Background Paper Housing Action Plan 2026
July 2026 City of Hobart Housing Action Plan Background Paper 2026
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Acknowledgement of Country In recognition of the deep history and culture of our city, we acknowledge Tasmanian Aboriginal people as the Traditional Custodians of this land. We acknowledge the determination and resilience of the Palawa people who have survived invasion and dispossession and continue to maintain their identity, culture and rights. We recognise that we have much to learn from Aboriginal people today, who represent the world’s oldest continuing culture. We pay our sincere respects to Elders past and present and to all Aboriginal people living in and around Hobart.
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City of Hobart Housing Action Plan Background Paper 2026
Contents Acknowledgement of Country
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Part 1: Introduction Purpose
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Scope
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5
Role of the City of Hobart
Background
6
Strategic context
10
Housing Density
18
20
Housing Types
Part 2: Why do we need a Housing Action Plan? Overview
24
Drivers of change
25
Cost of inaction
44
Part 3: What we’ve heard - Hobart Housing Forum Overview
46
Expert opinions
47
48
Engagement survey summary
Part 4: Appendix Glossary
51
Endnotes
58
City of Hobart Housing Action Plan Background Paper 2026
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Introduction Purpose The Hobart Housing Action Plan (the Action Plan) has been prepared by the City of Hobart (the City) to provide a clear strategyled plan to respond to the need for more affordable housing stock for our diverse communities. Home ownership and renting in the Hobart local government area (LGA) is not affordable for many members of our community. The cost of constructing new homes in Tasmania has increased dramatically over the past few years and there is a limited, appropriate greenfield land supply in Greater Hobart near education, employment, health services and public transport. By fostering collaboration and innovation, we aim to empower the housing sector to deliver solutions that make home ownership and renting in the City within reach for all members of our community. Through evidence-based strategic planning and sustainable practices, we will provide a framework to meet housing needs.
Scope The City’s focus for the Action Plan is to provide a concise short to medium term plan that identifies Actions to increase the affordability and supply of housing in the Hobart LGA. This Background Paper has been prepared to support the Action Plan. This paper provides information relevant to the current housing situation in the Hobart LGA, including: demographics, the strategic context, drivers of change, and the cost of inaction.
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Role of the City of Hobart Local Government can help create additional housing in a few key ways. However, it’s important to recognise that many factors affecting housing are outside the City’s control. The City can take on several roles in the delivery of Actions including: Delivering actions which are within their control. Partnering with organisations to deliver actions which they cannot achieve alone. Advocating for actions to be undertaken by other levels of government or nongovernment organisations. Timing Timing is categorised to align with organisational timeframes such as the Capital Works Program and the City’s Strategic Plan: •
Short term: from endorsement to end of financial year period 2027
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Medium term: 2027-29 financial year period
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Ongoing: Business as usual
Timeframes are only provided as a guide and will be further refined as an implementation program is developed for each action. Who is who The City of Hobart, or the City, refers to the organisation or municipal administration.
City of Hobart Housing Action Plan Background Paper 2026
Project Vision
The Hobart LGA refers to the Hobart local government / municipal area. The community refers to any individual, household, organisation, business or group that lives, works or plays in the Hobart LGA. Control
To build a future where all members of our community have access to affordable housing options in the City of Hobart.
Concern The City can create awareness or understanding on issues important to the community. It can also take on the important role of educating the community about aspects of housing including affordability, density and diversity and how homelessness affects everyone.
The City is responsible for decision making across its core business and statutory responsibilities. This includes strategic land use planning, service delivery, and managing Council owned land including facilities, buildings, assets and open space. Influence The City has shared responsibility or partial control. For example the City can develop regulatory mechanisms within the Hobart Provisions Schedule of the Tasmanian Planning Scheme, but are unable to change the State Planning Provisions. The City enforces the National Construction Code, but this is delivered and controlled by other levels of government.
City of Hobart Housing Action Plan Background Paper 2026
Above: Aerial view of Hobart.
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Background The City’s focus for the Hobart Housing Action Plan is primarily on the affordability and supply of housing in the Hobart LGA. The City has advocated for support for people without a home and the provision of crisis accommodation and temporary shelter for many years. The City developed a Housing and Homelessness Strategy 2016-19, Affordable Housing and Homelessness Commitment 2021-23 and homelessness related Actions are now incorporated in the Hobart: A City for All Implementation Framework 2025-28.
How we developed the Action Plan 2016-19
Housing and Homeless Strategy
2019
Homelessness Crisis Forum
2021-23
Affordable Housing and Homelessness Commitment 2024-25
Stakeholder Engagement
2025
December 2024 City of Hobart Housing Forum
2025
DRAFT Hobart: City for All Implementation Plan
City of Hobart DRAFT Housing Action Plan
2025
Feb-Mar 2026
Community Engagement
2025
Hobart: City for All Implementation Plan
Community Engagement
July 2026
City of Hobart Final Housing Action Plan
Queens Walk affordable and social housing designed by Cumulus Architects for Housing Choices.
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City of Hobart Housing Action Plan Background Paper 2026
How we developed the Action Plan The City has undertaken extensive research, analysis and stakeholder engagement with representatives from the housing sector to inform this Background Paper to a Housing Action Plan. The data used is the most up to date information available to the City at the time of publication. The Action Plan references information from a range of sources.
Hobart Housing Forum speakers Ellen Witte of SGS Economics and Brian Motz, CCO Housing Choices
Research
Stakeholder engagement
Research conducted by the project team has drawn on a wide range of relevant sources and strategic documents, including the:
The Hobart Housing Forum (the Forum), held by the City in December 2024, was a critical input for this project. The Forum identified challenges facing the housing sector, and opportunities for improved affordability and increased housing supply.
• • • •
Tasmanian Housing Strategy 2023-43 Southern Tasmania Regional Land Use Strategy 2010-35 30 Year Greater Hobart Plan State of the Housing System 2024 report by the National Housing Supply and Affordability Council.
Analysis Key data sources included Community profile .id (informed decisions), the ABS Census, and the 2024 Rental Affordability Index. Community profile .id provides up to date information and demographic resources, including their housing monitor, social atlas, population forecast, economic profile and community views.
“The focus should be for the provision of good quality housing in the right locations over the long term.” The keynote speech and panel discussions are available to view online.1 A detailed summary of the event is outlined in the Engagement Report.2 The Action Plan identifies Actions developed from this research, and ideas raised during stakeholder engagement; including policies, development controls and projects to stimulate housing across the Hobart LGA.
Details of other relevant work referenced can be found in the Bibliography.
City of Hobart Housing Action Plan Background Paper 2026
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Demographic information Hobart is nestled between Timtumili minanya (River Derwent) and Kunanyi (Mt Wellington). This country was cared for and sensitively managed by the Muwinina band of the southeast nation for thousands of generations and is now known by many people as Nipaluna. Hobart is the capital city of Tasmania, covering an area of 77.78km2. The 2024 Estimated Resident Population for Tasmania was 575,496, with a population density of 8.47 persons per square km.3 Forecast ID’s population forecast for the Hobart LGA shows it increasing from 58,276 in 2026 to 64,485 by 2046.4
Hobart is Tasmania’s Primary Activity Centre5, offering a wide range of services, including business, government administration, leisure, entertainment, tourism, and public transport. It is home to major employment hubs, government facilities, tertiary education institutions such as the University of Tasmania (UTAS), healthcare services and cultural spaces. The Greater Hobart Plan aims for a 70:30 split between infill and greenfield housing development over the next 30 years, with a focus on urban consolidation. It prioritises medium-density, low-impact residential dwellings located near transport corridors and areas identified for increased density, encouraging terrace and townhouse development close to business districts.
Aerial view of Hobart and Kunanyi (Mount Wellington) 8
City of Hobart Housing Action Plan Background Paper 2026
HOBART
Hobart population by age group
19.5%
STATE OF HOUSING
13.3%
12.8%
12.7% 12% 11.4%
10.3%
Our people
5.5% 2.4%
Understanding who we are and how we live
0-14
15-24 25-34 35-44
45-54 55-64 65-74 75-84
POPULATION (estimated Resident Population) June 2024
Population increase Hobart LGA – 2018 to 2024
55 977 3%
Hobart LGA Median Age
Greater Hobart
7.5%
37 years
Tasmanian Median Age
42 years in 2021
85+
21% Of residents aged 65 or older in 2023
WHO WE ARE AND WHAT WE DO
869
People identify as Aboriginal or Torres Strait Islander
People who use a language other People with than English a university at home qualification
People born overseas
29% 21% 49% 29% 23% 10% 67 492
11%
Lone person households
4.6% 2.4
People with a trade qualification
Older couples without children households
Couple with children households
People with a disability
People per household in 2021
Local jobs
Top 5 employing industries:
1. Health Care and Social Assistance 2. Public Administration and Safety
HOUSING TENURE
441
people experience homelessness (estimate 2021)
Land area
77.78
square km
Population density
719.7
people per square km
10.5%
of Tasmanians experiencing homelessness identify as Aboriginal or Torres Strait Islander
City of Hobart Housing Action Plan Background Paper 2026
3. Education and Training
4. Professional, Scientific and Technical Services 5. Accommodation and Food Services
35%
households renting 31% are renting privately 4% are in social housing
27%
are in rental stress
26%
of households are mortgaged
5%
are in mortgage stress
34%
households with no mortgage
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Strategic context This Background paper and the associated Action Plan has been developed within the context of the City’s own strategic plan, as well as a range of strategies, plans and policies developed at a state government and local government level.
