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WA commits $49M to support prefabricated housing and local manufacturing

27 May, 2026



The Western Australian government is investing AU$49 million in 15 local housing manufacturers, aiming to boost the state’s residential construction industry through prefabrication and advanced manufacturing.

Distributed via the state’s Housing Innovation Fund, the funding will support the adoption of modern methods of construction (MMC), such as volumetric modules, prefabricated wall frames, and automated building components, to build homes faster and offset chronic labour shortages.

The individual grants of up to AU$5 million will require a 50 per cent co-contribution from successful grant recipients.

The initiative targets bottlenecks in both the Perth metropolitan area and regional WA, where the logistics of traditional building can stretch timelines out by months.

Among the recipients is the 100 per cent Indigenous-owned Kimberley Manufacturing Pty Ltd, which secured AU$5 million to establish a modular housing workshop in the state’s north.

Premier Roger Cook said: “Our priority is ensuring every Western Australian has a home.

“Our most recent Budget includes a range of measures to help get more renters, first-time buyers, and regional frontline service workers into housing, as well as support for innovative and exciting construction methods which will help build more homes throughout WA.”

Government modelling suggests large-scale prefabrication can deliver apartments roughly 20 per cent cheaper and up to 50 per cent faster than conventional on-site brick-and-mortar builds.

Treasurer Rita Saffioti emphasised that accelerating supply was the ultimate objective.

“Supply, supply, supply. That’s the housing challenge at the moment, and that’s what this investment in new methods of construction is all about,” Saffioti said.

Housing and Works Minister John Carey said: “We have embraced modular and alternative construction methods in our social and affordable housing program and are continuing to look at ways to grow the sector.”

The AU$49 million announcement forms part of a record AU$4.7 billion housing package delivered in the latest State Budget.

The fund complements a separate AU$48 million allocation designed to help companies Built Living and Atlas Precast build advanced manufacturing hubs in Neerabup and Kwinana.

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