Thesis abstract:

«p»Affordable housing represents a critical social and economic challenge in Australia. As the nation grapples with rising living and housing costs, stagnant wage growth, and increasing urbanisation, the gap between demand for and availability of affordable housing has widened significantly. Addressing this issue requires a broader, nuanced understanding of the systemic limitations within Australia's housing sector and the development of innovative, scalable solutions. Among these options, leveraged private investment structures emerges as a potential avenue for bridging the housing shortfall. «/p» «p»The systemic limitations of affordable housing in Australia are rooted in a confluence of factors which have developed over decades. These include layers of different regulatory requirements that have accumulated over time across jurisdictions and states, reduced government funding, market dynamics that prioritise high-yielding developments, a trend toward monetisation of homes as assets within markets and limitations in access to institutional capital tailored for affordable housing projects. Moreover, the housing sector has historically been driven by economic return rather than societal objectives and thus has created an asset ‘bubble’ of unaffordable housing and a disconnect between societal needs and profitable return that hinders the viability and scalability of initiatives targeting affordability. «/p» «p»Despite these challenges, significant opportunities exist to scale affordable housing by harnessing private capital. This potential lies in adopting innovative financing models such as social impact bonds, housing-specific investment structures and public-private partnerships tailored for housing. Additionally, global precedents indicate the viability of affordable housing as an asset class, demonstrating that with more acceptable frameworks and incentives, private investors can secure both social and financial returns. «/p» «p»This research aims to explore the interplay between systemic challenges and private investment opportunities in Australia’s affordable housing landscape. It seeks to identify strategies that not only address housing affordability but also create pathways for sustainable growth in the sector. By bridging the gap between social policy and private capital, this study contributes to the broader discourse on equitable urban development and social infrastructure investment. «/p» «p»The thesis will focus on key areas such as policy reforms, investment innovations, and stakeholder collaboration, drawing from global best practices and localised case studies. Ultimately, it aims to provide actionable insights for policymakers, investors, and practitioners to create a more inclusive housing market in Australia. «/p»