The New South Wales Government has opened an Expression of Interest (EOI) inviting businesses to establish or expand manufacturing facilities in the state to produce prefabricated building components and large-scale modular housing, as part of its efforts to increase housing supply through modern construction methods.
Announced by the Minns Government, the Modern Methods of Construction Industry Expansion Program (MMCIEP) seeks proposals from businesses with expertise in advanced manufacturing, prefabrication and modular construction to help expand local manufacturing capability for higher-density housing, including designs from the state’s mid-rise pattern book.
According to the NSW Government, the program is intended to strengthen local manufacturing, build supply chains, create skilled jobs and accelerate the delivery of new homes across the state.
The government said it will consider supporting successful proposals through a range of measures, including financial assistance, the provision of suitable land, agreements to purchase output from facilities for housing and other public infrastructure, and other proposals that demonstrate value for money while supporting a sustainable MMC industry.
The EOI marks the first stage of a two-stage procurement process, with submissions to be assessed on commercial readiness, demonstrated capability and the ability to deliver at scale.
The announcement follows the launch of the Housing Innovation in Construction Fund and the Housing Innovation Network Grants Program, representing almost $4 million in investment to support the local MMC sector, commercialise new technologies and encourage more manufacturers to enter the NSW housing market.
The government is also investing $1.6 million to develop a regulatory framework and certification system for modern methods of construction, formally recognising prefabricated buildings in NSW legislation, integrating MMC into the planning approvals system and reforming procurement processes to support greater uptake of MMC projects.
Minister for Planning and Public Spaces Paul Scully said the EOI was aimed at attracting manufacturers with expertise in industrialised construction.
“This is a call to action for the world’s best manufacturers. If you have the expertise to build faster, smarter and at scale, we want you to help us build homes in NSW,” Scully said.
“Modern methods of construction will help us deliver more high-quality homes while reducing waste, lifting productivity and growing local manufacturing.”
Minister for Housing Rose Jackson said MMC was becoming an increasingly important part of the state’s housing strategy.
“Modern methods of construction are no longer a faraway concept, it’s how this government is transforming housing across the state,” Jackson said.
“Every family deserves a safe and secure home, and this will help us build more homes, sooner, while supporting innovation across the housing sector.”
Minister for Building Anoulack Chanthivong said the reforms were intended to support wider industry adoption of modern construction techniques.
“This isn’t just about building more homes; it’s about building them better, faster and cheaper,” Chanthivong said.
“We’re backing innovation and scaling up modern methods of construction with the reforms and certainty industry has called for.”
Executive Chair of industry body prefabAUS Damien Crough welcomed the initiative, saying government support for manufacturers would help expand production capacity while strengthening Australia’s industrial construction capability.
The EOI closes at 9:00am AEST on 3 August 2026, with applications available through the NSW Government’s tendering portal.
