Kangaroo Island is set to benefit from a critical boost in housing for essential workers, with the state government’s Regional Key Worker Housing Scheme (RKWHS) extended to include Kingscote.
Five homes will be built in the heart of the island’s largest town after Renewal SA’s Office for Regional Housing secured funding to expand the scheme.
Once complete, the homes will be leased through Government Employee Housing (GEH) for 10 years, providing modern, low-maintenance and affordable accommodation for healthcare professionals, educators and law enforcement officers.
Matt Hunt, Director of the Office for Regional Housing, said increasing housing on Kangaroo Island had been a key priority since the office was established in 2023.
“There’s very limited availability of rental properties on Kangaroo Island that suit the lifestyle of essential workers, particularly due to congestion in short-stay accommodation driven by a large tourism market,” Mr Hunt said.
“The island’s remote location, limited construction capacity and high costs of materials and freight make delivery of new homes challenging, but certainly not impossible.”
Mr Hunt said demand for housing would continue to grow, particularly with the island’s expanding agriculture and tourism sectors.
“Kangaroo Island is attracting growing attention and homes that support jobs across all sectors will be needed,” he said.
“Population projections show a 30 per cent increase over the next 30 years, and a thriving tourism economy brings around 200,000 visitors annually. Demand is only set to increase.”
Renewal SA acquired the land from a private owner in 2024 as part of its efforts to identify strategically located sites with existing services suitable for expanding the RKWHS.
“These homes will be right in the centre of town, within walking distance of the main school and healthcare facility,” Mr Hunt said.
Early work is already underway to finalise subdivision of the land, paving the way for civil works and construction to begin.
“Whenever we engage in regional projects like this, we work to support local businesses and local jobs wherever we can,” Mr Hunt said.
“I’m confident early civil works can be undertaken by a Kangaroo Island business, but construction of five homes simultaneously may need to be delivered by, or in partnership with, a mainland company.”
Since launching the RKWHS 30-home pilot program in 2023, the Office for Regional Housing has delivered a significant boost to key worker housing across regional South Australia.
Construction began in early 2024 on homes supporting teachers, healthcare and SAPOL workers.
Twenty-four homes are now complete and occupied in Port Augusta, Mount Gambier, Kadina, Renmark and Moonta Bay, with another six in Ceduna due for handover later this year.
Mr Hunt said the program was making a real difference in regional communities.
“I don’t think of it as just delivering houses,” he said.
“We’re delivering the places where people teaching our children can unwind, and where those protecting our health and neighbourhoods can rest.
“These are meaningful contributions to communities.”
Building on the early success of the pilot, the scheme was extended in late 2024 to deliver five homes in Bordertown through a cross-government collaboration with Tatiara District Council.
“We’re just getting started,” Mr Hunt added.
The Office for Regional Housing is actively working in partnership with councils, community housing providers and the private sector through a range of programs. These efforts aim to identify and deliver further opportunities for regional housing development, including an expanded rollout of key worker housing.