Housing is a human right, central to our social, economic and cultural wellbeing. But as populations grow, access to affordable, high-quality housing remains out of reach for many in Australia and around the world.

Today, in Australia, housing is more than a place to live. It’s also social infrastructure, an investment vehicle and a partner in environmental issues. Appreciating housing’s broad roles draws in a wide range of stakeholders, including governments, communities, investors and institutions, often with competing priorities and goals. The result is a housing system that plays many roles and is increasingly complex, fragmented and under pressure.

Every stage of the housing lifecycle is affected – from supply and demand to affordability, design, construction and asset management. To make matters more complex, each state and territory faces its own unique set of constraints. There is no silver bullet, and these challenges cannot be addressed in isolation.

What’s needed now is a systems-level, integrated approach – a pathway that brings together all aspects of the housing system. As an industry, we must work together across three critical areas: policy, which encompasses the levers that shape funding, regulation and incentives; place, which focuses on how we plan and design sustainable, inclusive communities; and product, which relates to how we design, build and deliver homes.

When these elements are aligned, they form a connected pathway capable of supporting resilient, adaptable housing systems – systems that not only meet the demands of today but also serve the needs of future generations.

Policy: how industry and government can partner to shape housing outcomes 

Part of the housing challenge answer lies in policy. Policy shapes what gets designed, built, who can access it and how resilient it is. Policy differs in every country, for example, in Singapore, housing is treated as a public good, with the government directly providing most homes and controlling land to ensure affordability through subsidies and long leases. In the United Kingdom, affordable housing is mandated in new developments, while in Australia we rely heavily on private home ownership to support economic growth, with limited public housing.

But policy cannot be copied and pasted from one place to another. Local context matters. What works in one country, state, territory or city may not suit another. That is why tailored solutions are essential. This is where the housing industry becomes more than a provider, it becomes a partner in shaping what comes next.

It starts with research. Whether looking at how to reuse materials, improve energy performance or retrofit older homes, the industry holds knowledge that can guide better decisions. When this knowledge is shared with government, it can lead to policies that are more informed, more effective and more responsive.

But sharing is just the beginning. Real progress comes from working together, building trust and creating space for new thinking. Policy should not stand still. Just like the housing sector, it must evolve with the times. Across Europe, we are seeing new rules to improve building performance and support circular use of resources. These shifts show what can happen when industry and government work side by side. By watching what is changing globally and pushing for action locally, the industry can help shape stronger, fairer systems.

This is a moment for leadership. Not just in the buildings we design and deliver, but in the frameworks that decide what gets built, where and for who. If the industry steps up, shares what it knows and works to influence change, it can help rewrite the future of housing.

Place: putting people at the heart of housing

Solving housing challenges means more than building homes. It is about creating inclusive, connected communities where people feel they belong.

This begins with long-term planning that reflects regional needs and future growth. Well-considered planning brings together homes and essential services such as schools, healthcare, shops and public transport, making everyday life more convenient and communities more liveable. It leads with services, not lags them after housing has arrived. Aligning housing delivery with regional growth allows development to be better targeted and more manageable. This helps avoid shortages and supports steady, lasting progress. By putting people and place at the centre of planning, we can shape communities that are welcoming, connected and built to endure. Diversity is essential. Providing a mix of housing for young families, older residents and those on modest incomes helps create balanced neighbourhoods where everyone can find a place to call home.

An example of this approach is the Southwark Grounds project in Thebarton, South Australia, where a heritage brewery is being reimagined as a housing-first, mixed-use development. Our masterplan incorporates a variety of housing types, including mid-rise apartments and flexible townhouses, to accommodate diverse living needs. The street layout and building orientation are designed to maximise sunlight, shade, and natural ventilation while enhancing connections to green spaces and the nearby river. The homes are also well-integrated with essential infrastructure such as transport, healthcare, and education facilities.

Project
Thebarton Masterplan
Artist impression of precinct block of buildings surrounded by parklands

 
Another example is Indonesia’s new capital, Nusantara, where developed the Liveable and Lovable framework to guide early planning, design and investment. The framework helps identify projects that can enhance quality of life, foster a sense of belonging and build positive momentum for the city’s development. It also supports improvements to existing proposals to maximise their contribution to liveability and lovability. 

Project
Scoping Study for a Liveable and Lovable Nusantara
Arup co-created the ‘Liveable and Lovable Nusantara’ framework to guide planning, design, and investment decisions for Indonesia’s new capital.
Artist impression of forest with river and walking tracks near a city


Sustainability is a core part of this vision. Designing neighbourhoods that support walking, cycling, access to public transport, green spaces and energy-efficient buildings benefits both people and the environment.

Product: finding new ways to design and construct housing

The final part of the challenge is the type of housing offered in cities. Construction has remained largely unchanged for decades, relying on traditional methods that are often slow, and costly. As cities grow and housing demand rises, this old way of building struggles to keep up. To better meet today’s challenges, we need to explore new approaches that make housing design and delivery more efficient, affordable, quick, and environmentally responsible.

The answer lies in reimagining how homes are designed and constructed. Picture housing made from carefully crafted, standardised parts like pieces of a puzzle that fit perfectly together. This approach, known as modular construction, speeds up building while using materials that last longer and can be reused or recycled, reducing waste and protecting the environment.

For example, for the London 2012 Olympics and Paralympics, a large-scale housing village was developed in a short time frame in an underutilised part of the city. Using repeatable, modular elements, the development was constructed on time and later easily adapted for long-term housing. It remains well-connected and highly occupied today.

What if homes could be built in the same way – faster, smarter and suited to community needs? House makers are beginning to adopt these processes to reduce time and costs. By combining smarter materials, ideas from other industries, and modern technology we can reshape housing to meet the demands of cities today and tomorrow.

Taking the pathway together

Solving housing challenges means understanding the whole and working in partnership. When government, industry and communities collaborate, they bring the insight and resources needed to create real and lasting solutions. 

No single group can solve the challenge alone. Shared knowledge and cross-sector learning from industries can drive innovation and improve delivery. A united voice also strengthens the case for change on issues such as affordability and supply. By planning together, we can build more inclusive and resilient communities.

To learn more about our pathway or how we’re partnering with organisations to create progress, reach out to our team.