Rozelle Village, the $285-million mixed-use precinct being developed on the former Balmain Leagues Club site in Sydney’s Inner West, will be the first project to benefit from the NSW Government’s Pre-sale Finance Guarantee program, unlocking much-needed housing including affordable homes close to the CBD.

Under the scheme launched in October 2025, the Government may agree to buy, off the plan, up to 50% of homes in approved developments, with support ranging from $5 million to $50 million per project at up to $2 million per home. This pre-sales commitment guaranteed by the program will help developers secure funding from lenders, get their developments off the ground sooner and ensure project viability. The initiative addresses one of the biggest barriers faced by project stakeholders when accessing finance that would allow them to start construction – the need to show sufficient pre-sales of apartments, sometimes even 80-100% before funds are released.

The revolving fund backing the guarantee will support up to $1 billion in pre-sales over the next five years. As projects are delivered and government commitments resolved, funds are expected to be fed back into further developments, sustaining a continuous pipeline of new housing.

“The Pre-sale Finance Guarantee uses the Government’s strong credit standing to help bring to life prime housing developments, including sites like this one in Rozelle that sat dormant for years. It allows more new homes to be delivered faster, creating jobs, and easing housing pressure for families across NSW,” explains Minister for Planning and Public Spaces Paul Scully.

Developed by Perifa in partnership with Mitsubishi Estate Asia, the Rozelle Village development on Victoria Road will deliver 227 apartments including 59 affordable homes as well as retail tenancies, hospitality spaces, community facilities and a publicly accessible plaza intended to revitalise the long-vacant site. The project received State Significant Development approval in May last year under the Infill Affordable Housing pathway, which offers height and floor space bonuses of up to 30% for residential developments subject to 10-15% of total gross floor area being dedicated to affordable housing.

The pre-sale guarantee for Rozelle Village specifically covers 32 affordable dwellings being sold off the plan. By providing this assurance, the State is helping developer Perifa meet the pre-sale requirements needed to secure commercial construction funding. The arrangement also allows the developer time to lock in a Community Housing Provider to purchase and manage the affordable units. If pre-sale targets are not met before the anticipated 2028 completion of the project, the government has committed to purchasing those dwellings.

Backed by the guarantee, Perifa will now be able to commence construction on the derelict site, which has been sitting vacant for more than 15 years, transforming the 7,330-square-metre property into a vibrant precinct while delivering both market and affordable housing in a prime inner-city location at a much faster pace.

“This is exactly what the $1 billion Pre-sale Finance Guarantee was designed to do – move approved projects from paper to construction. By providing a targeted pre-sale guarantee, we’re giving the market the confidence it needs to secure finance and start construction, without the Government having to spend a dollar upfront,” adds Treasurer Daniel Mookhey.

Interest in the program has been strong since its launch with 31 expressions of interest received from developers statewide; roughly a third of these have already been invited to submit detailed applications. Additional pre-sale commitment proposals valued at more than $100 million are currently under assessment. If approved, these developments could help unlock the construction of more than 350 additional homes across metropolitan Sydney and regional areas.

“By removing planning and financial roadblocks, we’re giving developers and lenders certainty, boosting housing supply, and creating vibrant communities where people want to live, which means more people in more new homes quicker,” Scully observes.

Participation in the program is limited to developers and projects that meet strict requirements for credibility, capability, and capacity to deliver.

“As the first developer to be accepted into the NSW Government Pre-Sale Finance Guarantee, we are now able to accelerate construction of these much-needed homes, while working to secure the right Community Housing Provider, ensuring long-term social impact and community benefit,” says Perifa Group Managing Director Fabrizio Perilli. “Strong demand for our development is already evident, with pre-sales for market homes exceeding expectations.”

Renders courtesy Studio.SC

Main image: Rozelle Village is designed by Studio.SC with interiors by SJB and landscaping by Arcadia (Source: https://www.rozellevillage.com.au)

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