Shire seeks sites to build homes in Lorne

November 3, 2025 BY

The Surf Coast Shire is working with the Lorne community on the specific affordable housing problem Lorne is experiencing and potential solutions to address it. Photo: SUPPLIED

THE Surf Coast Shire is on the hunt for sites to build small-scale affordable housing in Lorne, and will also ask the Victorian government to develop and pilot a new land tax discount policy in the coastal town.

Councillors considered a report on the Lorne Affordable Housing Project at their meeting on Tuesday this week.

In July and August, the shire convened three workshops with 16 Lorne business owners, key workers and community leaders with the aim of identifying the specific affordable housing problem that Lorne is experiencing and to agree on potential solutions to address it, as part of the shire’s Affordable Accommodation Action Plan adopted last year.

By the end of the workshops, the group had developed a problem statement, generated project ideas and selected a proposed project for further scoping.

Part A of this project will identify suitable shire-owned or publicly-owned land to build affordable housing at a commensurate scale and character to surrounding residences across several parcels.

According to the report presented to councillors, potential benefits include alignment with state and federal government policy and funding programs, and partnering with Community Housing Providers to deliver affordable housing for local key workers in perpetuity.

Part B of the project will include advocating for the design of an innovative land tax discount policy that could be piloted in Lorne and have future application in other towns popular with tourists.

This could incentivise the return of up to 25 properties to the long-term rental market in Lorne, and would be more immediate relief for local key workers unable to find affordable rental housing in the town.

Speaking at Tuesday’s meeting, Cr Leon Walker said long-term affordable rentals had always been an issue in Lorne and he had personal experience, having moved nine times in 12 years.

“What is proposed will give some real actions.

“An aging permanent population that isn’t growing in numbers with no affordable options for anyone to live, work, and contribute to the community doesn’t contribute to growing the Lorne community’s sustainability and ends up with a ghost town.”

The motion passed five votes to two, with councillors Joel Grist and Paul Barker voting against it.

“Too many homes sit empty most of the year or are used only for a short-term accommodation,” Cr Grist said.

“So the problem isn’t a lack of land or buildings. It’s how those existing properties are being used.

“Incentivising increased rental availability is an immediate solution, and it won’t cost the community its limited supply of public land. Once council land is gone, it’s gone, and future generations will rightly ask why we didn’t protect its use for the increasing demand for community services.”

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