Hobart: A community vision for our island home Hobart: A community vision for our island capital articulates the kind of future Hobart that communities would like to see. The Vision sets the City’s ten-year Strategic Plan and is the basis for all activities and decisions for years to come. The City of Hobart aligns its strategies, plans, and actions with community values and aspirations. From the endorsement of this document onward, all Council initiatives are designed to fulfill the vision, ensuring that local communities shape their desired future.
Vision Statement
Where we Live The Identity Statements are summaries of Hobart’s stories, values and special qualities. 1.1. We are an island capital on the fringe of the Southern Hemisphere, a city defined by wild weather and its place as a gateway to Antarctica. 1.2. We are deeply connected to nature and wilderness, in, around, above and below our city. 1.3. Our geography and history guide the scale of our city: kunanyi / Mt Wellington, the River Derwent and heritage buildings are our most prominent landmarks. 1.4. We can access all the important parts of life, in a walkable and rideable city where we do not spend our lives commuting. 1.5. We want to ensure more of us have access to nature, and we should not take our ‘clean green’ image for granted.
Hobart breathes. Connections between nature, history, culture, businesses and each other are the heart of our city. We are brave and caring. We resist mediocrity and sameness. As we grow, we remember what makes this place special. We walk in the fresh air between all the best things in life.
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Terrace housing in Hobart designed by Morrison Breytenbach Architects.
City of Hobart Housing Action Plan Background Paper 2026
The Pillars There are eight pillars representing the major parts of city life, they include: 1. Sense of place 2. Community inclusion, participation and belonging 3. Creativity and culture 4. City economies 5. Movement and connectivity 6. Natural environment 7. Built environment 8. Governance and civic involvement Pillar 7. Built Environment is most relevant. Pillar 7. Built Environment We are a city that maintains our unique built and ecological character, where we all have a safe, secure and healthy place to live. We are a city where people and communities can access world-class services and infrastructure and provide for their social, cultural and economic wellbeing. We embrace change but not at the expense of our Hobart identity and character. 7.1 We all have access to an affordable home. 7.2 We protect and enhance the density, scale and character of our city. 7.3 Infrastructure and services support a high quality of life. 7.4 We balance local needs with those of visitors and investors. 7.5 We understand and engage on how planning issues affect our city. 7.6 We are deliberate in our development and plan for the future.
City of Hobart Housing Action Plan Background Paper 2026
7.1 We all have access to an affordable home 7.1.1 Our city is our home, and we all have access to a place to live, no matter our life stage or situation. 7.1.2 We support diversity in our housing supply, acknowledging that different housing types suit different people. 7.1.3 We recognise that not all of us want or need to buy a home and ensure a supply of rental properties. 7.1.4 Housing is affordable, and none of us experiences housing stress. 7.1.5 We have housing available for those of us experiencing disadvantage. We cater for vulnerability. Social housing is part of, not separate from, the communities, services and access that are everyone’s right.
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Southern Tasmania Regional Land Use Strategy (STRLUS) The STRLUS sets strategic land use and planning directions over the short, medium and longer-term (up to 25 years) and set the direction for how land use change, growth and development in Tasmania’s regions will be managed. RLUSs are critical in achieving a regional vision by influencing and guiding matters such as: •
Providing for the sustainable growth of our cities, towns, and villages so that we can enjoy a good quality of life.
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Protecting our natural environment so that we, and future generations, can continue to benefit from it.
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Planning for increased environmental hazard events and natural disasters arising from climate change, so our communities are more resilient to those events.
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Fostering sustainable economic development that allows our communities to prosper.
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Delivering the physical infrastructure and services we need cost-effectively and efficiently so our built environments remain healthy and liveable.
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Protecting our heritage so we can better appreciate the lessons of the past and create a stronger identity for our future. Empowering our communities so that they can develop sustainably in line with their goals and needs.
Hobart CBD is the primary hub for Tasmania, the region and Metropolitan Hobart, providing a comprehensive range of services and facilities in terms of business, government administration, leisure, entertainment, tourism facilities and services and public transport. 12
It concentrates a significant proportion of employment opportunities within the region, particularly in the business and professional services, government and administration sectors in the CBD centre. There are a number of precincts that concentrate similar or compatible uses. The CBD provides a high level of public amenity and high-quality urban design. The District Centre will primarily offer convenience goods, services, and some community facilities to the surrounding districts. It should be well-connected by highquality bus services and, if feasible, integrated with other public transport modes. District Centres are identified as Priority Growth Areas and include North Hobart, New Town and Sandy Bay.
Tasmanian Housing Strategy, 2023-2043 The Tasmanian Housing Strategy sets out a vision to end homelessness, by delivering a well-functioning housing system that provides safe, appropriate and affordable housing for all Tasmanians, with the intention to reduce demand for social housing and crisis accommodation. The Strategy builds on existing initiatives and reinforces the Tasmanian Government’s commitment to a net increase of 10,000 social and affordable homes by 2032. The four key desired outcomes are for Tasmanians to: •
live in quality, sustainable and durable homes that meet their needs
•
have access to housing regardless of their circumstances
•
have access to affordable housing options, and
City of Hobart Housing Action Plan Background Paper 2026
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have a greater choice of homes where they want to live.
People should be at the centre of housing policy considerations because housing is the platform for individuals, communities, and the economy to prosper.
30-Year Greater Hobart Plan The 30-Year Greater Hobart Plan was jointly endorsed in 2022 by the Tasmanian Government, the City of Hobart, and Glenorchy City, Clarence City and Kingborough Councils. The 30-Year Greater Hobart Plan identified that population growth is best placed in areas with high amenity and good services, to maintain the key attributes that make these areas liveable and attractive. The 30-Year Greater Hobart Plan seeks to: •
ensure growth complements the city’s natural setting
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implement a coordinated land release program that ensures sufficient land supply
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promote and incentivise a more diverse and affordable housing mix
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encourage urban renewal of underutilised land for residential development
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support innovative design solutions to meet a diverse range of community needs
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prioritise urban consolidation to create a more walkable and accessible compact city
City of Hobart Housing Action Plan Background Paper 2026
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enable well designed mediumdensity developments within existing neighbourhoods and higher density dwellings in appropriate locations.
Also critical will be the timely upgrading of infrastructure including public transport, open space and community facilities, and ensuring adequate utilities and services to support the growth. 2050 Vision for Greater Hobart: We will live in the world’s best small capital city, a city built for people, that is connected, friendly and safe. Greater Hobart is a thriving and inspiring place to live, where we all work together to make a positive contribution to our extraordinary environment.
Climate Ready Hobart Strategy The Climate Ready Hobart Strategy sets out how the City of Hobart and our community can work together to respond to the climate and biodiversity emergency and prepare for the future as we move towards 2040. The strategy reflects the City’s role as a LGA organisation in supporting the health, safety and wellbeing of our community. It provides a clear direction for the City to lead by example across its core services and to help the community respond to climate change.
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Hobart Design Guidelines The Hobart Design Guidelines are a handbook created by the City of Hobart to help shape how our city looks, feels and works. They’re about making sure new buildings, streets and public spaces reflect what makes Hobart special – our connection to nature, our history, culture, local businesses and each other. The guidelines are based on proven design principles and community input. They aim to protect Hobart’s unique character while helping the city grow in smart, sustainable ways. They don’t have any statutory requirements – they’re simply designed to guide good design and encourage better outcomes for everyone. Hobart’s a great place to live, but as the city changes, we face some big challenges – like housing affordability, climate change and the need for more green space. These guidelines encourage developers to add to the things we love about Hobart, while also helping us deal with these future challenges.
Urban Design Advisory Panel The Urban Design Advisory Panel provide independent and professional urban design advice on proposed projects within the city. The panel promotes good design and a quality urban environment. The panel provides both pre-application advice to developers on significant developments, as well as providing advice to the Council for lodged applications. This panel plays an integral role in the success the City has in creating itself as a place that people will want to visit, work and recreate in. The Panel is made up of independent professionals that provides professional and technical advice in an informal manner, to the Council and applicants in relation to the design of developments within the Hobart LGA. The Panel assist the Council with the following: •
Providing independent expert advice and recommendations on urban design issues
•
Providing pre-application advice to developers on significant developments
•
Providing urban design advice to Council on significant planning applications and whether they meet the relevant design provisions of the planning scheme
The Guidelines can be be used in four main ways: •
to create a common positive language about the future of the city for the community, developers and government
•
to inform future strategies and policies, in particular structure plans
•
to inspire and guide the planning and design of public realm improvements, from streets to parks and playgrounds
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Providing urban design advice to the Council on significant Council capital works projects
•
as part of the pre-application process for development applications, both on public and private land.
•
Promoting good urban design to make our communities more liveable and attractive with good connectivity
•
Recognising and protecting cultural identity and sense of space.
