Developers are rushing to build homes, fearing they will lose access to builders and tradies in the next 12 months.
Developers are racing against time to get private housing projects completed before state construction crews abandon them for more lucrative infrastructure contracts for the Olympic and Paralympic Games.
Industry players say there is a window of around 12 months before private development is likely to grind to a halt due to a lack of available tradesmen and builders, lured by construction union-backed pay packages.
It comes amid an acute shortage of traditional housing, with research from Place showing that Brisbane’s apartment supply is 45 per cent below the five-year average, with less than 4,600 new homes expected per year by 2030, while there is an expected demand of more than 16,000 homes per year.
![](data:image/svg+xml,%3Csvg xmlns="http://www.w3.org/2000/svg" viewBox="0 0 1280 720"%3E%3C/svg%3E)
An artist’s impression of Arcilla, a new residential development approved for 28 Maxwell St, New Farm. Image supplied.
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Purdy Developments director Craig Purdy said private developers would not be able to compete with the enterprise bargaining agreements offered by Tier-1 builders, which the state government would use to deliver the infrastructure.
“The challenge will be that all the young kids are offered such good money to go work on Olympic assets and other government jobs that private companies will struggle to keep them,” Mr Purdy said.
Craig Purdy of Purdy Developments. Image supplied.
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“Nowadays you really have to hug your staff to keep them.”
| Key facts about apartments in Brisbane (2025) | ||||||
| • Median apartment price = $755,000 (+12.4% annualized) | ||||||
| • Median home price ≈ $1.06 million (+8.1% annualized) | ||||||
| • Three-bedroom apartments (postcode 4000) = $1.45m–$2m | ||||||
| • Unit listings = 45% below the five-year average | ||||||
| • Expected new supply ≈ 4,600 units per year (2025-30) versus demand = 16,000 | ||||||
| units pa | ||||||
| Source: Site survey | ||||||
TOTAL Property Group director Adrian Parsons said there was a sense of urgency among developers to get projects approved and underway and secure a builder.
“There is definitely an urgency among developers to keep builders safe,” Parsons said. “Many developers are telling us they have 12 to 18 months to get projects started. “With those major Olympic infrastructure projects, there will be significant demands on construction labor and expertise.
Adrian Parsons, director of Total Property Group. Photo: Glenn Hampson.
“We have to build these infrastructure projects – there is no choice. If we don’t, we will be ridiculous, and the state government won’t allow it, so something has to be done.
“We need more builders and more numbers in our (construction) workforce.”
Master Builders Queensland general manager of policy and advocacy Dyan Johnson said 12 to 18 months was “ambitious”, with Tier-1 builders expecting major infrastructure projects to come out of the ground as early as the middle of next year.
“Then things will change, so now is the time to get work in the pipeline,” Ms Johnson said.
“I see a real shift in unit projects. Approvals are up 35 percent in the last three months.”
Dyan Johnson of Master Builders Queensland. Photographer: Liam Kidston.
Ms Johnson said it is not just the Olympic infrastructure that needs more workers.
“The Olympics are actually quite small in format, even though they are time-based,” she said.
“The hospital upgrade program costs about $18.5 billion, while the Olympics (infrastructure) costs about $7 billion. Then you have schools, working on the M1, renewable energy.
“What’s worrying is that it usually doesn’t happen all at once. What we have now is six to 12 months’ foresight to do something. This is a really good time to get more people into our workforce.”
Kokoda Property Group has not yet announced a builder for its $1.5 billion Teneriffe Banks project.
Mr Parsons, who works with developers across Brisbane and the Gold Coast, said there are some new builders moving off the highway, which could ease some of the pressure – but only for small projects.
“Smaller boutique projects are easier because the pool of suitable builders is quite shallow, and we are starting to see some new builders coming in from interstate and starting to discover and set up operations in South East Queensland.”
But that won’t help big projects like Kokoda Property’s Teneriffe Banks, which has yet to announce a builder for the $1.5 billion mixed-use precinct on the Brisbane River despite it launching 12 months ago.
Construction of Monarch Residences in Toowong is nearing completion thanks to Hutchinson Builders and Consolidated Properties Group, with strong sales to younger families seeking an apartment lifestyle.
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