7 July 2022
A three year scheme to encourage commercial property owners to upgrade their buildings has pumped an estimated $150 million into the Territory economy.
The Territory Labor Government's Leased Property Stimulus Scheme closed on 30 June 2022 with 32 approved projects generating $76 million in direct private sector spending, with an additional $65 - $80 million in indirect economic activity driven by the program.
Launched in 2019, the scheme invited building owners with existing Northern Territory Government leases to improve buildings in exchange for an extension of their lease term.
Building owners are required to use local contractors and suppliers, supporting Territory's small to medium businesses and tradies.
The scheme has created local jobs and supported businesses throughout the Territory, with projects in Darwin, Alice Springs, Tennant Creek and Katherine.
More the $50 million has been directly spent on building improvements so far, with the rest spent by the time all the projects are completed in 2023.
The scheme is funded entirely by the private sector with no government capital expenditure.
Capital works are aimed at improving building amenities and performance by installing new lifts, upgrading bathrooms and kitchens, adding disabled toilets and revitalising public areas such as adding cafes, landscaping and shade structures in the building and surrounds.
Also included are measures to make leased buildings more energy efficient through the addition of solar power and the installation of more energy efficient equipment, helping the Government to meet its net zero emissions target.
The Scheme was originally designed to run for two years but due to the positive and strong response from building owners was extended through to 2022, helping to sustain economic activity in the Territory.
Quotes from Minister for Corporate & Digital Development
"This is another example of how the Territory Labor Government has been working with the private sector on innovative ways to keep our economy strong and to support local businesses and local jobs, especially as we negotiate our way out of the economic challenges of the past two 2 years.
"We've seen buildings across the Territory, including in regional centres, reinvigorated in ways that have made them more energy efficient and in many cases changing the look and feel of the buildings by adding public areas with welcoming environments, such as the inclusion of shaded areas with public art or cafes.
"By extending our government leases we've also provided a win-win scenario by providing certainty to these building owners who have accepted the challenge to recapitalise their buildings and provide work for our tradies and other local businesses along the way."
Quotes from Manuel Liveris of GRC Properties
"The leased stimulus scheme has been a successful initiative by the NT Government.
"By simply providing certainty to property owners, the NT Government has spurred significant capital investment across the Territory resulting in improved amenities to workers and visitors that use our activity centres."
Northern Territory Government