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City of Hobart Housing Action Plan Background Paper 2026
Medium Density Design Guidelines The Medium Density Design Guidelines were developed by the Tasmanian Government to support the delivery of high quality, well designed medium density housing in Tasmania. They offer practical advice for the early stages of medium density housing development. Delivering affordable, well-located housing is an aspiration for all Tasmania’s cities and major towns. To achieve this, increased density in urban areas will be necessary, particularly in areas close to activity centres and key transport corridors. These guidelines have been prepared for a diverse audience and are intended to facilitate a higher standard of medium density residential development in Tasmania, particularly Greater Hobart. The guidelines aim to: •
Support innovative design in medium density housing development
•
Promote housing that caters to different ages and needs, including small family, large family and non-family households
Margaret Street townhouses in Launceston, designed by Loop Architects, photo by Tassie Visuals City of Hobart Housing Action Plan Background Paper 2026
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Encourage development that sets a good precedent and contributes to a positive community perception of medium density housing
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Promote designs that respond to the natural and built features of the area and, for precincts undergoing transition, the desired character as stated in the local planning framework and relevant strategic planning strategies
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Encourage development that is appropriate in scale and minimises impacts from building bulk, overlooking, and overshadowing
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Improve liveability by designing for: - Sufficient sunlight and natural ventilation - High quality private open space and communal open space - Climate resilience and resource efficiency - A strong sense of ownership, privacy and security for residents - Appropriate vehicle access and parking options - Locally appropriate landscaping and urban greening.
The Rox in Hobart, designed by Core Collective Architects. 15
Action on homelessness The City actively works with grassroots community groups, homelessness support services, charitable organisations, and all levels of government to address homelessness in a comprehensive and collaborative manner. Following the Homelessness Crisis Forum held in 2019 the City convened the Greater Hobart Homelessness Alliance to drive collaborative projects, addressing homelessness through short to long-term solutions. These efforts aim to provide vital resources for communities and organisations tackling housing insecurity, homelessness, and related issues. Additionally, the City established the Housing with Dignity Reference Group, providing people with lived experience of homelessness or severe housing stress a direct voice in the City’s response to the issue. Through initiatives like the I Am Somebody multimedia art project, the City highlights the harsh realities faced by those experiencing homelessness.
Hobart: A City for All
Tyson’s story is part of the I Am Somebody art project.
There is also the Country, Culture, People 2025-28 Building Cultural Safety within the City of Hobart with Aboriginal People document that guides the City’s actions working alongside the Palawa community. The Implementation Framework includes homelessness actions directly related to the overarching inclusion and equity framework with a focus on collaboration and cooperation with all levels of government, as well as with the housing and homelessness sector and most importantly, with people who have a lived experience of housing stress or homelessness.
Hobart: A city for all is the City of Hobart’s Community Inclusion and Equity Framework that outlines the City’s role in creating a city for all. The City for All Implementation Framework details the City’s actions to be delivered in relation to the following program areas: • • • • • • •
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Homelessness Community Safety and Crime Prevention Equal Access LGBTIQA+ Multicultural Positive Ageing Youth
Above: Bethlehem House crisis accommodation in Hobart designed by Tim Penny Architecture + Interiors. Right: Queens Walk affordable and social housing designed by Cumulus Architects for Housing Choices. City of Hobart Housing Action Plan Background Paper 2026
City of Hobart Housing Action Plan Background Paper 2026
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Housing density Housing density A mix of housing types that achieve greater density is not only suitable for the Hobart LGA, but essential to provide adequate and affordable housing for our community. A diverse housing mix allows residents to move within the area—whether they need a larger family home or want to downsize to an apartment—without having to look elsewhere. While some of these housing types may be uncommon in Hobart, careful strategic planning can integrate them into the City’s fabric while maintaining Hobart’s unique character.
Gentle density Gentle density, including bluefield housing, focuses on increasing the number and variety of homes within existing single-home neighbourhoods. Traditional residential patterns often feature large lots with one detached home, which can lead to underused land and infrastructure. Gentle density introduces housing options such as redeveloping sites for multiplexes or adding infill row houses. Bluefield or colocated housing integrates new additions with existing homes. It looks and feels like singlefamily housing but operates financially and legally as a small group of units.
Terrace housing in West Hobart designed by Morrison Breytenbach Architects. 18
City of Hobart Housing Action Plan Background Paper 2026
Both models increase housing supply, improve affordability, enhance community vibrancy and reduce urban sprawl by making better use of land and infrastructure in existing neighbourhoods through infill development without significantly changing a neighbourhood’s character and feel. Gentle density is often more acceptable to the community than high-density development.
Medium density Medium-density development includes multiple dwellings on a single site, ranging from one storey to six storeys. Housing types can include single-storey villa units, duplexes, co-joined dwellings, terrace housing, townhouses, apartment buildings up to six storeys, shop-top housing and mixed-use developments with commercial ground-floor tenancies.6 The diagram below illustrates these options.
Terrace house or Townhouse is a house built as part of a continuous row in a uniform style. Low-rise apartments are typically buildings of three storeys or less, often called gardenstyle or walk-up apartments, and sometimes referred to as a manor house or six-pack. These buildings are generally found in less densely populated areas and offer a more intimate, community-oriented environment compared to high-rise buildings. Mid-rise apartments are residential buildings with three to six storeys. They provide a balance between the community feel of low-rise buildings and the convenience of high-rise living. Their efficient use of space and proximity to urban amenities is increasingly desirable
High density High-rise apartments are typically a residential building over 6 storeys.
Grouped house is two or more dwellings on a single lot, often single or double storey and detached.
Types of housing illustrated in the Medium Density Guidelines7. City of Hobart Housing Action Plan Background Paper 2026
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Housing types Affordable housing Affordable housing refers to housing for purchase and rental, including social housing, that is appropriate for the needs of very low to moderate-income households. This is generally understood to mean housing that costs no more than 30 per cent of a household’s gross income.
Build to rent ‘Build to rent’ (BTR) refers to developments where multi-unit buildings are constructed and retained for rental rather than sale. Rents may be set at market rates or, for affordable and social housing, offered at a discounted rate. BTR property managers offer long term rental services to customers rather than acting as property owners whose main income comes from capital gains acquired when they sell the property. As ‘professional landlords’, BTR managers can be expected to provide long, stable leases for their tenants. This enables tenants to live in a neighbourhood for longer periods, children to go to local schools, and can long term connections to the local community to be established.8 A tax incentive is currently available for BTR. However it may be difficult to meet eligibility criteria in the Tasmanian context as the scale of development required to be eligible is 50 or more residential dwellings with at least 10% of the dwellings to be made affordable.
Co-operative housing A housing co-operative is a community of people who voluntarily work together to meet their common need for affordable, sustainable housing. Members live in separate dwellings but actively participate in the management of the housing co-operative as a whole, and enjoy the many benefits this type of housing offers. Membership to a housing co-operative requires commitment, including attending meetings and participating in the management and everyday running of the cooperative. Each housing co-operative is slightly different, but they all share the following features: • their primary aim is to provide affordable and socially, economically and environmentally sustainable housing to their members • they are managed by their members • all members have equal rights and responsibilities in their management and operation, and • they operate according to the principles of co-operation. Co-operative housing development models can boost housing supply by: • Reducing costs: An owner or user-led model of development does not require a developer profit margin for projects to proceed. These models are intentional, deliberative and not speculative.
37,566 or 65.1% of people who work in the City of Hobart, live outside the Hobart LGA.
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City of Hobart Housing Action Plan Background Paper 2026
•
Shaping markets: The growth of lowercost co-op models of development and tenure drive competition between business models, encouraging all models to reduce costs for end users.
Key worker housing Key worker housing refers to affordable rental or purchase options for workers in essential services who often struggle to afford housing due to their income or the high cost of living in areas close to their employment. Key workers provide crucial services that Tasmanians depend on. These include workers from the following sectors: aged care, ambulance service, cleaning, construction, early childhood education, hospitality, postal service, nursing, social and community services, and school teachers.
Retirement village A retirement village is a managed community for seniors, generally restricted to people who are over 55 years of age and their spouses. They include independent living units or serviced units and often share common facilities and amenities. They cater for retirees and older members of the community who can live independently. In some villages, personal care and support services can be purchased for a fee. Retirement villages may be owned by commercial operators, charitable, religious or ethnic not-for-profit organisations. There is a lack of suitable housing in Hobart for members of our community to be able to age in place, prior to needing to access an aged care home.
University key worker accommodation refers to affordable housing for essential employees in teaching, research, or administrative roles. These workers may have moderate incomes and struggle to afford housing near their workplace. University-sponsored accommodation can provide subsidised longterm rental units, allowing staff to live in areas they might otherwise not be able to afford.
Mixed tenure housing Mixed tenure refers to the mix of housing tenures in a particular location. The idea underpinning tenure mix policies is that a diversity of tenure types in a given area will engender socio-economic diversity that will reduce the area effects of concentrated disadvantage and engender social inclusion.
City of Hobart Housing Action Plan Background Paper 2026
Saint Canice Lifestyle Village, Sandy Bay.
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Secondary residence A secondary residence, often called a “granny flat” or “ancillary dwelling,” is an additional dwelling on the same site as a main house, that can be part of the main house, a separate building or a tiny house. Secondary residences are subject to specific planning rules and regulations within the Hobart Planning Scheme where it is defined as an additional residence which is selfcontained and has a gross floor area not more than 60m², is belonging to a single dwelling and shares with the single dwelling access and parking, and water, sewerage, gas, electricity and telecommunications connections and meters, and may include laundry facilities.9 Secondary residences could provide a real opportunity for members of the community to be active in contributing to solving the housing crisis for members of their own family, as well as the wider community. Larger secondary residences, over 60m2 have the potential to offer benefits such as increased property value, additional income, and flexible living arrangements for families. They provide opportunities for multigenerational living, accommodating aging relatives or adult children while maintaining privacy. Many properties in the Hobart LGA have a large enough site to build a secondary residence or have an existing house which is large enough to convert part into a secondary residence.
Social housing Social housing is affordable housing provided by the government and community sectors to assist people who are unable to afford or access suitable accommodation in the private rental market. It includes public housing, state owned and managed Indigenous housing and community housing. Rents are set as a proportion of household income.
