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Annual Report Housing Commission

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Annual Report Housing Commission 1965-66 VICTORIA TWENTY-SEVENTH ANNUAL REPORT OF THE HOUSING COMMISSION VICTORIA FOR THE PERIOD 1st July, 1964, to 30th June, 1965 TOGETHER WITH APPENDICES PRESENTED TO BOTH HOUSES OF PARLIAMENT PURSUANT TO THE HOUSING ACTS By Authority· A. C. BROOKS. GOVERNMENT PRINTER, MELBOURNE. No. 33.-2554/66.-PRICE 35 cents HOUSING COMMISSION, VICTORIA MEMBERS V. J. A. BRADLEY, c.E., A.M.I.E. (AUST.), Director J. P. GASKIN, Deputy Director ALAN A. ASHMAN, B.COM., A.A.S.A., Commissioner Secretary: A. L. BOHN, A.A.S.A. 179 Queen Street, Melbourne, VICTORIA CONTENTS Page GENERAL COMMENTS 5-6 PLANNING AND CONSTRUCTION: Land Acquired for General Housing 7 Land Acquired for Slum Reclamation 7 Land Acquired for Housing Elderly People 7 Site Engineering 8 Architectural .. 9 Construction .. ll Concrete House Project 12 ESTATE AND PROPERTY MANAGEMENT: Residential Land 13 Sllops and Shop Sites 13 Tenancy 13 Maintenance .. 14 Estate Management .. 14 Industrial Land 14 House Sales .. 15 Housing Standards IS Slum Reclamation 15-16 FINANCE 17 STAFF 20 TABLES: "A" Summary of Completions of Dwellings 22 ''B" Shops and Offices Completed at 30th June, 1965 .. 22 "C" Dwelling Unit Construction .. 23-26 "D" Summary of Houses Sold 26 "E" Types of Dwelling Units Completed during year ended 30th June, 1965 .. 27 "F" Location of Flats 27-28 "G" Block Types of Flats .. 29-30 "H" Bedroom Type of Flats 30 "I'' Construction Types of Flats 30 "J" Concrete House Project .. 31 "K" Lone Person and Low Rental Flats .. 31-32 APPENDICES 34 TWENTY -SEVENTH ANNUAL REPORT OF HOUSING COMMISSION VICTORIA 1964- 1965 179 Queen Street, MELBOURNE. C. I GENERAL COMMENTS The Hon. L. H. S. Thompson. M.L.C., possible, the Commission has no such concern with Minister of Housing. respect to demand for accommodation provided by it. Demand has increased. 9582 applications were received compared to 8422 last year, and is the Sir, highest for 3 years. Applications outstanding at In compliance with the provisions of the Housing 30th June 1965 totalled 13778 10479 for the Act, the Housing Commission submits this report metropolitan area and 3299 for the country. of its activities together with financial statements incorporating the certificate of the Auditor-General It is the particular concern of the Commission for the year ended 30th June. 1965. that, whatever the level of completions for the whole State might be, an adequate proportion is made Total completions of houses and flats for the available to that section of the community who are State at 31495 were at a satisfactory level. not able to finance their housing costs on the terms Completions for the last 5 years are as follows offering in the open market. it is evident that it is in these categories that the real deficiencies in 1960/61 26277 housing exist. A large proportion of the need is for 1961/62 23039 rental accommodation, and where purchase is 1962/63 24100 possible, it can only be achieved with low capital 1963/64 27069 costs, minimum deposits, long terms and interest 1964/65 31495 rates that result in monthly repayments that can be serviced. Even on these terms there is a 2i per During the year the assumptions contained in centage of purchasers who fail to maintain their the national estimates of housing demand produced repayments resulting in the property being reposs­ by Dr. A. R. Hall of the National University were essed. applied to the Victorian situation, and together with additional information obtained from other sources The categories referred to are the elderly resulted in an estimate that over the next 5 years pensioners, widows, deserted wives, those dis­ annual production should be from 30.000 to 32,000 possessed by slum reclamation activities. large families, and the family including the migrant It is not possible to predict an accurate annual family~ in the £18-20 per week income range who, requirement. However, some estimate of the level contrary to popular belief. still exist in quantity in of demand over a forward period must be attempted the community. if the building industry is to avoid the marked fluctuations that is has had to contend with in the Although the Commission has adopted past. maximum income limits of £25 per week for rental and £30 for sale, recent surveys of applicants have lt would be a severe setback to our housing indicated that about half of the applicants have an progress if the supply of funds to housing were income within the range of £18-20 per week, with restricted to the point where this 1964/65 achieve­ one quarter above and a quarter below this range. ment is not maintained in the coming year. Further, of the 33541 weekly tenancies existing, 4816 occupants are on a rebated rent because they Contrary to the doubts expressed in some are unable to pay the comparatively low rents quarters that a situation of over provision is charged by the Commission. 