The Tasmanian Government announced on 25 September 2025 that the funding for this program will be reappropriated, to be used for other government initiatives.
The Minister for Housing and Planning has approved new program guidelines, which have been updated to close the program from 3:00pm 3 October 2025.
Existing applications that have been submitted prior to the closing date will have until 5:00PM 17 October 2025 to be completed, after which point they will be ineligible for a grant and will not be able to reapply to the program.
The program is a Tasmanian Government initiative to help boost the availability of affordable residential land and improve housing availability.
Rebates of up to $15,000 per lot are available to developers to help cover the cost of power, NBN, water and sewerage infrastructure. Rebates can be claimed for a maximum of 40 lots per developer.
Payments made under this program are split. Applicants can receive an upfront, 50 per cent payment on signing an agreement and a second payment, once applicants have submitted evidence they have brought rebate lots to market and sold them for an amount under that of an affordable land cap.
More information on how rebate payments are calculated and paid is provided below (refer Program Overview).
Under this iteration of the Residential Land Rebate program; applicants are able to claim up to $15,000 per lot to help cover the cost of power, NBN, water and sewerage infrastructure.
Rebates can be claimed for a maximum of 40 lots per developer.
Specifically, applicants are able to claim:
an upfront 50 per cent payment of their total claim amount of eligible costs. The total claim amount is the total of eligible costs claimed by an applicant at the time of application; and
a second payment calculated on the number of rebate lots sold and at a price under that of the affordable land cap (as defined in the signed grant agreement). Applicants have 18 months from signing an agreement to submit their second payment claim.
The following examples illustrate how a rebate payment is calculated and the split-payment made:
EXAMPLE 1 –
An applicant submits an application under the Residential Land Rebate program for a 40 lot development and has evidence of eligible expenses incurred and paid totalling $600,000.
The development is in the LGA of Dorset (which has an affordable cap of $250,000).
Under the program, the applicant’s total claim amount is calculated at $600,000 ($15,000 per lot x 40 lots).
First payment
For their upfront 50 per cent payment; the applicant is eligible to $300,000. This amount represents 50 per cent of their total claim amount. This payment is made once an application has been approved and an agreement with the Crown signed.
Second payment
Within 18 months of signing their agreement, the developer has sold 30 of the 40 lot development and for a price under that of their affordable land cap. The other 10 lots were sold at an amount above that of their affordable land cap.
To be eligible for the second payment, the applicant must provide evidence that lots they are claiming were brought to market and sold under their affordable land cap.
For their second payment, the applicant submits evidence showing that each of the 30 lots they are claiming were sold for an amount under that of the affordable land cap (in this case, $250,000).
Under this scenario, the applicant is eligible to claim a second payment of $225,000.
The Department calculates the second payment using the following method:
IT = (CL ÷ TRL) × (GA ÷ 2)
IT = (30 ÷ 40) x ($600,000 ÷ 2)
where:
IT means the amount of the second payment.
TRL is the total number of residential lots being claimed at application.
CL is the number of lots sold at a price under that of their affordable land cap.
GA is the total claim amount.
In total, the applicant was able to claim $525,000 ($300,000 + $225,000).
EXAMPLE 2 –
An applicant submits an application under the Residential Land Rebate program for a 40 lot development and has evidence of eligible expenses incurred and paid totalling $400,000.
The development is in the LGA of Sorell (which has an affordable cap of $280,000).
Under the program, the applicant can claim up to $15,000 per lot. The total maximum amount that may be claimed is calculated at $600,000 ($15,000 per lot x 40 lots). However, as the applicant only has evidence to support a total claim amount of eligible costs totalling $400,000; the applicant can only claim $10,000 per lot.
First payment
For their upfront 50 per cent payment; the applicant is eligible to $200,000. This amount represents 50 per cent of their total claim amount. This payment is made once an application has been approved and an agreement with the Crown signed.
Second payment
Within 18 months of signing their agreement, the developer has sold 20 of the 40 lot development and for a price under that of their affordable land cap. The other 20 lots were sold at an amount above that of their affordable land cap or remain unsold.
To be eligible for the second payment, the applicant must provide evidence that lots they are claiming were brought to market and sold under their affordable land cap.
For their second payment, the applicant submits evidence showing that each of the 20 lots they are claiming were sold for an amount under that of the affordable land cap (in this case, $280,000).
Under this scenario, the applicant is eligible to claim a second payment of $100,000.
The Department calculates the second payment using the following method:
IT = (CL ÷ TRL) × (GA ÷ 2)
IT = (20 ÷ 40) x ($400,000 ÷ 2)
where:
IT means the amount of the second payment.
