A national property developer and real estate investor has taken aim at Muswellbrook Shire Council over prolonged delays to its $50 million Denman Park Estate.
OIA Group is now calling on the NSW Government to intervene to ensure planning and infrastructure frameworks support — rather than block — the delivery of the affordable housing project in the LGA.
The company claimed the venture was being pushed to the brink of commercial unviability due to the lengthy hold-ups.
“It’s been stalled for more than two years,” OIA Group project director James Zhao said.
“That’s not only threatening the much-needed endeavour itself but a pipeline of adjoining developments that depend on its core infrastructure.”
The Denman Park Estate comprises about 200 homes, priced to meet strong demand for lower-cost housing in the Upper Hunter and to provide NDIS-compliant Specialist Disability Accommodation (SDA).
It’s understood the latter component will cater to “Fully Accessible” and “Robust” (mental health) NDIS categories.
It is also the enabling project for nearby approved developments, including an aged-care facility and a separate residential subdivision of up to 400 additional dwellings.
“The delays are exacerbating the Hunter’s housing shortage at the worst possible time,” Mr Zhao said.
“NSW Premier Chris Minns’ comments and determination to provide long-term solutions to low-cost accommodation challenges have been welcomed.
“But, words must translate into action.
“This project is an exemplar of what’s going wrong on the ground.”
Mr Zhao asserted Muswellbrook Shire was seeking infrastructure contributions of nearly 25% of the venture’s total value, including stormwater and road works that primarily service surrounding developments rather than the Denman Park Estate site itself.
“These costs push genuinely affordable projects into dangerous territory,” he said.
“At some point, low-cost housing stops being viable.
“And, when that happens, nothing gets built.”
The project also includes homes earmarked for NDIS-compliant accommodation, addressing a critical shortage of specialist housing in the Hunter and reinforcing its role in supporting lower-income and vulnerable residents.
“Across the low-cost housing and NDIS sectors, there is an enormous bottleneck at council level,” Mr Zhao added.
“Chronic underfunding and archaic regulatory policies are crushing local governments under the weight of the new development pipeline — which is the only real solution to the housing shortage.”
Mr Zhao said the Denman Park Estate was intended as the first step in a long-term investment program to deliver affordable housing and community infrastructure across the Hunter region.
“It’s meant to be a stepping stone,” he explained.
“However, if Denman Park stalls, it sends a chilling signal that low-cost housing simply can’t get off the ground in regional NSW.
“And, without state-level action to modernise outdated policies and properly resource councils, the housing crisis will only worsen.”
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