5 In addition to meeting this demand of the lower completion of dwellings. Road and drainage works income groups throughout the State, the Commis­ were advanced sufficiently to allow of construction sion is also required to make particular allocations of the first 200 homes to proceed in the ensuing of houses to the country to provide rental accom­ year. Designs of the first section of the Town modation to the transient population, to cover Centre were completed. A specific area was set essential services, such as police, ambulance, aside and, when fully developed, will be available, hospital and education, and to make a contribution towards the end of the ensuing year, for sale to to decentralized industries. home builders. This financial year is the last year of the existing This was the first year of an enlarged 3-year Commonwealth/State Housing Agreement. It is slum clearance programme. Clearance had been to essential that this Agreement be renewed, and the order of £700,000- £800,000 per annum. The should still provide for a concessional interest rate. new programme provided for an expenditure of Consideration should be given to the reinstatement £1,300,000 per annum. to the Commission of the 30 per cent of funds made available under the Agreement, presently being Expenditure for the year was £1,242,303. diverted to Cooperative Housing Societies. The Societies have other sources of funds available, and In addition £3,822,487 has been spent on the every effort should be made to expand these sources. redevelopment of these areas. Likewise, the diversion of 5 per cent of the available funds to housing of Defence Force personnel should To 30th June 1965 a total of £22,915,236 has be reviewed in the light of the increasing demands been spent on both acquisition and redevelopment of low income applicants. of slum areas. A provision should be included to make a The General Revenue Account discloses a loss special contribution to the housing of elderly on rental operations of £238,448 compared with a pensioners. Without some assistance the Commis­ loss of £166,085 for last year. The rental ranges sion will be forced to reduce the rate of construc­ adopted in July 1963, whilst reducing the level of tion of these units that has currently been achieved. loss in the first year of operation, have now been overcome by rising cost. The Agreement should provide for a contri­ bution towards the acquisition and clearance of All the variable items of cost municipal rates, slum areas. maintenance, rental rebates have risen during the year and will continue to rise in the ensuing During the year 2688 flats and houses were year. Rental rebates amounting to £438, 102 again completed bringing the total completions to 54,004 rose substantially by £52,210. This is the direct This was higher than last year's completions of2,324 result of an accelerated elderly persons' building and was the direct result of a special additional programme. Unless some special financial assistance Defence Forces programme of £4,000,000 approxi­ is forthcoming, the Commission will be forced to mately, spread over this and the following year. curtail this programme. The number of houses available to ordinary applicants remained around 2,300 less the normal This rental loss has been offset in the past by 10 per cent allocation to the Defence Forces. profits on house sales. However, the decision to use £150,000 per annum for the next 3 years of these In the metropolitan area single house profits for slum clearance has left an offsetting construction is running down, with emphasis on profit of only £70,640. redevelopment of slum areas with flats mainly in the form of elevator blocks, designed by the The General Revenue Account is now disclosing Commission and built by the Concrete House a loss on all operations. The total loss is £135,455. Project. A 20-storey block of 180 flats at Flemington was opened during the year. Two similar blocks at Carlton will be completed early in the coming year It is a matter of serious concern to the Commis­ together with a 12-storey block of elderly persons' sion that the deterioration disclosed on rental flats at St. Kilda. £14,509,566 was spent on new operations has been allowed to continue. Whilst it construction during the year. is estimated that the total loss for 1965/66 over all operations will be £202,000 rental losses will be to To meet the needs in those country towns where the order of £312,000. As recovery of this amount difficulty has been experienced in obtaining would necessitate an average increase in rental over constructions the Commission has developed an a full year of some 4/6d.
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