Cyclone Zelia has forced the closure of Grace branches in Port Hedland, Tom Price and Karratha until further notice. Road and rail services into Nth Qld are beginning to reopen but remain closed north of Mackay. Grace branches in Cairns and Townsville are operating with limited services as a result of these closures. Updated 12pm, 15 Feb 2025

An innovative staff accommodation solution to address the rental crisis

aerial view of 38 Rawene Avenue, Westmere, Auckland

It’s common knowledge Australia is currently experiencing a rental crisis. We have a perfect storm of conditions on our shores – a serious shortage of rental properties, an exploding demand for them, plus an imminent return of an exodus of overseas skilled workers (the majority of whom are renters!).

If you’re looking for staff accommodation in this environment, particularly in Australian mining and resource extraction locations, it’s tough to say the least. But there is an innovative option available when it comes to staff relocation and staff housing, one that can significantly ease the burden on you and your company.

Let’s first delve a little deeper into the challenges, and then look at the possible solution.

Soaring rental demand

Many of Australia’s mining and resource extraction towns like Karratha, Port Hedland and Gladstone have undergone intense boom-bust cycles. This is directly linked to the demand for (and price of) resources on the market, both of which are highly volatile. The instability impacts housing availability and rental prices, which in turn poses problems for global mobility experts such as yourself in housing your resource workers. 

As an example, Domain data reveals Port Hedland’s rents rose by 23.5% between December 2019 and December 2020, with Karratha’s jumping by 16.7% in the same period. Right now, many of these resource-rich towns’ weekly rents far outstrip the averages of their capital city counterparts. 

These recent statistics from SQM Australia, a leading property investment research company, clearly show the tightness of the current rental market:

An innovative staff accommodation solution to address the rental crisis
An innovative staff accommodation solution to address the rental crisis

Overseas staff face additional rental hurdles

 

Working in the global mobility field, you likely know the rental crunch is only one barrier to sourcing the right staff accommodation.

 

In the face of high competition for rental housing, your overseas staff have additional difficulties that local candidates don’t. They have no rental history, no personal Australian references, and a limited understanding of how the real estate rental market works. These merge to impact their ability to tailor their application to make it as attractive as possible.

 

Corporate lease solution

The rental crisis climate, combined with the distinct disadvantages your overseas staff have over local candidates, means you’re likely in a tough spot when it comes to sourcing quality staff accommodation.

 

As quality accommodation is a key recruitment and retention tool for top mining and other resource extraction talent, it’s certainly something you want to get right. It gives you a real competitive advantage.

This is where Grace’s company lease service is of great benefit. A solution designed specifically for our corporate clients (many of whom have overseas staff relocating to Australian mining and resource extraction towns), it gives you the opportunity to offer your staff the option of signing a corporate lease, rather than a personal one.

Some key advantages of a corporate lease:

1. Real estate agents preference your applicants over others as they like the ‘weight’ a corporate lease offers (virtually guaranteed rent, strong company reputation, and a high likelihood of a long-term lease with multiple staff moving in and out of the same property)

2. No personal references required

 3. Scope to add beneficial lease clauses as landlords are more flexible with a corporate lease

Our corporate lease program is also designed to be ‘full-service’, shifting the significant stress of handling and overseeing staff relocation and accommodation management to our shoulders.

 

You’ll get a dedicated Grace Property Manager who’ll directly liaise with the real estate agencies to negotiate and review leases; manage bond and rental payments and maintenance requests; and clean properties between tenants. 

 

As for those extremely limited rentals in places like Karratha, Port Hedland and Gladstone, we also have access to properties before they hit the market.

 

Let us know if we can support you and your staff

We know how important it is for your employees to settle into their new locations and homes quickly so they can focus on their work. We hope this information has given you a great alternative for sourcing staff accommodation in this current climate, and look forward to hearing from you if you’d like to know more about our Grace Corporate Leases.

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