Student housing Student housing includes a range of living options, including residential colleges, selfcontained studio apartments or shared apartments with communal amenities. The demand for student housing has fluctuated dramatically over the past 5 years with the Covid pandemic and more recently changes to student visas impacting the number of overseas students studying in Tasmania. In 2021, 5,415 people in the City of Hobart were attending university. This represents 9.8% of the population, compared to 4.9% in Greater Hobart.10
Tiny house Tiny houses are typically understood as smaller dwellings, whether on wheels (like a caravan or trailer) or as a permanent structure, intended for residential use. They are often seen as a more sustainable or financially attractive housing option compared to larger traditional houses. Whether you need a planning permit to use your tiny house as a permanent residence depends on the planning zone where the site is located and any relevant codes. 11
Right: Student housing in Hobart designed by Terroir, photograph taken by Adam Gibson. 22
City of Hobart Housing Action Plan Background Paper 2026
City of Hobart Housing Action Plan Background Paper 2026
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Why do we need a Housing Action Plan? Drivers of change Population growth
Community need
Housing diversity and size
Housing to buy and rent
Sustainability
Visitor accommodation
BNB
Cost of inaction Homelessness
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Housing stress
City of Hobart Housing Action Plan Background Paper 2026
Drivers of change Drivers of change This Background paper and associated Action Plan is informed by strategic drivers of change in Hobart. Each of these drivers presents specific challenges and opportunities. The drivers were identified through research, data analysis, stakeholder engagement through the Hobart Housing Forum, and previous work conducted by the City.
Population growth
Tasmania’s Estimated Resident Population in 2024 is 575,496, with a population density of 8.47 people per square kilometre.13 Hobart’s population growth has been driven by net migration, including retirees, self-employed workers, young adults and international migrants. Hobart will continue to attract new residents who value its high level of liveability, temperate climate, natural environment and vibrant arts and cultural offerings.
Forecast ID’s population forecast for the Hobart LGA shows it increasing from 58,276 in 2026 to 64,485 by 2046.12
Image taken for the I am somebody 2024 project.
City of Hobart Housing Action Plan Background Paper 2026
Aerial photograph of Hobart
25
Community need Diversity and inclusion are core values of the City of Hobart and our community. As the city grows, providing affordable housing is essential to maintaining its inclusivity. Housing affordability is vital for equity, social cohesion, and inclusion. Gentrification refers to the demographic shift in an urban neighbourhood that results in lower-income households being displaced by higher-income households. It describes changes over time in income levels, education and cultural diversity within neighbourhoods.14 Analysis of ABS Census data on income and housing costs by researchers at the Australian Urban Observatory shows that the City of Hobart is becoming affordable only to the wealthiest households.
The Precarity Index for Neighbourhood and City Housing (PINCH) gentrification index categorises suburbs based on income profiles, housing costs and affordability. It tracks changes in income groups, housing values and affordability over time using ABS Census data from 2016–2021. The index identifies eight categories, ranging from low-income areas at risk of displacement to stable, exclusive neighbourhoods. Dr Alan Both, a research fellow at RMIT University who worked on the index, said the data shows that Hobart is already dominated by gentrified areas. Dr Both suggests the supply and demand of housing is key to explaining this. So are shortterm rentals and the internal migration of people priced out of other cities – especially in Hobart.
Dr Alan Both RESEARCH FELLOW, RMIT UNIVERSITY “You can push them to the outer suburbs, you can push them further out than that. And then eventually you have to basically push them out into their cars, because there’s nowhere else for them to go.”15
26
“The people [who] own the properties there are doing quite well, but [gentrification] is causing an adverse effect on the actual health of the city. Because the people that need to live there – to provide the services that make the city – are being priced out.”16
City of Hobart Housing Action Plan Background Paper 2026
Weekly individual income for residents of the City of Hobart Weekly gross income
Percentage
Number
$0-499
29%
13,803
$500-999
23%
10,956
$1,000-1,499
17%
7,947
$1,500-1,999
11%
5,301
$2,000-2,999
9%
4,227
Over $3,000
6%
2,889
Not stated
5%
2,588
In the City of Hobart, 52% of the population earned an income of less than $1,000 per week in 2021.16
1,532 households in Hobart had an unmet need for affordable housing, representing 7.1% of all households, higher than the 5.6% in Greater Hobart.16
How many households are in need of affordable housing?
Households unable to access market priced rental housing, 2021 Households unable to access market priced rental housing, 2021
500
441
430
400
315 300 200
186
160
100 0
Homeless
Marginally housed
Very low income in rental stress
Low income in rental stress
Moderate income in rental stress
Source: Homelessness Census and ABS Census Source:ABS ABSestimating Estimating Homelessness Census 2021 and 2021 ABS Census 2021
City of Hobart Housing Action Plan Background Paper 2026
27
LGAs where the people who work in the City of Hobart live LGA
No. of workers
% of workers
Hobart
20,111
34.9
Clarence
11,693
20.3
Glenorchy
9,271
16.1
Kingborough
8,102
14.0
Brighton
2,289
4.0
• 57,677 people work in the City of Hobart. • 20,111 or 34.9% work in the City of Hobart and live in the area.19 • 37,566 or 65.1% work in the City of Hobart, but live outside the LGA.20
Ageing Population Tasmania’s population is ageing, with around 21% of residents aged 65 or older in 2023. Despite recent population growth in the 2034 age group, Tasmania remains the oldest state in Australia, with a median age of 42 in 2021, four years above the national average. Households are shrinking, with an average of 2.4 people per household in 2021, down from 3.4 in 1971. In Hobart, older couples without children make up 10.4% of households, while older lone persons without children account for 12.2%. The most common household types in Tasmania are couples without children and one-parent families. As Hobart’s population ages, demand for affordable housing and smaller, attached dwellings will increase. Residential supply will rely more on medium-density infill development, particularly in the city centre and surrounding areas. 23
• 7,703 (26.8%) working residents of the City of Hobart travelled outside the area to work. 21 • In 2021, 5,415 people living in the City of Hobart were attending university.22 • Approximately 10,000 students are enrolled at the University of Tasmania’s southern campuses, which include the Sandy Bay and other Hobart facilities. Image taken for the I am somebody 2024 project.
28
City of Hobart Housing Action Plan Background Paper 2026
Minority groups Minority groups in Tasmania experience disproportionately high rates of homelessness and housing stress. A chronic lack of affordable housing and inadequate support models continue to fuel these disparities for a range of minority groups across the state, including Tasmanian Aboriginal peoples, youth, people with a disability and the LGBTIQA+ community. The Tasmanian Aboriginal community are heavily overrepresented in the homeless population and face enduring barriers in the private rental market. It is critical that support services and long-term housing options are designed and provided in a culturally appropriate manner.
A staggering 39% of Tasmania’s homeless population is under the age of 25 and more than 1,000 young people are waiting for social housing. Tasmanians with a disability face severe housing insecurity, with almost 1-in-3 residents having a disability—the highest proportion in Australia. Because accessible housing is undersupplied, many people with disabilities are forced into unsafe situations, relying heavily on emergency shelters and social housing priority lists. 10.5% (247) of all Tasmanians experiencing homelessness identified as Aboriginal and/or Torres Strait Islander.
Youth 2 Independence housing in Hobart designed by Liminal Studio City of Hobart Housing Action Plan Background Paper 2026
29
30
City of Hobart Housing Action Plan Background Paper 2026
Housing diversity and size Smaller houses can come in a variety of types including apartments, terrace houses or manor houses, as well as a stand-alone house. Each of these housing types should be affordable and available for members of our community to rent or to buy in the City of Hobart. Future land use planning mechanisms should provide for a range of housing to suit differing household types, including people living by themselves, single parents, couples with and without children, and group households.
21% of Tasmania’s residents were aged 65 or older in 2023.
There is a shortage of smaller houses including one and two bedroom houses in the City of Hobart.
Left: Student housing in Hobart designed by Morrison Breytenbach Architects. City of Hobart Housing Action Plan Background Paper 2026
31
Who lives in what type of housing? 52.4 per cent of lone-person households and 72.2 per cent of couples live in separate houses in the Hobart LGA. This is not surprising, as three-bedroom houses make up most of the housing stock. While this may reflect individual preference, it may also be due to a lack of medium-density housing in high-amenity areas or housing built to the standard people want. There is also a shortage of smaller homes suitable for people with a disability or older members of our community who wish to age in place and require better building access.24
The need for smaller homes in the social and affordable housing categories is identified in the Tasmanian Housing Strategy 2023-43. As of September 2023, the number of applicants on the Homes Tasmania Housing Register for social housing was 4,634 including: • • • •
2,473 entitled to a one-bedroom home 1,330 entitled to a two-bedroom home 575 entitled to three bedrooms and 256 eligible for four or more bedrooms.25
The number of applicants waiting for social housing as of June 2025 is 5,163.26
The Commons mixed use development in Hobart designed by Core Collective Architects.
32
City of Hobart Housing Action Plan Background Paper 2026
What is the mix of housing?
This chart compares the housing diversity in the City of Hobart to Greater Hobart. It is clear that 3 bedroom, separate houses make up the majority of the housing stock, despite the fact that most households in the City consist of couples and lone persons.27
What is the rate of occupancy by size? Occupancy rate, or Average Household Size, is a measure of the number of people in each dwelling. Smaller (or larger but declining) household sizes in a larger dwelling can indicate an area where children have left home and empty nesters are remaining in family homes. Conversely, higher occupancy in smaller dwellings can indicate affordability or availability issues. This may occur when people move in together, stay with children in small units, or take on boarders to offset the high cost of housing. This chart breaks down household size by number of bedrooms, which relates to the consumption of housing.
