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Victorian Chamber dismisses CBD short-stay reform proposal

The Victorian Chamber rejects short-term rental caps and registration fees proposed by the City of Melbourne to help ease the housing crisis.

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The City of Melbourne voted in favour of a recommendation to track and regulate the short-term rental market, including to cap short-term rentals at 180 nights and impose a yearly registration fee of about $350 on property investors.

The Victorian Chamber is dedicated to providing solutions to housing shortages, which not only impact individuals’ quality of life but have wider social and economic implications for regional and metropolitan Victoria.

Rapid population growth, limited housing availability and supply chain problems for new builds have created a significant demand-supply gap in the State, making it increasingly difficult for first-time buyers and low-income earners to enter the market. This also makes it more difficult for employers to attract employees.

The Chamber is leading a Housing Taskforce Roundtable series aimed at developing business-led recommendations that grow the competitiveness of Victoria’s economy and productivity by improving housing affordability and stock.

Based on feedback from the roundtables, the Victorian Chamber rejects the City of Melbourne proposals.

“We urge the City of Melbourne to withdraw this perplexing idea until the State Government releases its housing reform plan,” Victorian Chamber Chief Executive Paul Guerra said.

“At a time when we need to be welcoming more people to the CBD, this latest move by the City of Melbourne is a massive misstep.”

The Victorian Chamber’s roundtables are tackling themes of materials and planning, rental housing, local government, taxation, supporting infrastructure and innovation.

They have drawn a diverse range of housing specialists including developers, local councils, academics, architects, individuals that own several rental properties and tax lawyers.

Feedback from the Housing Taskforce will inform a full report with recommendations in late October 2023 to be presented to Government.

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