In recent years, there has been a rise in the number of people living in apartments in Australia.

Australia’s capital cities are squeezing 40 percent more people into the same area than they were in 2003.

Melbourne has increased its housing density by 45 percent in the last two decades. The north end of Melbourne’s CBD has seven times as many people living in it than in 2003.

This comes at a time when Australia is experiencing a chronic lack of housing, with 120,000 people experiencing homelessness.

So, can apartment living provide the solution to Australia’s housing crisis? What are the benefits of apartment living, and are there any downsides?

· Affordability: At a time when housing can be expensive, apartment living can provide an affordable solution. Increasingly, apartment living is viewed by many as a permanent, not temporary solution.
· Convenient locations: Apartments, often located close to important services, provide a convenient alternative to the prohibitively priced centrally located homes in major cities.
· Reduces Urban Sprawl: Urban sprawl can have negative financial, environmental and social impacts. Increasing housing density can help to address urban sprawl.
· Help addressing housing shortage: Currently, Australia is experiencing a severe shortage of appropriate housing. The New South Wales government views increasing housing density as a possible solution to the state’s housing crisis.

Recognising its benefits, the New South Wales government is introducing legislation to speed up the permit process for high-density living.

The government also recently altered planning controls to allow six-storey apartment blocks to be built within 400 metres of railway stations.

The New South Wales Productivity Commission recently recommended that design standards be relaxed to allow the construction of smaller apartments without car parks, sunlight, or storage. It also wants to see six-storey apartment blocks built within 800 metres of railway stations.

However, there are some downsides to apartment living and the construction of apartments.
· Construction quality: Apartments are viewed as a quick fix to the housing crisis. However, it is important to ensure they are constructed to a high standard.
· Infrastructure: When increasing housing density in a particular area, infrastructure in the area must be sufficient to support the increased population.
· Heritage and Environment: The heritage, environment and vibrancy of communities surrounding large apartment blocks must be considered. Tall apartment towers can overshadow surrounding areas and generate wind
· Cost of construction: It takes a lot of time and money to construct a block of high-rise apartments. It is also very difficult to add capacity to existing apartment blocks.
· Suitability: Many families who want to live in apartments cannot find one to suit their needs. Most units are only one or two bedrooms and are built with investors, not families, in mind. Developers are reluctant to build more than two-bedroom apartments as they are less likely to sell off-the-plan and sometimes include requirements like additional car parking spaces, adding additional costs to the build. Additionally, there is a long-standing perception that families with children do not want to live in apartments. However, in some parts of Sydney up to 50 percent of those living in apartments are families.

While some people see increasing density as the magic bullet to solve Australia’s housing crisis, others are more sceptical. They suggest the housing crisis cannot be solved without addressing issues of supply and demand.
While increasing in popularity, apartment living is not for everyone. Therefore, it should not be viewed as the sole solution to Australia’s housing crisis.
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1. Gil, M (16 April 2024) ‘Apartment living is widely embraced in big cities, but why isn’t it here in Australia? Domain, accessed 24 September 2024
2. Janda, M (28 April 2024) ‘Housing density has surged across Australia’s cities, yet home prices keep hitting fresh records’, ABC News, accessed 24 September 2024
3. McLaren, N (2 August 2024) ‘Residents embrace high-rise living, but supply lagging as construction costs rise’, ABC News, accessed 24 September 2024
4. Dole, N (11 September 2024) ‘Higher towers, smaller homes, fewer car spaces recommended to solve NSW housing crisis’, ABC News, accessed 24 September 2024