City of Hobart Housing Action Plan Background Paper 2026
33
How affordable is housing to buy The table outlines the property purchase price that would be affordable to first home buyers with a 20% deposit, on very low, low and moderate incomes, in comparison to the entry-level (25th percentile) and median Household type
Income level
Max. house price they can afford to buy
Very low
Entry level unit $500,000
Median unit $620,000
Entry level house $775,000
Median house $950,000
$101,540
X
X
X
X
$162,472
X
X
X
X
Moderate
$243,705
X
X
X
X
Very low
$185,361
X
X
X
X
Low
$296,577
X
X
X
X
Moderate
$444,865
X
X
Very low
$259,725
X
X
X
X
Low
$415,566
X
X
X
X
Moderate
$623,351
X
X
X
Very low
$395,564
X
X
X
X
Low
$632,903
X
$949,352
X
Moderate
Very low
$275,654
X
X
X
X
Low
$441,052
X
X
X
X
Moderate
$661,576
X
X
Lone Person Low
Single parent with children
Couple no children
Couple with children
Group household
34
house and unit prices in the 12 months leading up to June 2024. This indicates that purchasing a property in the City of Hobart LGA is not affordable for many households.28
City of Hobart Housing Action Plan Background Paper 2026
How much affordable housing is available to buy The table below looks at how many sales in the City of Hobart LGA, in the 12 month period leading up to December 2024, fall below the affordability (30% of gross income) threshold for each income level, Household type
based on assumptions for a first home buyer (deposit and interest rates, as well as loan term). The number of bedrooms for each affordable sale is identified, as an indicator of ‘appropriateness’ – analysed by household type. 29
Income level
Max. house price they can afford to buy
Very low
$101,540
0
1
0
1
Low
$162,472
0
1
1
2
Moderate
$243,705
0
2
2
4
Very low Single parent with Low children
$185,361
0
1
1
2
$296,577
1
2
2
5
Moderate
$444,865
26
24
7
59
Very low
$259,725
0
2
2
4
Low
$415,566
19
18
6
44
Moderate
$623,351
48
107
35
198
Very low
$395,564
12
14
4
31
$632,903
48
108
38
202
Moderate
$949,352
52
199
261
522
Very low
$275,654
0
2
2
4
Low
$441,052
26
24
7
59
Moderate
$661,576
48
116
48
220
Lone Person
Couple no children
Couple with Low children
Group household
City of Hobart Housing Action Plan Background Paper 2026
1 2 3 Total no. bedroom bedroom bedroom dwelling dwelling dwelling dwelling
35
How affordable is housing to rent The table indicates rental affordabiliy for households on very low, low and moderate incomes in the Hobart LGA in comparison to Household type
Lone Person
Single parent with children
Couple no children
Couple with children
Group household
36
Income level
Max. rent they can afford pw
Very low
the entry level (25th percentile) and median house and unit rental prices in the year leading up to December 2024.30 *Affordability threshold: 30% of gross household income by income group. Entry level unit $400 pw
Median unit $475 pw
Entry level house $550 pw
Median house $610 pw
$115 pw
X
X
X
X
Low
$184 pw
X
X
X
X
Moderate
$276 pw
X
X
X
X
Very low
$210 pw
X
X
X
X
Low
$335 pw
X
X
X
X
Moderate
$503 pw
X
X
Very low
$294 pw
X
X
X
X
Low
$470 pw
X
X
X
Moderate
$705 pw
Very low
$447 pw
Low
$716 pw
Moderate
$1,073 pw
Very low
$312 pw
X
X
X
X
Low
$499 pw
X
$748 pw
X
Moderate
X
X
X
City of Hobart Housing Action Plan Background Paper 2026
How much affordable housing is available to rent The table below looks at how many rental listings are available in the City of Hobart Household type
Lone Person
Single parent with children
Couple no children
Couple with children
Group household
Income level
Max. rent they can afford pw
Very low
LGA over the 12 month period to December 2024 are affordable (less than 30% of gross income) for households on each income level.31
1 bedroom dwelling
2 bedroom dwelling
$115 pw
0
0
0
0
Low
$184 pw
0
0
1
1
Moderate
$276 pw
22
0
3
25
Very low
$210 pw
3
0
1
4
Low
$335 pw
76
0
3
79
Moderate
$503 pw
363
376
56
797
Very low
$294 pw
31
0
3
34
Low
$470 pw
329
231
19
580
Moderate
$705 pw
395
701
456
1554
Very low
$447 pw
296
145
12
454
Low
$716 pw
395
702
460
1559
Moderate
$1073 pw
395
726
657
1781
Very low
$312 pw
51
0
3
54
Low
$499 pw
358
339
38
737
Moderate
$748 pw
396
708
496
1602
City of Hobart Housing Action Plan Background Paper 2026
3 Total no. bedroom dwelling dwelling
37
Rental affordablilty index Rental unaffordability forces individuals and families out of Hobart, disconnecting them from support networks, education, employment, and healthcare, further exacerbating the crisis. Household
RAI score
Single person on benefits
In Greater Hobart, median rents are moderately unaffordable for the average renter, severely unaffordable for single pensioners, and extremely unaffordable for Jobseeker recipients.
43
Share of Income spent on rent % 71
Relative unaffordability
Extremely unaffordable
Single pensioner
68
44
Severely unaffordable
Pensioner couple
80
38
Severely unaffordable
Single part-time worker parent 57 on benefits
53
Extremely unaffordable
Single working parent
132
23
Acceptable
Couple on single income with children
109
28
Moderately unaffordable
Dual income couple with children
218
14
Very affordable
Student share house
103
29
Moderately unaffordable
Couple on min. wage
119
25
Moderately unaffordable
Hospitality worker
124
24
Acceptable
The Rental Affordability Index (RAI) for Greater Hobart, released by SGS Economics and National Shelter in November 2025, highlights Australia’s worsening rental crisis, pushing more households into financial hardship. The index measures rental affordability relative to household incomes, revealing how it affects various areas and household types. The RAI defines a score of 100 for households spending 30% of their income on rent, marking the critical threshold for housing stress. A score below 100 indicates that households are spending more than 30% of their income on rent, placing them at risk of housing stress.32 Right: Terrace housing in Hobart designed by Morrison Breytenbach Architects. 38
City of Hobart Housing Action Plan Background Paper 2026
71% of a jobseekers income would need to be spent on rent for them to be able to live in market priced housing in Greater Hobart.33
City of Hobart Housing Action Plan Background Paper 2026
39
Sustainability
Energy efficiency
The City of Hobart are looking to build a climate ready community by implementing actions which will build community resilience and reduce greenhouse gas emissions.
To keep the running costs of our homes affordable, our buildings should be warm in winter and cool in summer without needing to use large amounts of power.
Building resilience and adapting to climate change by planning for disasters such as fire, floods and urban heat, will continue to be a priority for the City.
Energy efficiency can be achieved through passive solar design with the inclusion of adequate insulation, well placed and appropriately sized windows, and other simple and affordable measures to optimise thermal efficiency and comfort.
Medium density, infill housing and adaptive re-use of existing buildings will help to build an affordable, compact and well-designed city where people choose walking, riding and public transport as their preferred way to move around.
Adaptive re-use
The Nationwide Housing Energy Rating Scheme, (NatHERS) is an Australian star rating system used to determine the energy efficiency of a home. The Hobart Design Guidelines suggests that new houses should be designed to achieve at least a 7-star NatHERS energy rating.
Adaptive reuse is the process of repurposing an existing building for a new use. This approach preserves the history of a site and makes use of the building’s existing carbon investment, reducing embodied carbon. Adaptive reuse can be suitable for buildings listed on the Tasmanian Heritage Register, protected under the Local Heritage Code, or for unlisted buildings. Repurposing non-residential buildings can create opportunities for medium density housing and mixed use developments, including ‘shop-top’ apartment living.
Student housing in Hobart designed by Morrison Breytenbach Architects. 40
The Nationwide Housing Energy Rating Scheme City of Hobart Housing Action Plan Background Paper 2026
Urban sprawl
Disaster resilience
Urban sprawl refers to the rapid expansion of cities and towns, often characterised by low-density housing, single-use zoning and increased reliance on private vehicles for transport.
The City is defined by its coastal location at the vegetated foothills of Kunanyi/Mt Wellington and by a range of natural features that provide both benefits and constraints.
The STRLUS and the 30-Year Greater Hobart Plan both highlight the need to minimise urban sprawl to reduce pressure on the urban and natural environment. Pressures on the urban environment include: • the need for new infrastructure; • reduced access to local services and jobs; and • conflicts with food production. Pressures on the natural environment as a result of urban sprawl include: • land clearing • biodiversity loss • erosion and salinity • reduced water quality • increased impact of drought and • contributions to greenhouse gas emissions • less greenspace and tree canopy cover • greater heat in these areas which reduced rates of walking and cycling for residents • fewer gardens and thus biodiversity. • greater pressure on our coasts and waterways.34
To build climate resilience, the City must understand possible future scenarios and plan and prepare for extreme weather events. The following hazards in the Hobart Local Provisions Schedule of the Tasmanian Planning Scheme require consideration for any future development: • Coastal Erosion Hazard Code • Coastal Inundation Hazard Code • Flood-Prone Areas Hazard Code • Bushfire-Prone Areas Code • Landslip Hazard Code Protection of endangered flora and fauna species should also be considered to support biodiversity.
