The mining boom in the Pilbara is feeding rapid growth in residential construction, with Fortescue Metals Group Ltd today announcing plans for 250 new homes and BHP Billiton Ltd expected to announce new developments shortly.
The mining boom in the Pilbara is feeding rapid growth in residential construction, with Fortescue Metals Group Ltd today announcing plans for 250 new homes and BHP Billiton Ltd expected to announce new developments shortly.
These private sector moves follow efforts by state government agency LandCorp to crank up the number of residential land releases in the Pilbara to keep up with runaway demand.
Iron ore miner FMG today announced plans to build 250 houses in the Hedland area to cater for its port and rail employees.
It has contracted South Perth-based HFN Housing Group Pty Ltd for the project.
Fortescue has signed a heads of agreement for the first 100 houses at an estimated cost of $72 million.
The houses are to be leased from HFN, with FMG currently involved in negotiations with HFN and other potential suppliers for the remaining 150 houses.
Construction of the 225 houses in South Hedland and 25 houses in Port Hedland is expected to be completed by the end of July next year.
Fortescue is also investigating a housing program for its employees in Newman.
The company said in a statement that it would actively encourage employees to purchase their homes, in order to combat what it called socially destabilising fly in, fly out work practices.
The houses will incorporate acoustic design features to suit shift workers, including sound locks and door seals, and will also feature black-out window shutters.
Fortescue would not comment on the cost of the project.
Meanwhile, BHP Billiton is expected to soon reveal the next phase of its Pilbara accommodation development, following last year's decision to commit $150 million over two years to develop 300 homes to accommodate workers in Port Hedland, South Hedland and Newman.
The development was the largest single investment in Pilbara accommodation for more than 20 years and included a number of innovative housing models such as "eco" units.
WA Business News understands that BHP is poised to significantly increase the size and financial commitment of its Pilbara housing project.
LandCorp developments are planned for Port Hedland, Karratha, Newman, Onslow and Tom Price and will result in the delivery of more than 1,700 new lots over the next four years.
Planning and Infrastructure Minister Alannah MacTiernan recently announced that six building and construction companies had been short listed to fast track the delivery of new homes in the Pilbara.
The companies were selected following a national Expressions of Interest process run by LandCorp.
The six companies are Pindan Pty Ltd, HWL Building Co, Will Construct and Design and Rapley Wilkinson Pty Ltd, The Mac Services Group from NSW and Origen Architects from Queensland.
"This process has identified companies capable of building on LandCorp's significantly accelerated program of land releases across the Pilbara to meet demand driven by Western Australian's resources sector," Ms MacTiernan said.
"The EOI program has also sought to attract companies that focus on alternative building techniques, materials and designs suited to the demanding Pilbara climate."
"The Pilbara building industry is under considerable pressure resulting in longer build-times and higher construction costs, so the State Government has taken this proactive approach to meet the demand," Ms MacTiernan said.
