'Council can't be all the answers': New look at housing project

With Warrnambool in the grip of a housing crisis, the city council has come up with a "unique" idea to help ease the problem.

It unveiled plans last year to build up to 50 relocatable houses on former saleyards buffer land at Harrington Road.

The closure of the saleyards has freed up the council-owned land for housing.

The 50 proposed dwellings are made up of 10 three-bedrooms homes and 20 each of the two and one-bedroom properties.

The Dennington community has been vocal in its opposition to the project, and at a public meeting last week called for dwellings that blended in with the current brick houses.

New pictures of the proposed houses show a mix of timber, brick and steel street frontages.

A housing provider has been announced by the council who is yet to give the project the final green light.

Mayor Ben Blain said the council needed more feedback on the designs for the project.

"It's really important we can reflect what the community wants," he said.

"One thing we can all agree on is that there is a housing crisis across the country and council can't be all the answers.

"But we do have a very unique opportunity here with the buffer zone land at the sale yards site."

With more than 400 long-term rentals operating as short-stay accommodation and a number of motels in the city closing, the council data paints a grim picture for the future of the city's housing market.

The city's rental vacancy rated is just 0.8 per cent - well below the benchmark four per cent that is required for a healthy housing market, the council said.

The total number of rental properties as a ratio of total dwellings was 18 per cent - significantly lower than the state average of 30 per cent.

The council's 2019 social housing planning document found a housing deficit of 1430 dwellings in Warrnambool - a figure projected to rise to about 2810 by 2036.

Even with the record 400 building permits issued by the council in 2022, the council said there was still an urgent need for short to medium-term solutions to help ease the housing shortage.

The Dennington plan is not the first time the council had facilitated affordable housing solutions for Warrnambool.

In May 2013, the North Dennington Housing Affordability Program accessed a $2.95 million Federal government grant towards the construction of Coghlans Road and delivered a housing affordability grants scheme of up to $20,000 per applicant.

The program - which ran until 2017 - delivered 50 grants disbursed to low and moderate income families, all of whom met strict eligibility requirements.

More focus group sessions on the proposed new plan will be held this month:

A council survey is also under way at yoursaywarrnambool.com.au.