A MIILICENT building trades supplier has welcomed the recent Federal Government stimulus package that will provide eligible home builders or property owners looking to renovate with cash grants up to $25,000.
Kustom Benchtops proprietor Colin Davies said it was good news the $688m HomeBuilder scheme would provide all eligible owner-occupiers with the grant to either build a new home or substantially renovate an existing home.
Mr Davies, whose Short Street business is a commercial wholesaler to 40 cabinet-makers across the Limestone Coast, said the stimulus would help prospective buyers.
“Hopefully it will have a knockon effect,” he said.
“If the builders do not have any jobs, then we do not have any work.
“We have maintained a steady work pace over the past three months.”
Australian citizens with an annual income of less than $125,000 for individuals and $200,000 per couple are eligible for the grant.
The fund will only apply to new residential properties worth up to $750,000 including the value of the land or for undertaking renovation projects valued between $150,000 and $750,000.
The money cannot be used on investment properties or to build swimming pools, tennis courts, sheds or garages.
After the renovation, the enhanced value of the residential property should not exceed $1.5m.
Member for Barker Tony Pasin said the HomeBuilder scheme would help to fill the gap in construction activity expected in the second half of 2020 due to the coronavirus pandemic.
“HomeBuilder will help to support the 140,000 direct jobs and another 1000, 000 related jobs in the residential construction sector,” Mr Pasin said.
“To use the timber industry as one example, the Australian Forest Products Association has been forecasting that sawn timber demand could drop by up to 50pc by year end, putting many of the 45,000 jobs in the softwood timber supply chain at risk, as well as having a devastating impact on timber communities.
“This package will help prevent this decline and weather the storm for the whole supply chain.”
Praising Federal Government’s announcement, South Australian Treasurer Rob Lucas said the State Government was finalising another package of new measures – in addition to the $1b in economic stimulus it has already committed.
“This is a huge shot in the arm for the local construction industry and the tens of thousands of tradies it employs in South Australia, as we recover from the greatest economic challenge of our time,” Mr Lucas said.
“We will not be adding to the grants or abolishing stamp duty, however in the next week or so, we will announce a package of further measures to help stimulate the housing and construction industry.”
Meanwhile, construction of dwellings continues at a pace across Millicent and district.
The latest development is taking place at a one-time storage yard on North Terrace and opposite the Millicent Croquet Club.
The vacant area was formerly used by a Millicent drilling company.
Meanwhile, Wattle Range Council planning staff approved 17 development applications under delegated authority during the month of April.
Among them were seven new houses ranging in cost from $220,000 to $670,000 and an average of $403,000.
There were approvals for two new houses each at Beachport and Penola and one each at Millicent, Kalangadoo and Southend.
