
The Queensland government will expand a state-owned housing factory in Far North Queensland, aiming to boost home manufacturing to ease the regional housing crisis.
Under the plan, QBuild’s Portsmith manufacturing facility in Cairns will ramp up production by 40 per cent from July 1.
The expansion is designed to fast-track prefab modules to regional and remote areas, including First Nations communities.
The government believes that modern methods of construction such as factory-built homes will help bypass traditional building bottlenecks.
By constructing dwellings offsite and at scale, the state can avoid severe weather disruptions like the tropical wet season, as well as ongoing freight delays and skilled trade shortages.
Once built, the modular homes are trucked into position when local roads are safe and accessible.
Housing and Public Works Minister Sam O’Connor said the Cairns facility would serve as a vital regional hub to support frontline workers and vulnerable families.
“Expanding our manufacturing facility in the Far North helps us overcome the private market’s current limited capacity in this region to deliver factory-built homes,” O’Connor said.
“Being based here in Cairns makes sense because it reduces the transport time to get these modules into the communities where they will become homes for our most vulnerable and our frontline workers like teachers, nurses and police.”
The expansion is also expected to create a significant pipeline for local apprenticeships, shoring up the regional construction workforce.
Since the factory opened in 2024, it has completed 30 modular homes.
The factory boost aligns with broader planning reforms in the state’s north, including the recent approval of the Mount Peter Priority Development Area development scheme and a AU$2.4 billion agreement for local infrastructure.
Minister O’Connor stated that the factory’s expansion would help offset the limited capacity of the local private market.
“Whether it’s expanding housing manufacturing capacity here in Cairns or unlocking tens of thousands of homes in the Mount Peter PDA, our number one priority is to deliver more housing supply across this fast-growing region.”



