandum ↗
  3. May 2026

    Rents surge far faster than earnings

    Median advertised rents had risen 69 per cent over the six years to May 2026, while average weekly earnings rose about 20 per cent.

    Commonwealth Land (Affordable Housing) explanatory memorandum ↗
  4. 14 July 2026

    Renters are priced out as governments seek affordable homes

    ABC reported that Australians were being priced out of the rental market while government schemes were asking property developers to help increase affordable housingDiscounted rentals for eligible households. stock.

    ABC News ↗
  5. 02 July 2026

    Senator Pocock David introduces the bill

    The private bill proposed using conditions on suitable Commonwealth landLand owned by the federal government. sales and 50-year-plus leases to secure affordable homes, generally with a 30 per cent share for eligible households.

    Parliamentary timeline ↗

How did it move through Parliament?

House Senate
Introduced 02 July 2026

The bill was formally presented to the chamber and read a first time, which starts its parliamentary journey.

Introduced and read a first time

Second reading opened 02 July 2026

A minister or sponsoring member moved the second reading, opening the main debate on the bill's purpose and principles.

Second reading moved

The main case against this bill

The evidence contains no criticism from an opposing speaker or party. The sponsor’s speech instead acknowledges that the bill would not transform the housing crisis and would need to form part of a broader, long-term housing plan.

The sponsor presents the bill as a small but worthwhile use of Commonwealth landLand owned by the federal government., alongside wider government action.

Delivery capacity

The bill would create enduring land and compliance obligations, so slow approvals or weak delivery capacity could delay the affordable homes it is intended to produce. Reporting on Housing Australia’s related programs found that only 10% of projects had reached financial close nearly two years after the first tender, raising a practical implementation risk rather than a direct objection to this bill.

Raised by Australian Financial Review Reporting On Housing Australia Source ↗

Recorded votes

No recorded votes have been found yet for this bill.

Who spoke, and what they said

Start here — lead voices

Lead supporting voice Supports

David Pocock

Independent • Senator 02 July 2026

David Pocock supports the bill, which would require affordable housingDiscounted rentals for eligible households. in residential developments on surplus Commonwealth landLand owned by the federal government. sold or leased to private entities.

Read in Hansard ↗

All speeches by bloc

Minor parties and independents

1 speaker · 1 support

Full record

Full chat