As urban areas grow and become more complex, people often need to travel further and to multiple destinations, increasing reliance on less sustainable transport options such as private cars. This growing need to travel impacts the environment through pollution and affects wellbeing through longer travel times, which can influence physical and mental health. It also places greater pressure on road infrastructure, increasing congestion and demand for new infrastructure. Social housing in Hobart designed by Cumulus Architects. City of Hobart Housing Action Plan Background Paper 2026
41
Visitor accommodation The City recognises the impact that the conversion of whole houses to visitor accommodation has had on the rental affordability on the City of Hobart and beyond. Monitoring the Impact of Short-Term Rentals on Tasmanian Housing Markets, was commissioned by Shelter Tasmania to assess the impact of short-term rentals (STRs) on housing availability. Professor Phibbs, the study’s author, notes that platforms like Airbnb have disrupted housing markets globally, with tourist destinations like Hobart being particularly affected due to the higher profitability of short-term rentals over long-term leases.35 The Baseline Report made several initial findings and recommendations about the current STR market and its implications for the Tasmanian housing market. In 2023, the total number of STRs in the City grew by 16 per cent. Professor Phibbs suggests a range of mechanisms to address the housing crisis including: • An annual charge for STR to cover ongoing costs of monitoring and enforcement. • An increase in the provision of student accommodation. • Initiatives to expand the size of the private rental market. • Limiting the growth of STRs. • Improved Consumer, Building and Occupational Services data reporting. • Tax on STRs.
Quarter and year
Total Short-term Rentals
Nonprimary Residence STRs
Q2 2020
1023
343
Q3 2020
1030
350
Q4 2020
974
350
Q1 2021
1084
375
Q2 2021
1105
410
Q3 2021
1128
420
Q4 2021
1157
430
Q1 2022
1179
436
Q2 2022
1229
449
Q3 2022
1258
462
Q4 2022
1333
485
Q1 2023
1372
497
Q2 2023
1415
486
Q3 2023
1458
510
Q4 2023
1548
629
Q1 2024
1596
563
Right: The Rox, medium density housing and visitor accommodation in Hobart designed by Core Collective Architects.
Non-primary residence short term rentals experienced significant growth of 13% in the City of Hobart LGA in the last 12 months.36
42
City of Hobart Housing Action Plan Background Paper 2026
City of Hobart Housing Action Plan Background Paper 2026
43
Cost of inaction Tasmania faces a chronic shortage of affordable housing, contributing to homelessness and housing stress. Homelessness Tasmania faces a chronic shortage of affordable housing, contributing to homelessness and making it difficult for low- and moderate-income residents to find secure housing. Homelessness can result from factors like job loss, end of lease, rent increases, interest rate increases, reduced work hours, family breakdown, domestic violence, or poor health. While temporary for some, it can last much longer for others. Homelessness has significant social and economic impacts, leaving people vulnerable to chronic unemployment, poor health and social exclusion. The ABS 2021 census data shows that the total number of people experiencing homelessness was 2,350. This was a 45% increase from the previous census in 2016. The regional breakdown shows greater Hobart and South East Tasmania had the highest proportion at 51%.
• •
44
Emergency housing in Hobart made from shipping containers.
Most homelessness Tasmanians were aged under 35 years old. • • • • • •
25% aged 12 to 24 14% under the age of 12 30% were living in severely crowded dwellings 25% staying temporarily with other households 23% in supported accommodation 11% in boarding houses and 10% rough sleeping, in improvised dwellings, tents or sleeping out.
Homelessness in Tasmania increased by 45% between 2016 and 2021. 10.5% (247) of all Tasmanians experiencing homelessness identified as Aboriginal and/or Torres Strait Islander.36
City of Hobart Housing Action Plan Background Paper 2026
Housing stress The Australian Housing and Urban Research Institute, defines housing stress as a situation where a household in the bottom 40% of the income distribution pays more than 30% of its income on housing costs. 2,148 (9.6%) of 22,434 households in the City of Hobart were reported as being in housing stress in 2021.
Mortgage Stress According to housing.id of the 5,784 households with a mortgage in the City of Hobart, 288 (5%) were in mortgage stress at the time of the ABS Census in 2021. Mortgage Stress measures the number of households who have a mortgage and are paying more than 30% of gross household income on mortgage payments, who are in the Very low, Low or Moderate income ranges.
Households with a mortgage in housing stress by income band Source housing.id and ABS 2021
City of Hobart Housing Action Plan Background Paper 2026
Rental Stress Of the 6,862 households in private rentals in the City of Hobart, 1,860 (27.1%) were in rental stress at the time of the ABS Census in 2021. Rental Stress measures the number of households renting in the private market who pay more than 30% of their gross household income on rent payments, and fall within the Very Low, Low or Moderate income ranges. Most renters are in the lower to moderate income brackets. Rental stress can indicate that housing in an area is unaffordable to rent. When buying a home is not an option, renting may be the alternative. However, large numbers of people priced out of home ownership can create a bigger pool of renters competing for limited supply, pushing prices up and forcing households into rental stress.
Households renting in housing stress by income band Source housing.id and ABS 2021
45
Hobart Housing Forum Unlocking underutilised land, reducing financial barriers, and piloting medium-density housing projects were identified as key priorities to tackle Hobart’s housing crisis. Overview The Hobart Housing Forum (the Forum) was held on 2 December 2024. The Forum provided an opportunity for representatives from State and Local Government, industry leaders, developers and housing providers to exchange ideas and views on how we can improve housing affordability and supply in Hobart.
•
Pilot projects for higher-density housing: There was strong support for showcasing mixed-tenure, mediumdensity developments to build community and investor confidence in new housing models.
•
Reducing financial barriers: Land and infrastructure costs were identified as major obstacles, with calls for targeted incentives and subsidies to make housing more viable.
•
Strategic land use planning projects: Attendees emphasised the need to investigate zoning to deliver permitted pathways for appropriate higher density housing.
•
Workforce development: Concerns were raised about a declining construction workforce, highlighting the need for training and apprenticeship programs to sustain future housing projects.
The purpose of the Forum was to: •
• •
•
Strengthen the City’s advocacy position to State and Federal Government to achieve effective policy reform and increase investment. Identify opportunities for collaboration across the housing sector. Strengthen the City’s relationships with key stakeholders within the housing sector such as industry representative bodies and not for profit housing providers to enable greater understanding. Identify Actions that the City of Hobart can deliver to support mechanisms for the delivery of appropriate housing.
The Forum’s engagement report highlights several key priorities: •
46
Development of underutilised land: Maximising the use of vacant and underdeveloped sites emerged as a top priority to increase housing supply.
City of Hobart Housing Action Plan Background Paper 2026
Expert opinions Key insights from the keynote speaker, Ellen Witte from SGS Economics, other expert panellists, and representatives from across the housing sector who participated in the roundtable discussions included:
•
Engage with community groups early in the process, aim to understand their concerns and build trust. Identify balanced solutions that address development and community needs.
•
Combat stigma and negative public perception, launch public awareness campaigns to improve public perception of diverse housing options. Highlight community and social benefits of housing projects to garner public support and engagement.
•
The need for a government owned land development corporation, which could help to de-risk development by addressing fragmented land ownership.
•
Government funding certainty to enable long term residential supply.
•
•
Encourage increased government involvement and incentives to support housing initiatives and ensure that they are effectively communicated and utilised by stakeholders.
Host quarterly meetings to provide an opportunity for the housing sector to connect, build and support innovative partnerships and collaborations and drive creative solutions.
•
Maximise use of available land through the development of strategic plans that identify underutilised land.
Advocate for regulatory and policy changes that support housing development and affordability.
•
Subsidisation of land costs to improve viability of housing. Collaborate with faith based organisations, and state and local government to investigate opportunities to use their land for affordable and social housing.
The social cost of poor housing is underestimated. There are significant impacts on health due to houses with poor insulation and heating.
The focus should be for the provision of good quality housing in the right locations over the long term.
•
•
•
•
Transit oriented development to provides social and environmental benefits, including a reduced requirement for car parking spaces, which would significantly reduce the cost of housing.
The keynote speech and panel discussions are available to view online.38 A detailed summary of the event is outlined in the Engagement Report.39
Inclusionary zoning to deliver sufficient social and affordable housing. See Nightingale model for voluntary inclusion.37
City of Hobart Housing Action Plan Background Paper 2026
47
HOBART HOUSING FORUM
LIVE POLLING ACTIVITY
We utilised the Menti Meter for a live polling activity to engage participants and gather real-time insights at the Forum. The live polling activity was used to establish a baseline understanding of participants sentiments, help guide conversations and foster a collaborative and inclusive environment.
48 PARTICIPANTS
10 Local government 8 Design and architecture 8 State Government 8 Not for profit 3 Developers 3 Construction industry 3 Strata management 2 Elected officials 3 Other participants
SCALE OF 1 TO 10, TO WHAT EXTENT DO YOU AGREE OR DISAGREE THAT...
9.1/10
There is a housing affordability and availability crisis in Hobart?
6.5/10
The City supports housing development in Central Hobart and surrounding suburbs?
average average
9.1/10 average
How important is it for sectors to collaborate on housing opportunities?
