Federal funding aims to accelerate housing supply in ACT, including 1,700 for first-home buyers
An agreement between the federal and territory governments has been struck to bring forward about 4,900 new homes across the ACT, including more than 1,700 set aside exclusively for first-home buyers, backed by Commonwealth funding for enabling infrastructure intended to accelerate development.
The agreement includes Commonwealth support for infrastructure that can determine whether projects proceed, including roads, services and utilities.
We’ve struck a deal with the ACT to build nearly 4,000 new homes, including 1,700 exclusively for first home buyers.
— Clare O'Neil MP (@ClareONeilMP) April 19, 2026
The ACT is the second jurisdiction to partner with the Albanese Government on its 2025 election commitment to help deliver up to 100,000 homes for first home buyers, in partnership with states, territories and industry.
The Commonwealth will provide $250 million to support delivery of first home buyer-only homes across the ACT. Funding allocations include $37.5 million for infrastructure works in the Kingston Precinct (75 homes) and a further $20 million to relocate high-voltage powerlines in Kingston (210 homes); $12.5 million for infrastructure in Weston Creek to unlock land for residential development (150 homes); and $100 million for estate works across the ACT supporting 537 homes by 2034.
They also include $20 million for water management infrastructure for the Deep Creek project in Molonglo Valley (65 homes); and a combined $60 million tied to works in the Ginninderry Regeneration precinct and Ginninderry joint venture project, covering landfill capping ($30 million, 86 homes), overhead power line relocation and development expansion ($25 million, 85 homes), and further infrastructure investment to expand development ($5 million, 35 homes).
Industry groups welcomed the announcement, framing it as a supply-side intervention aimed at easing affordability pressures by increasing the number of dwellings that can be built and brought to market.
“This announcement is a positive step toward getting more first home buyers onto the property ladder by increasing the number of homes that can actually be built,” said Ashlee Berry (pictured right), executive director of Property Council ACT & Capital Region.
“We know first-home buyers are being squeezed by high costs and limited choice. The most effective way to ease pressure is to deliver more homes, in the right locations, supported by the infrastructure needed to bring them to market.”
“For first-home buyers, owning a home is about stability, security and putting down roots. Today’s announcement is a welcome step toward making that aspiration achievable for more Canberrans.”
Industry representatives said delays in infrastructure works can leave approved housing stuck at the pre-construction stage.
“Too often, housing projects are approved but stalled because the enabling infrastructure isn’t in place,” Berry said. “By funding the roads, services and utilities needed upfront, governments can help accelerate delivery and give first home buyers a real chance to compete,” she said.
“If we’re serious about improving housing affordability, we need sustained, coordinated action across planning, infrastructure and delivery. This deal sends an important signal that governments understand supply is the key to affordability and that industry partnerships are essential to making housing delivery happen.”
Meanwhile, Master Builders Australia also cited the enabling works as central to lifting the pace of housing delivery, and argued that infrastructure investment needs to be matched with workforce and regulatory changes.
“Builders welcome this funding,” said Denita Wawn, chief executive of Master Builders Australia. “As we have advocated in our Pre-Budget Submission, a dramatic uplift of enabling infrastructure is crucial, especially if we are to have any chance of meeting the National Housing Accord.”
“Every dollar spent on building and construction translates to $2.50 across the economy,” added Anna Neelagama (pictured right), chief executive officer at Master Builders ACT. “When this deal is executed, it will support ACT builders from home building to civil construction flowing onto non‑residential activity.
“Master Builders’ recently released forecasts predict a 1,240‑home shortfall against the ACT’s share of the National Housing Accord. The industry appreciates these proactive steps towards closing that gap.”
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