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News & Features

Can repurposing vacant buildings solve Australia’s housing crisis?

  • Editor
  • April 20, 2025
Problem & Solution
Australia is facing a severe housing crisis, with rising rents, limited affordable housing, and increasing homelessness. At the same time, many commercial buildings sit vacant, particularly in city centres. These underutilized spaces represent a missed opportunity.
Instead of demolishing and rebuilding, cities can repurpose existing commercial spaces into residential housing. Projects like Make Room in Melbourne demonstrate how vacant buildings can be transformed into affordable housing, reducing waste and lowering carbon emissions.

The Make Room project is a blueprint for how cities can rethink urban spaces. Located in Melbourne’s CBD, the initiative converts an unused commercial building into transitional housing for vulnerable populations. By repurposing existing structures, the project avoids the high environmental cost of demolition and new construction while providing immediate housing solutions.

Urban planning expert Dr. Sarah Williams notes that adaptive reuse is one of the most sustainable approaches to urban development, as it minimizes waste and maximizes existing infrastructure. “We don’t need to build more- we need to use what we already have,” she explains.

A model for other cities

Melbourne’s approach could serve as a template for other Australian cities struggling with housing shortages. Sydney, Brisbane, and Perth all have vacant commercial spaces that could be repurposed into housing, reducing homelessness while supporting sustainability goals.

Associate Professor Philip Oldfield from UNSW’s School of Built Environment highlights the environmental contradiction cities face: “We need to contribute to far fewer emissions, but we need to build far more homes. So there’s this shift towards thinking about when do we need to build, and how can we adaptively reuse existing assets”.

Government incentives and policy shifts could accelerate this trend, encouraging developers to prioritize adaptive reuse over new construction. With the right support, cities can turn empty spaces into thriving communities, proving that sustainability and housing solutions can go hand in hand.

Looking ahead

The success of projects like Make Room highlights the potential of adaptive reuse in tackling Australia’s housing crisis. As cities search for innovative solutions, repurposing vacant buildings could become a key strategy in creating more sustainable and inclusive urban environments.

Reference

https://www.unsw.edu.au/newsroom/news/2023/04/adaptive-reuse–should-we-convert-empty-offices-to-address-housi

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