WHICH BARRIERS TO DEVELOPMENT DO YOU FIND MOST CHALLENGING? Construction costs 13
Difficulty in securing funding 7
Regulatory delays and uncertainty 7 Land banking 5
Infrastructure costs 4
Fragmented land ownership 4 Community opposition 4 Land costs 2
BIGGEST CHALLENGE IN ONE WORD Cost (15 responses) NIMBYs (5 responses) Governance (4 responses) Vision (3 responses) 48
City of Hobart Housing Action Plan Background Paper 2026
WHICH TOPIC DISCUSSED TODAY WILL YOU CONSIDER FURTHER IN YOUR DELIVERY OF HOUSING IN HOBART? Viability of development
5
Increased housing type and diversity
7
Affordability of housing
7
Collaborative housing models
8
Development of underutilised land
17
WHAT'S THE ONE CHANGE THAT YOU THINK COULD MAKE HOUSING DEVELOPMENT MORE VIABLE IN OUR CITY? Modular housing
Reduced regulatory fees
8.3%
6.3%
Reduced infrastructure costs
25%
Mixed use development
95%
of attendees would be interested in participating in further engagement activities for the City of Hobart’s Housing Strategy.
WHAT IDEAS HAVE THE GREATEST POTENTIAL TO IMPROVE HOUSING AFFORDABILITY AND AVAILABILITY? Collaboration and partnerships
12.5%
Reduced land costs
16.7%
Other
31.2%
HOW LIKELY ARE YOU TO CONTINUE TO ENGAGE IN DISCUSSIONS AROUND HOUSING SOLUTIONS? Highly unlikely
11.6%
Highly likely
60.5%
Likely
27.9%
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Education and changing mindsets Inclusionary zoning and regulatory changes Developing agencies and governance Planning and delivery Parking and transport Pilot projects and innovation Incentives and policy changes Housing diversity and affordability
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Youth 2 Independence housing in Hobart designed by Liminal Studio. 50
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Glossary Adaptive reuse
Brownfield
Adaptive reuse is the process of repurposing an existing building for a new function. This not only preserves the history of a site but also makes use of a previous carbon investment in the building stock, thereby reducing embodied carbon. Adaptive reuse can be appropriate for buildings protected by the Tasmanian Planning Scheme’s Heritage Code or listed on the Tasmanian Heritage Register, as well as unlisted buildings with heritage values.
Brownfield is land that has been previously developed, often for industrial, commercial, or agricultural purposes, and is now disused, underutilised, or potentially contaminated. These sites frequently require decontamination and remediation before redevelopment, bringing them back into beneficial use as residential properties, community facilities, or new commercial ventures.
Affordable housing Affordable housing refers to housing for purchase and rental, including social housing, that is appropriate for the needs of very low to moderate-income households. This is generally understood to mean housing that costs no more than 30 per cent of a household’s gross income.40 Affordable rental housing Affordable rental housing refers to properties that are made available at rents below market rates and are affordable for low to moderate income households. Typically, this means rents are set at or below 80 per cent of market rates and not more than 30 per cent of a household’s gross income. This includes key worker housing and social housing.
Build to rent ‘Build to rent’ (BTR) is the process whereby developers and their financiers build multiunit buildings and, instead of selling the units, retain them to rent. Rents may be set at market rent or, for affordable and social housing, at an appropriate discount to market rents. Co-located housing The South Australian government’s definition of ‘co-located housing’ means a group of two or more self-contained dwellings contained on land within the Co-located Housing Overlay that meet the following criteria: • •
Bluefield ‘Bluefield Housing’ is a land definition and an accompanying urban infill housing model which describes co-located housing that integrates new additions with existing homes, looks and feels like single-family housing, but operates financially and legally like a small group of units. City of Hobart Housing Action Plan Background Paper 2026
• •
they each occupy an allotment created under the Community Titles Act 1996; they comprise at least one or more established dwellings facing a primary street that may be sensitively altered and / or extended as part of the co-located housing development to accommodate additional dwellings; and they incorporate communal open space that is accessible to all dwellings; and they may also comprise other common areas and / or facilities for shared use by all occupants, including: 51
- a common building that includes facilities such as a shared kitchen, dining and / or living facilities - shared laundry facilities - shared carparking. Co-operative housing A housing co-operative is a community where members live independently and collectively manage affordable, sustainable housing. Crisis accommodation Emergency and temporary accommodation provided as part of the specialist homelessness services accommodation in Australia. Development contributions
Greyfield ‘Greyfield’ suburbs feature ‘under-utilised property assets such as privately owned and occupied residential building stock, usually built between the late 1940s and the 1970s, that is failing physically, technologically and environmentally. Typically these suburbs contain energy, water and communications infrastructure in need of regeneration’ together with older, physically run-down community assets, such as sports clubs. High density housing Multiple dwellings on a site that are over six storeys in height. Typical typologies include residential apartment buildings and mixed-use residential developments with commercial tenancies.
Development contributions are monetary or in-kind contributions taken as part of a planning approval and are used to fund public infrastructure. They are used across many Australian jurisdictions to invest in or co-fund public infrastructure.
High-rise apartments
Greenfield
The most commonly accepted definition of homelessness comprises of three categories.
Greenfield land is undeveloped or previously unbuilt-on land, typically found on the outer edges of urban areas, that is available for development without the need to demolish existing structures. This land is considered a new area for urban growth and housing. Significant investment in new infrastructure (roads, water, electricity) is required to support development. There are concerns about extending urban sprawl into agricultural land and the associated costs and environmental impacts, such as increased flood risk and the destruction of natural habitats and green spaces.
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High-rise apartments are typically a residential building over 6 storeys. Homelessness
Primary homelessness is experienced by people without conventional accommodation (e.g. sleeping rough or in improvised dwellings, including tents). Secondary homelessness is experienced by people who frequently move from one temporary shelter to another (e.g. emergency accommodation, youth refuge/shelter, “couch-surfing”). Tertiary homelessness is experienced by people staying in accommodation that falls below minimum community standards (e.g. boarding houses and caravan parks). 41
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Group household
Liveability
A household consisting of two or more unrelated people, where all persons are aged 15 years and over. There are no reported couple relationships, parent-child relationships or other blood relationships in these households.
The degree to which a place is suitable or good for living in, based on measures related to accessing basic social infrastructure, walkability, public transport, public open spaces, housing affordability, and employment.
Inclusionary zoning
Lived experience
Inclusionary zoning is a land use planning intervention by government that either mandates, or creates incentives, so that a proportion of a residential development includes a percentage of social or affordable dwellings. Inclusionary zoning supports the development of affordable and social housing in appropriate locations.
Lived experience refers to expertise gained from having a specific life experience and knowledge that cannot be taught. Lived experience is a depiction of a person’s experiences and decisions, as well as the knowledge gained from these experiences and choices.
Mandatory inclusion requires a percentage of affordable homes to be included in developments as a condition of planning approval. Voluntary inclusion is where new affordable housing is encouraged by reducing costs and/or granting additional development potentialfor developers. Key worker People who provide essential services to the community and are generally unable to work from home, including, but not limited to, teachers, nurses, social workers, police, fire and emergency service personnel, child care and aged care workers, cleaners and hospitality and retail workers. Key worker housing Key worker housing refers to affordable rental or purchase options for workers in essential services who often struggle to afford housing due to their income or the high cost of living in areas close to their employment.
City of Hobart Housing Action Plan Background Paper 2026
Low income Receiving income below the median average. Medium density housing Typologies include single-storey villa developments, duplexes and co-joined dwellings, terrace housing, townhouses, apartment buildings up to six storeys, shop top housing and mixed-use residential developments with commercial tenancies. Grouped house is two or more dwellings on a single lot, often single or double storey and detached. Terrace house or Townhouse is a house built as part of a continuous row in a uniform style. Low-rise apartments are typically a building of three stories or less, often referred to as a garden-style apartment or walk-up apartment, and sometimes a manor house, or six pack. These buildings are generally found in less densely populated areas and offer a more intimate, community-oriented environment compared to high-rise buildings.
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Mid-rise apartments are typically a residential building with 3 to 6 storeys, offering a balance between the community feel of low-rise buildings and the convenience of high-rise. Their efficient use of space and accessibility to urban conveniences is increasingly desirable. See diagram below. Missing middle Refers to medium-density housing that is on the building spectrum (or “in the middle”) between single-family homes and highdensity. Examples of the ‘missing middle’ may include townhouses or buildingsthat contain multiple apartments. Mixed tenure Refers to the mix of housing tenures in a particular location. The idea underpinning tenure mix policies is that a diversity of tenure types in a given area will engender socioeconomic diversity that will reduce the area effects of concentrated disadvantage and engender social inclusion. Mixed-use renewal
larger sites. Uses can include, housing, retail, hospitality, office, community or cultural uses. NatHERS NatHERS stands for the Nationwide Housing Energy Rating Scheme. It is an Australian star rating system used to determine the energy efficiency of a home. NIMBY / NIMBYism An acronym for the phrase, “Not In My Back Yard”, which reflects an attitude of negativity by residents to proposed developments. Overcrowding Overcrowding is defined as a situation in which one or more additional bedrooms would be required to adequately house all household members, given their number, age, sex and relationships. Planning scheme Set out policies and requirements for the use, development, protection and conservation of land in the LGA. Planning schemes include, among other matters, zones and overlays.
Mixed-use renewal means the redevelopment of land that blends multiple uses, either within buildings and/or across multiple buildings on
Types of housing illustrated in the Medium Density Guidelines. 54
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Public infrastructure
Sleeping rough
Facilities, systems, and structures that are developed, owned, and operated by the government.
State of sleeping with no shelter on the street, in a park, in the open, or in a motor vehicle. See also homelessness.
