John Carey hits back against claims Pier Street housing project is ‘inefficient use’ of taxpayer funds

Housing Minister John Carey has hit back at claims the State Government’s $137.2 million project to add more than 100 affordable rentals on Pier Street is an “appallingly inefficient use” of taxpayer funds. The CBD-based project, which was announced in February, will see the State and Federal governments partner to build 219 apartments under a build-to-rent model. Of the 219 apartments, 66 will be set aside for social housing, while a further 44 will be affordably priced. The Federal Government will contribute $88.6m from the National Housing Infrastructure Facility while the State Government will chip in more than $40.6m. Just last week, shadow State development minister David Honey said the Pier Street project would cost taxpayers about $1.25m per apartment and accused Mr Carey of “throwing obscene amounts of money” at “inappropriate developments”. “This is an appallingly inefficient use of taxpayer dollars and a wanton misuse of public funds,” he said. “Housing Minister John Carey . . . was unable to justify the outlandish cost and refused to provide financial details to justify the expenditure. “There is no reality in which spending $1.25 million per social housing unit is an acceptable option when so many people have nowhere to live. “What we have now is Minister Carey playing a desperate game of catch up by throwing obscene amounts of money at inappropriate developments without any consideration of value for money.” But Mr Carey said the $1.25m figure was inaccurate and slammed Mr Honey for “attempting to mislead the public”. “The estimated State Government investment for the apartments is approximately $369,000 per social or affordable unit,” he said. “It’s very clear David Honey doesn’t understand the funding arrangement between the State and Commonwealth Government in relation to the Pier Street Housing development project, or he’s simply attempting to mislead the public. “How Mr Honey has incorrectly calculated the investment per apartment is frankly a question for him, but given his longstanding track record of opposing development and density, I’m not surprised he fails to recognise value in new affordable housing options for vulnerable Western Australians. “As housing minister I am absolutely committed to doing everything I can to accelerate and broaden the availability of housing supply in Western Australia. “That is my focus.” The housing crisis has plagued governments for more than 12 months, with Perth’s rental vacancy rate sitting at just 0.7 per cent in January. The State Government has committed to more than $800m in social housing and homelessness initiatives as part of the 2024-25 State Budget.