The first social housing project on council-owned land in Hobsons Bay is under way at the former Laverton Primary School site.
The council has been awarded a $140,000 Social Housing Investment Planning (SHIP) grant from the state government, which will kickstart an affordable housing project.
The council bought the 1.4-hectare Epsom Street site for $2.86million in 2014.
According to a council report, 10,000 square metres would be required for a neighbourhood park, leaving 4450 square metres that could be used for affordable housing.
Mayor Angela Altair said the Epsom Street project would improve social housing availability for eligible residents.
“Three years ago almost 10 per cent of Hobsons Bay households were in housing stress, meaning 30 per cent of household income went towards housing costs,” she said.
“Since then, house prices and rents have continued to rise while the stock of affordable housing in Hobsons Bay has diminished, resulting in limited choice for those on low incomes and the real possibility of their not being able to afford to live in the municipality.”
There were 331 homeless people in Hobsons Bay on census night 2016, up from 215 in 2011.
Cr Altair said the money would go towards a feasibility study into housing on the site.
“Over the next 12 months, council will engage experts to further investigate how best to deliver this project for the benefit of our community,” she said.
Hobsons Bay was among 15 councils statewide to share $2.5million in SHIP grants announced last week.
