"Anthony Ferraro, founder of Melbourne-based commercial real estate development finance firm Salvest, said developers were already at crunch point, after costs rose by about 40 per cent over the past three years. 

Salvest completed 27 transactions in the past financial year, with an average loan size of $39 million, but only two had commenced construction, he said.

“Everything is becoming more expensive,” he told The Australian Financial Review. “The developer has to wait six years in the hope they get a permit, gets pre-sales, engages the right consultant and builder, hopefully can commence and settle the properties they’ve leased and that the margin is there. But it simply has eroded.

“These changes will not fast-track development, they will do the opposite. And they will not make housing more affordable.” Australian Financial Review