Residential Activation Fund

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Funding program to support faster infrastructure delivery across Queensland by removing barriers and expediting housing developments to meet the state’s increasing population and growth demands.

What is the Residential Activation Fund?

The Residential Activation Fund (RAF) is a major Queensland Government initiative under the Securing Our Housing Foundations Plan, aimed at accelerating the delivery of critical trunk and essential infrastructure to unlock and fast-track residential housing developments across Queensland. The $2 billion Fund will prioritise projects that remove infrastructure barriers and support the rapid construction of homes to meet the state’s growing population needs.

At least 50% of total funding will be invested in regional, rural and remote areas outside South East Queensland (SEQ). Round 1 of the program allocates $500 million to projects that are ready to commence and deliver residential outcomes in the near term.

The Fund supports both greenfield and infill development sites, with funding provided via two pathways—one for local governments and another for developers and landowners.

Residential Activation Fund level of support

  • Minimum funding amount: Not specified
  • Maximum funding amount: Not specified (however, $500 million is allocated for Round 1)
  • Total fund size: $2 billion over multiple rounds

Co-contribution:

  • Co-contributions are not mandatory but are strongly encouraged and will enhance the competitiveness of applications.
  • Applicants must be able to fully fund all ineligible costs and any cost overruns.
  • A contingency of 30% of total project expenditure must be included in project cost estimates.

Residential Activation Fund important dates

  • Applications Close: 23 May 2025
  • Funding Announcements: From July 2025
  • Register your interest with GrantHelper

Residential Activation Fund objectives

This funding opportunity is designed to:

  1. Prioritise and invest in trunk and essential infrastructure to fast-track new homes to market.
  2. Expedite the delivery of enabling infrastructure projects that support rapid housing supply.
  3. Enable local governments and developers to bring forward planned housing developments currently delayed by lack of infrastructure funding—across SEQ and regional, rural, and remote Queensland.

Projects and expenditure eligible for Residential Activation Fund support

Eligible Projects

  1. Construction of trunk and essential infrastructure (e.g. water, sewerage, power, stormwater, roads) required to support residential housing developments such as:
    • Residential lots
    • Detached and attached dwellings
    • Build-to-rent schemes
    • Retirement living and land lease communities

Projects must:

  • Commence within 12 months and be completed within 3 years of funding agreement
  • Be located in Queensland and include recent costings and detailed designs
  • Be aligned with local government infrastructure plans, capital works programs, or similar strategic planning documents
  • Be for greenfield or infill developments
  • Have Development Approval (excluding preliminary approvals)

Local Governments outside SEQ may also apply for:

  • Detailed design of trunk infrastructure under Specific Infrastructure Planning Projects

Ineligible Expenditures

  • Projects that have already commenced or are completed
  • Routine or ongoing maintenance
  • Infrastructure for non-residential purposes (e.g. community parks, sports facilities)
  • Land purchases
  • Legal and financing expenses
  • Temporary infrastructure (except where necessary to complete the approved works)
  • Costs incurred prior to the project start date
  • Construction of residential dwellings themselves
  • Tendering costs
  • Overhead or administrative costs not directly related to the project
  • Concepts, feasibility studies or business cases

Other Residential Activation Fund important details that you will need to know

Pathway 1 – Local Governments

  • Queensland local governments constituted under the Local Government Act 2009 or City of Brisbane Act 2010

 

Pathway 2 – Developers and Landowners

  • Must be an Australian-registered company with:
    1. A Development Approval (excluding preliminary approvals)
    2. A residential project that necessitates trunk and essential infrastructure

 

Ineligible Applicants

  • Individuals, sole traders, unincorporated entities
  • Entities that are insolvent or under external administration
  • State and Federal Government agencies
  • Utility providers (unless part of a consortium)
  • Economic Development Queensland
  • Chambers of commerce and regional development organisations

 

See the guidelines for full details of organizational requirements.

Applications will be assessed against three main criteria:

1. Project Delivery

  • Readiness to commence (e.g. completed planning, permits, designs)
  • Alignment with council infrastructure and capital works plans
  • Capability, experience, and resources to deliver the project on time and within budget
  • Adequacy of contingency planning and risk management
  • Confirmed funding to complete the entire project and associated housing
  • Evidence of stakeholder and community support

 

2. Addressing Demand

  • Extent and urgency of local housing shortage
  • Expressions of interest from buyers or renters
  • Evidence of population growth or industry demand
  • Demonstrated lack of infrastructure as a barrier to housing delivery
  • Alignment with local housing strategies
  • Ability to deliver construction-ready land and accelerate home building

 

3. Scale of Benefit and Value for Money

  • Number of homes the project will unlock and the speed of delivery
  • Benefit to the wider community or neighbouring LGAs
  • Comparison of development timelines with and without funding
  • Financial co-contributions (weighted favourably during assessment)
  • Affordability of housing outcomes enabled by the infrastructure

 

While percentage weightings are not specified in the guidelines, strong alignment with all three criteria is necessary for competitive applications.

Applicants must:

  • Read and understand the guidelines.
  • Ensure eligibility for the funding. Applicants that do not meet all the eligibility criteria will not be considered.
  • Deliver the project/s as outlined in the application.
  • Provide complete information requirements.

 

Gather and prepare the following documents before starting your application:

  • Infrastructure and housing project scope
  • Council plan alignment documentation
  • Evidence of cost estimates (within the last 12 months for developers, 2 years for councils)
  • DA and conditioned infrastructure documentation
  • Project delivery timeline and milestones
  • Confirmed or proposed co-contribution details
  • Any relevant infrastructure agreements
  • Letters of support from relevant stakeholders and authorities

 

See the guidelines for full details of information requirements.

All applications must be submitted via the Department’s SmartyGrants portal.

Register your interest with GrantHelper to explore your alignment with this grant and how we can assist you to increase your chances of success.

Residential Activation Fund resources

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