NSW Housing Innovation in Construction Fund 2026–27

Funding Pool: $2 million available in 2026–27
Grants of $20,000 to $150,000 (excluding GST)
Applicants must contribute at least 50% of total project costs
Applications close: 31 March 2027 or earlier if funds run out

The Housing Innovation in Construction Fund supports manufacturers using Modern Methods of Construction (MMC), such as prefabricated, volumetric or panelised systems, to deliver mid-rise and high-rise housing in NSW.

Engineering feasibility studies are an important but costly first step for manufacturers looking to enter the NSW market, and can be a barrier for local and international companies. The fund helps experienced manufacturers pay for external experts to check whether their existing designs meet Australian and NSW building standards for apartment-style (Class 2 and 3) buildings.

The program is open to both domestic and international manufacturers and is run by Investment NSW within the Premier's Department. It supports the Housing Mission in the NSW Industry Policy.

Key Requirements

Business requirements

Have a turnover of at least $2.5 million in each of the last three financial years
Have delivered industrialised construction solutions for the last three financial years, with a portfolio of completed work
Be a registered company with an ABN, or the equivalent registration overseas. International applicants must register an Australian company and get an ABN if successful
Be GST registered, solvent, appropriately insured, and hold any required industry accreditation
Have a clear plan for the feasibility study, covering scope, budget, method, resources and milestones

MMC capability
Applicants must be one of the following:

An Australian detached or semi-detached housing (Class 1) MMC provider expanding into mid-rise and high-rise housing (Class 2)
An international manufacturer of Class 2-equivalent buildings looking to enter NSW
A manufacturer developing an MMC offering for Class 2 buildings

Applicants must also meet at least one further criterion, such as an existing manufacturing facility, proven MMC capability, an established Class 2/3 construction business, a residential construction track record, or a track record of scaling production.

Project requirements

Be a feasibility study or review that checks existing designs, products or processes against NSW building regulations and the National Construction Code (NCC)
Use Australian engineering providers accredited by Engineers Australia or a specialist association, with practitioners registered under the NSW Design and Building Practitioners Scheme
Directly support setting up or expanding MMC capability for mid-rise or high-rise housing in NSW

Full eligibility criteria and expenditure rules are set out in the Housing Innovation in Construction Fund guidelines.

What is eligible for funding?

Funding supports feasibility studies and reviews, including:

Engineering design reviews and gap analysis against NSW regulations and the NCC
Identifying the work needed to close compliance gaps
Developing engineering or design solutions covering areas such as fire safety, acoustics, structure, accessibility, hydraulics and electrical systems

Eligible costs include:

Accredited engineers and professional consultants
Compliance assessments, testing, certification and verification
Design changes needed to meet Class 2/3 requirements
Legal or regulatory advice directly supporting compliance
Project-specific design, modelling and simulation software
Product testing and lab validation
Wages for staff working directly on the project, up to 25% of total project costs

What companies are eligible for funding?

Established domestic and international businesses with a proven commercial track record in MMC, manufacturing or construction.

Start-ups that haven’t commercialised in construction, businesses without construction manufacturing experience, tax-exempt businesses, government bodies, individuals, and businesses already receiving NSW Government funding for the same project can’t apply.

Is this grant competitive or entitlement based?

Competitive. Your application will be assessed among other applications by a judging panel.

How can I increase my chances of winning this grant?

By engaging a professional government grant writer consultant. Avant Group is Australia’s largest independent grants advisory firm. Find out more about our government grant writing and consulting service here.

How can I get help understanding if I’m eligible for this grant? Or know if I’m likely to win funding?

Avant Group offers a no-obligation assessment of your eligibility for funding and will assess your likelihood of a successful grant application.

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