Cairns Regional Council is calling for decisive State and Federal action to help tackle the region's escalating housing shortage, placing its Securing Cairns Housing Foundations Plan at the forefront of its 2026–27 Pre-Budget submissions.
Council is seeking $150 million each from the Australian and Queensland Governments – matched by its own $150 million investment – to deliver the critical infrastructure needed to activate the Mount Peter Priority Development Area (PDA).
This $450 million partnership would unlock Stage 1, directly enabling around 3,800 new homes initially and laying the foundation for the longer term delivery of up to 18,500 homes for a growing community.
Cairns' rental vacancy rate sits at just 0.76%, with median rents and house prices rising 65% and 84% over five years.
Mayor Amy Eden said large-scale, coordinated action is needed to relieve pressure and meet future demand.
"Cairns cannot meet housing demand or ease current pressure without unlocking new land for homes," Cr Eden said.
"The Securing Cairns Housing Foundations Plan is Council's highest advocacy priority. When it comes to delivering new housing supply at scale, we know the Mount Peter PDA is the region's only long-term solution.
"Critical infrastructure must come first. This includes major upgrades to water, wastewater, stormwater, roads, transport, and community infrastructure. Without these, homes cannot be built, and the corridor cannot function.
"We know the only real way to improve housing affordability is to increase supply. While this project delivers new homes in Mount Peter, it also helps ease pressure across the entire region by putting downward pressure on prices and rents."
Declared by the Queensland Government in July 2025, Mount Peter PDA enables coordinated planning between Council, Economic Development Queensland, and industry. Detailed planning and cost refinement will continue through 2025–26, giving developers certainty to deliver at scale.
Council's advocacy has gained statewide momentum.
"Momentum for a national approach to funding housing infrastructure has never been stronger. At the 2025 LGAQ Conference, our motion calling for a permanent federal program passed unanimously across more than 70 councils, showing clear support for a structured national approach."
"Without external funding, Council would need to take on significant additional debt to deliver this infrastructure, and that debt would ultimately need to be repaid through higher rates and charges.
"Many households are already under cost-of-living pressure and simply could not absorb further increases. That's why a three-way funding partnership between all levels of government is essential. We've seen this model work for the Cairns Water Security Stage 1 project, and the scale of the housing challenge warrants the same approach.
"This is the single most important step we can take to secure housing foundations for decades to come, support our workforce, and ease the cost-of-living pressures our community faces every day."
As part of its ongoing advocacy, Council will lodge formal State and Federal Pre-Budget submissions seeking the necessary $150 million contributions from each government.
"We value the constructive engagement with our local State and Federal MPs and their support for our advocacy to date. By continuing to work together, we can secure the best possible outcome for Cairns."