Quality
Specific Area Plans (SAP)
Quality in reference to housing encompasses the various characteristics, features, and conditions that make a dwelling suitable, safe, comfortable, and conducive to the well-being of its occupants. This includes structural integrity, thermal comfort, energy-efficiency and safety of the dwelling.
A SAP enable provisions for a particular area of land to be included in a LPS that provide for use or development with significant social, economic or environmental benefit to the State, a region or a LGA [section 32(4)(a) of the Act]. A SAP can also include provisions where a particular area of land has unique environmental, economic, social, or spatial qualities [section 32(4)(b) of the Act].
Retirement village A retirement village is a community for people aged 55 and over, offering independent or serviced living with shared amenities. Some provide optional care services and may be run by private, charitable, or not-for-profit organisations. Secondary residence A secondary residence, often called a “granny flat” or “ancillary dwelling,” is an additional dwelling on the same site as a main house. It must be self-contained, have a gross floor area not more than 60m², belong to a single dwelling, and share access, parking, and water, sewerage, gas, electricity and telecommunications connections and meters.42 Secondary residences are subject to specific planning rules and regulations within the Hobart Planning Scheme. ‘Shop top’ apartment
Structure plan A structure plan sets out a framework to help manage, influence and facilitate change in an area over a period of time, in a way that aligns with a community’s vision. It guides development, investment and infrastructure, and gives effect to state and local planning policy, integrating land use, built form, transport, open space, streetscapes and infrastructure. It considers the economic, social and environmental context. Recommendations are made for policies, planning scheme controls and projects to bring the vision to life. Social housing Social housing is affordable housing provided by the government and community sectors to assist people who are unable to afford or access suitable accommodation in the private rental market. It includes public housing, state owned and managed Indigenous housing and community housing. Rents are set as a proportion of household income.43
Refers to a dwelling that are located above ground floor retail or commercial uses.
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Student housing
Tiny house
Student housing includes a range of living options, including residential colleges, selfcontained studio apartments or shared apartments with communal amenities.
Tiny houses are typically understood as smaller dwellings, whether on wheels (like a caravan or trailer) or as a permanent structure, intended for residential use. They are often seen as a more sustainable or financially attractive housing option compared to larger traditional houses.
Supported accommodation Housing combined with a support service. This type of housing provides higher-level care, support or supervision for vulnerable people with particular needs. Temporary housing
YIMBY / YIMBYism An acronym for the phrase, “Yes In My Back Yard”, which reflects an attitude of support by residents to proposed developments.
Temporary housing means residential use or development for a period of not more than 12 months commencing from the date on which an occupancy permit or temporary occupancy permit is issued in accordance with Part 17 of the Building Act 2016. Tenure The legal and social arrangements that determine how individuals or households occupy and use a dwelling or piece of land. Tenure arrangements dictate the rights and responsibilities of occupants and owners and may influence the stability and security of housing. Tenure in Australia is primarily through ownership or renting, but there are many subcategories of both.
Right: Student housing in Hobart designed by Terroir, photograph taken by Adam Gibson.
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Endnotes 1 City of Hobart, ‘Housing Forum 2024’ [video], City of Hobart, Youtube website, 2024, <https://www.youtube. com/watch?v=vq-iXXis5LU>. 2 City of Hobart, Hobart Housing Forum - Engagement Summary Report, City of Hobart, 2025, <https://www. hobartcity.com.au/Council/News-and-publications/Hobart-News/Industry-brainstorm-maps-path-to-easingHobarts-housing-crisis>. 3 .id (informed decisions), ‘Community profile - Tasmania’, .id (informed decisions), 2025, <https://profile.id.com. au/australia/about?WebID=150>. 4 .id (informed decisions), ‘City of Hobart - population forecast’, City of Hobart, 2025, <https://forecast.id.com.au/ hobart>. 5 Department of State Growth (DSG), Southern Tasmania Regional Land Use Strategy 2010-2035 - Amended 19 May 2025, Tasmanian Government, 2025, <https://www.stateplanning.tas.gov.au/news-and-events/2025/ southern-tasmania-regional-land-use-strategy-amended>. 6 ERA Planning & Environment, Medium Density Design Guidelines, DSG, 2025, <https://www.stategrowth.tas. gov.au/about/divisions/ship/medium-density-design-guidelines>. 7 ERA Planning & Environment, Medium Density Design Guidelines. 8 Australian Housing and Urban Research Institute (AHURI), ‘What is ‘Build to rent’?’, AHURI, 2023, <https://www. ahuri.edu.au/analysis/brief/what-build-rent>. 9 Tasmanian Planning Commission, Tasmanian Planning Scheme - State Planning Provisions, Service Tasmania, 2025, <https://tpso.planning.tas.gov.au/tpso/external/tasmanian-planning-scheme>. 10 id (informed decisions), ‘City of Hobart - Education institution attending’, City of Hobart, 2025, <https://profile. id.com.au/hobart/education>. 11 DSG, ‘Tiny Houses Fact Sheet’, Tasmanian Government, 2024, <https://www.stateplanning.tas.gov.au/newsand-events/2024/tiny_fact_sheet 12 .id (informed decisions), ‘City of Hobart - population forecast’, City of Hobart, 2025, <https://forecast.id.com. au/hobart 13 .id (informed decisions), ‘City of Hobart - population forecast’. 14 Australian Urban Observatory, ‘Housing’, Australian Urban Observatory, 2025, <https://auo.org.au/portal/ metadata/housing/ 15 Australian Urban Observatory, ‘Housing’. 16 Australian Urban Observatory, ‘Housing’. 17 .id (informed decisions), ‘City of Hobart - Individual income’, City of Hobart, 2025, <https://profile.id.com.au/ hobart/individual-income>. 18 ABS, Estimating Homelessness: Census, ABS, 2023, <https://www.abs.gov.au/statistics/people/housing/ estimating-homelessness-census/latest-release>. 19 .id (informed decisions), ‘City of Hobart - Workers’ place of residence’, City of Hobart, 2025, <https://profile. id.com.au/hobart/workers>. 20 .id (informed decisions), ‘City of Hobart - Workers’ place of residence’. 21 .id (informed decisions), ‘City of Hobart - Residents place of work’, City of Hobart, 2025, <https://profile. id.com.au/hobart/residents>. 22 .id (informed decisions), ‘City of Hobart - Education institution attending’. 23 .id (informed decisions), ‘City of Hobart - Drivers of population change’, City of Hobart, 2025, <https://forecast. id.com.au/hobart/drivers-of-population-change>. https://soe.dcceew.gov.au/urban/introduction>. Shelter Tas, ‘Peak body for housing and homelessness in lutruwita / Tamania’, Shelter Tas, 2025, <https:// sheltertas.org.au/>. 24 .id (informed decisions), ‘Affordability Monitor City of Hobart’, City of Hobart, 2025, <https://housing.id.com.
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au/hobart/affordability-and-availability/>. 25 Tasmanian Government, Tasmanian Housing Strategy, Tasmanian Government, 2024, <https://www. tasmanianhousingstrategy.tas.gov.au/ 26 Tasmanian Council of Social Service, ‘Tasmania’s State of Housing Dashboard - Indicators’, Tasmanian Government, 2025, <https://tascoss.org.au/state-of-housing/indicators/ 27 .id (informed decisions), ‘Housing Supply City of Hobart’, City of Hobart, 2025, <https://housing.id.com.au/ hobart/housing-and-approvals/>. 28 .id (informed decisions), ‘Affordability Monitor City of Hobart’. 29 .id (informed decisions), ‘Affordability Monitor City of Hobart’. 30 .id (informed decisions), ‘Affordability Monitor City of Hobart’. 31 .id (informed decisions), ‘Affordability Monitor City of Hobart’. 32 Rental Affordability Index 2025, SGS Economics and Planning, https://sgsep.com.au/maps/rai/australia-rentalaffordability-index-nov25/SGS%20Economics%20and%20Planning_Rental%20Affordability%20Index%202025.pdf 33 ABS, Estimating Homelessness: Census. 34 S Hill, Z Cumpston and G Quintana Vigiola, Australia state of the environment 2021 - Urban, Australian Government, 2021, < 35 P Phibbs and J Ely, Monitoring the Impact of Short-Term Rentals on Tasmanian Housing Markets - 5th Update since Baseline Report, Shelter Tas, 2025, < https://sheltertas.org.au/papers-and-reports/>. 36 https://sheltertas.org.au/homelessness/some-facts/ 37 Nightingale Housing, ‘Nightinggale Bowden’, Nightingale Housing, 025, <https://www.nightingalehousing. org/project/nightingale-bowden>; Renewal South Australia, ‘Moving day just around the corner for first residents of Bowden’s ground-breaking affordable apartments, Government of South Australia, 2022, <https://renewalsa. sa.gov.au/news/moving-day-just-around-the-corner-for-first-residents-of-bowdens-ground-breaking-affordableapartments 38 City of Hobart, ‘Housing Forum 2024’. 39 City of Hobart, Hobart Housing Forum. 40 Tasmanian Government, Tasmanian Housing Strategy. 41 Shelter Tas, ‘Peak body for housing and homelessness in lutruwita / Tamania’. 42 Tasmanian Planning Commission, Tasmanian Planning Scheme. 43 Tasmanian Government, Tasmanian Housing Strategy.
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Hobart Town Hall, Macquarie Street, Hobart, Tasmania 7000 Australia t (03) 6238 2711 f (03) 6238 2186 e coh@hobartcity.com.au w hobartcity.com.au