WA Government awards $49 million to modular and prefabricated housing manufacturers

On May 24, the Western Australian Government awarded $49 million through its Housing Innovation Fund to 15 manufacturers involved in modular construction, prefabrication and factory based housing production. (credit image PIQUE.)

The funding package forms part of the Cook Government’s broader housing strategy and comes amid mounting pressure on housing supply, labour availability and construction timelines across the state.

Under the program, manufacturers adopting modern methods of construction (MMC) will receive grants of up to $5 million, matched by a 50 per cent industry co-contribution. Projects were assessed on their ability to increase housing supply, improve manufacturing efficiency, support regional industry and reduce construction delays.

The announcement further embeds prefabrication and factory-based housing systems into mainstream housing policy in Western Australia, with the state increasingly positioning industrialised construction as part of its long-term response to housing shortages.

Prefabrication and manufacturing capability central to funding program
According to the government, projects funded through the initiative will focus on wall frames, volumetric modules and prefabricated housing components manufactured in controlled factory settings. The approach is intended to reduce weather related delays, ease labour constraints and shorten project delivery times in both metropolitan and regional areas.

Funding allocations ranged from $616,919 for smaller scale manufacturing initiatives through to multiple $5 million grants tied to modular housing facilities, timber frame production and automated prefabrication systems.

Regional manufacturing capability was also a strong focus, with funding directed towards projects in Albany and the Kimberley, alongside investments tied to timber processing, engineered cement products and automated prefabrication systems.

The Housing Innovation Fund sits alongside a separate $48 million state backed investment announced for Built Living and Atlas Precast to establish and expand advanced manufacturing facilities in Neerabup and Kwinana.

The WA Government said overseas examples show large scale prefabrication can reduce apartment delivery costs by around 20 per cent and shorten construction timeframes by up to 50 per cent compared to conventional onsite building methods.

Premier Roger Cook said the funding formed part of the government’s broader “Made in WA” strategy and was aimed at supporting housing delivery while expanding local manufacturing capability.

“We’re supporting innovative and exciting construction methods which will help build more homes throughout WA,” Cook said.

Housing Minister John Carey said the state government had increasingly incorporated modular and alternative construction methods into its social and affordable housing programs.

“This is one of a number of initiatives we are supporting to accelerate housing supply,” Carey said.

The following manufacturers and projects received funding through the WA Government’s Housing Innovation Fund:

The funding continues Western Australia’s increasing use of prefabrication and factory based manufacturing as part of the state’s broader housing supply strategy.