Victorian Social Housing Sector – Market Intelligence Brief – October 2026

Executive summary

In October 2026, the Commonwealth and Victorian Governments confirmed the delivery of 1,275 new social homes across 25 Victorian projects backed by the Housing Australia Future Fund (HAFF) Round 2. Operationally, Homes Victoria achieved practical completion of the 286-home Holland Court redevelopment in Flemington and broke ground on an adjacent 414-home social housing project on Racecourse Road under the Ground Lease Model. Concurrently, procurement and community tensions escalated in inner Melbourne as Homes Victoria opened an Expression of Interest (EOI) to replace 220 public housing units at 139 Highett Street, Richmond, with an 800-dwelling mixed-tenure precinct.

Policy, advocacy & funding

• HAFF round 2 allocation (1,275 homes): The Commonwealth and Victorian Governments formally unveiled 1,275 social homes across 25 targeted projects. Major metropolitan footprints include South Melbourne (133 homes), Footscray (124 homes), Fitzroy North (121 homes), Ascot Vale (106 homes), and Williamstown (91 homes), alongside 105 dwellings designated across regional Victoria.
• North Richmond high-rise EOI rollout: Homes Victoria progressed market procurement for 139 Highett Street, Richmond, seeking development partners to replace 220 older public homes with an ~800-home precinct comprising at least 150 social units and 650 build-to-rent/affordable dwellings. The move triggered formal opposition from Yarra City Council, which resolved to demand a pause on contractual commitments ahead of the late-November state election.
• VCOSS sector conference & election advocacy: Ahead of the upcoming Victorian election, the Victorian Council of Social Service (VCOSS) convened community sector leaders to reinforce demands for long-term indexation stability, workforce protection under evolving SCHADS Award frameworks, and sustained public-to-community housing reinvestment.

Organisational & leadership news

• Flemington Ground lease expansion: Community Housing Limited (CHL) has taken on operational tenancy management of the newly finished 286-dwelling Holland Court precinct. Simultaneously, main construction commenced on the neighbouring 414-home Racecourse Road site next to Debneys Park, incorporating shared rooftop gardens and multi-use community hubs.
• HAFF round 3 consortium structuring: Victorian Tier 1 and Tier 2 Community Housing Providers (CHPs) spent October finalising joint ventures, off-site manufacturing partnerships, and modular delivery bids to meet Housing Australia’s accelerated Round 3 delivery timelines.
• Tenant relocation management expansions: The concurrent tenant relocations across Flemington (12 Holland Court and 120 Racecourse Road) and the imminent decanting at Highett Street have driven specialised non-profit service providers to expand on-site relocation, casework, and concierge teams.

Conclusion

The announcement of 1,275 HAFF Round 2 homes paired with active construction starts on massive Ground Lease sites like Flemington (414 homes) indicates that Victoria’s community housing ecosystem is operating at full project delivery speed. For executive recruiters, the immediate market demand is bifurcated:

1. Commercial & development executives: CHPs urgently require Heads of Development, Commercial Project Directors, and Capital Structuring Leads who can manage complex co-funded pipelines across both state and federal capital stacks.
2. Operational & change leaders: Due to heightened political scrutiny and council opposition around inner-city tower renewals, boards are actively headhunting Senior Operations Directors and Community Engagement Executives who possess the regulatory fluency to manage complex tenant decanting and onboarding without brand or operational fallout.

Are you looking to bolster your leadership team?

If these themes resonate with your organisation, it may be a good time to reflect on whether your executive team has the structure, skills and leadership capability needed for the next phase of growth. If you’d like to talk about how the talent market is evolving, or what capability your organisation might need in the coming years, we at Johnson Recruitment always welcome the conversation.

Contact me, Barry Vienet, directly to discuss your organisational needs, or contact my colleague Alex Cooper.