TRL is the total number of residential lots being claimed at application.
CL is the number of lots sold at a price under that of their affordable land cap.
GA is the total claim amount.
In total, the applicant was able to claim $300,000 ($200,000 + $100,000).
Applicants are encouraged to read the eligibility requirements prior to submitting an application.
Applicants must meet all the eligibility criteria to apply for a grant.
Prior to submitting an application under this program, applicants should note that:
applications submitted by a third party will not be accepted without evidence of permission to apply on behalf of the applicant in the application;
you may be asked to provide information or documentation to support your eligibility claims, either as part of the application process, or after you have submitted your application;
the information you provide may be subject to authenticity checks using third party software;
this program has limited funding. If funding is exhausted, not all eligible applications will receive a grant.
Eligibility criteria
Ownership
Applicants must be the owner(s) of the land which is the subject of the application, and their name must be on the title (please note, a contract of sale or any evidence other than a property search through the Land Titles Office will not be accepted as evidence of ownership).
All interested parties (that is all title holders) must be named as applicants.
Applicants that are natural persons must be aged over 18 years.
Eligible developments
‘Lots’ are vacant parcels of land for which there is a single title arising from a subdivision. It does not include strata titles. The maximum number of lots for which a rebate can be claimed is 40.
A rebate may relate to multiple stages and/or developments, but cumulative funding may not exceed the maximum rebate allocation, of $15 000 per lot, for 40 lots.
Each rebate applicant is eligible for one rebate under the program.
Only one rebate will be issued per development approval (i.e., per council permit).
The development approval must not have been used for a prior approved rebate under the current program, or the preceding Residential Land Rebate program.
The development must be on Tasmanian land zoned residential, which is land where residential use is classed as ‘Permitted’ or ‘No Permit Required’.
To receive the second payment, the rebate lots must be brought to market (see definition of ‘bring to market’) in a process that results in the sale of the land for a price that is less than the affordable land cap as determined by the Department. The process and resulting sale must be on commercial terms and at arm’s length from the developer.
Eligible costs
There are three eligible utilities for which the rebate can be claimed:
Tasmania’s electrical distribution network
Telecommunications networks, including the National Broadband Network
Reticulated water and sewerage infrastructure
Applicants will be required to identify the lots which are the subject of the rebate in their application, which will hereafter be referred to as ‘rebate lots’.
‘Eligible costs’ are those costs which have already been incurred and paid in full, and were:
incurred on or after 1 July 2023; and
directly related to design, construction or installation of infrastructure connecting rebate lots to eligible utilities, including, but not limited to, costs levied by TasNetworks, TasWater, and NBN Co; and
connections up to the boundaries of the lots (infrastructure located on the rebate lots cannot be claimed); and
related to at least one, and up to three of the eligible utilities.
Applicants can apply for a total claim amount of up to $15 000 of eligible costs per rebate lot, for a maximum of 40 lots.
Program administration
Developers will be required to apply for their entire rebate for all rebate lots in one application. Once approved, no additional claims can be made.
To be eligible, the applicant must provide all information and evidence reasonably requested by the Department. This includes evidence of a valid planning permit for each development from the appropriate local council/s.
Applications will only be accepted when they are complete and made using the approved form made available by Building Tasmania.
The program closed 3 October 2025.
Building Tasmania may consider the reputation of the applicants, and the conduct of the applicants in relation to any other grant programs managed by the Tasmanian Government, when assessing their eligibility for a grant.
Definitions
Bringing to market: Building Tasmania defines ‘bringing to market’ to mean; advertising vacant land through a medium or process through which it is listed for sale, and more than one person can bid for that land, for a price that implies a level of commerciality (for more information refer Required evidence).
Affordable land cap: The affordable land cap is the amount, set out within the Grant Funding Agreement, over which the sale price of the rebate lot/s must not exceed.
This amount will be determined at the time of application and calculated based upon the region in which the lots are located. The inputs used to calculate the affordable land cap are subject to change by Building Tasmania.
Under the program guidelines, an applicant will only be eligible for their second payment if they can demonstrate that rebate lots have been brought to market and sold for an amount under that of an affordable land cap and within 18 months from the signing of an agreement.
Applicants must provide this evidence within the prescribed timeframe and can only receive the second payment in a single instalment.
What is the affordable land cap for my LGA?
All Tasmanian Local Government Areas (LGA) have been classified into one of four groups:
Greater Hobart Area
Rural
Urban; and
Urban Fringe.
These groups have been created by analysing average median land prices, and other characteristics such as location, and the scope and scale of residential developments commonly delivered in these areas.
