The call comes following the Government's announcement that mandatory developer licensing - applying to projects of more than three dwellings - will begin from October 2026, with applications opening from 1 October 2025 as part of a one-year transition.
Property Council ACT & Capital Region Executive Director Ashlee Berry said that while industry supported the intent behind the reforms, the implementation needed to be practical and grounded in how development works in reality.
"We support stronger standards and greater accountability, but this scheme goes far beyond what's reasonable - asking individuals to take responsibility for issues outside their control, including defects they didn't cause," Ms Berry said.
"With housing demand at an all-time high, the risk is that these changes introduce more red tape, more cost and more delay - at exactly the time we need more supply."
On 19 June, the Property Council hosted a Developer Licensing Summit, bringing together industry leaders, legal experts, insurers, and government officials to unpack the implications of the new regime. Participants expressed strong concern about the scope of the legislation, unresolved legal risks, and the potential for serious unintended consequences.
"What we heard loud and clear is that developers want to do the right thing - but they need a licensing model that is fair, workable, and creates confidence, not confusion," Ms Berry said.
"The Property Council has been engaging constructively with government throughout the process and will continue to advocate for refinements that protect consumers without undermining the viability of residential development.
"We urge government to continue consulting widely and to genuinely listen to those delivering the homes Canberra needs," Ms Berry said.
"The real test of this reform is whether it helps deliver better housing outcomes - or makes them harder to achieve."