Building Tasmania has taken care to classify each LGA to the closest match for the available price data and has considered other characteristics to ensure that each classification is reasonable and achieves the aims of the program.
As the program is designed to support affordable land, some new developments, such as urban infill or other premium locations, will be less likely to achieve the land cap as a result.
How is the affordable land cap applied?
When submitting an application, the affordable land cap will be automatically input. This amount will be determined at the time of application and calculated based upon the region in which the lots are located.
How much is the affordable land cap?
The following table details each LGA, its classification and calculated affordable land cap.
LGA
Classification
Affordable Land Cap ($)
Glenorchy City Council
Greater Hobart
$380,000
Clarence City Council
Greater Hobart
$380,000
Brighton Council
Greater Hobart
$380,000
Kingborough Council
Greater Hobart
$380,000
Hobart City Council
Greater Hobart
$380,000
West Coast Council
Rural
$250,000
Northern Midlands Council
Rural
$250,000
King Island Council
Rural
$250,000
Central Highlands Council
Rural
$250,000
Circular Head Council
Rural
$250,000
Tasman Council
Rural
$250,000
Southern Midlands Council
Rural
$250,000
Flinders Council
Rural
$250,000
Dorset Council
Rural
$250,000
Kentish Council
Rural
$250,000
Break O'day Council
Rural
$250,000
Glamorgan-Spring Bay Council
Rural
$250,000
Burnie City Council
Urban
$310,000
West Tamar Council
Urban
$310,000
Devonport City Council
Urban
$310,000
Launceston City Council
Urban
$310,000
Waratah-Wynyard Council
Urban Fringe
$280,000
Derwent Valley Council
Urban Fringe
$280,000
George Town Council
Urban Fringe
$280,000
Latrobe Council
Urban Fringe
$280,000
Huon Valley Council
Urban Fringe
$280,000
Meander Valley Council
Urban Fringe
$280,000
Sorell Council
Urban Fringe
$280,000
Central Coast Council
Urban Fringe
$280,000
NOTE - the inputs used to calculate the affordable land cap are subject to change by Building Tasmania as new data is released.
The application form will require you to provide certain information along with documentary evidence to support your rebate claim.
It is important that the evidence you provide meets the required standard, otherwise your application will be considered incomplete.
Below is advice on the requirements for:
Planning Permits / Development Applications
Evidence of costs incurred and remittance advice.
Bring lots to market and affordable land cap.
Please note that Building Tasmania reserves the right to require information additional to that shown below – these are minimum requirements only.
Planning Permits (Development Application)
You will need to submit a valid, approved planning permit from your local council for the rebate lots you are claiming. Your permit must show:
The address and/or the location of your subdivision.
The total number of lots permitted.
Council approval for the subdivision, and any conditions.
The date the permit was approved.
The name of the council.
Evidence of costs incurred and remittance advice
When submitting an application, you will need to provide evidence in the form of:
tax invoices detailing all eligible costs for which you are seeking a rebate; and
remittance advice showing that eligible costs being claimed have been paid in full.
This evidence must show:
That the document is intended to be a tax invoice.
The seller’s identity.
The seller’s Australian Business Number (ABN).
The date the invoice was issued.
A description of the works or services undertaken.
The amount charged (itemised and with the relevant items highlighted or otherwise identified for which you are claiming).
That the amount has been paid in full; either on the invoices or separately (such as a bank statement or receipt).
The GST amount.
NOTE - failure to supply this evidence will result in an application being deemed incomplete and will be referred back to the applicant to address.
Bringing lots to market and affordable land cap
An applicant will only be eligible for their second payment if they can demonstrate that rebate lots have been brought to market and sold for an amount under that of an affordable land cap and within 18 months from the signing of an agreement.
Bringing lots to market
Building Tasmania defines ‘bringing to market’ to mean; advertising vacant land through a medium or process through which it is listed for sale, and more than one person can bid for that land, for a price that implies a level of commerciality.
Examples of suitable evidence includes sole agency agreement, online real estate listings or similar.
Affordable land cap
The affordable land cap is the amount, set out within the Grant Funding Agreement, over which the sale price of the rebate lot/s must not exceed.
This amount will be determined at the time of application and calculated based upon the region in which the lots are located. The inputs used to calculate the affordable land cap are subject to change by Building Tasmania.
When submitting a request for second payment, an applicant will need to provide evidence they have sold their rebate lots for an amount under that of their affordable land cap. Specifically, a signed sales contract for the lot showing that it was sold for a purchase price under the affordable land cap for the development, as shown in your grant agreement and at the time of application.
Further information on the calculation of the affordable land cap is available on this website.