2022-11-14 GC Agenda - Item 4 - Attachment 1 - Short Term Accommodation Monitoring Report 2022

Despite the economic downturn resulting from COVID 19 and impacts on the tourism and
hospitality sectors in particular, the tourism economy is bouncing back relatively well, with
visitor spend the highest since March 2020.
Despite this upturn, businesses in these industries are reporting labour shortages affecting the
ability to operate, some restaurants and cafes reducing their hours. Many are citing housing
availability and housing affordability as one of the key issues.
The Value of Tourism Report in 2019 indicated 55% of businesses commented on issues
around staff and housing supply and affordability, particularly relative to low wages.
Whilst employment numbers are down still from March 2020 they have continued to increase,
but will be affected by the availability of suitable affordable housing for workers.


4.3 COVID 19
Noosa Plan 2020 commenced at the height of COVID 19 and its entire two years of operation
and monitoring of its provisions around short term accommodation, have been within the
effects of a COVID 19 environment, the impacts of which must be considered in this monitoring
report.
The impacts of COVID 19, particularly the closure of international and state borders and
lockdowns had wide reaching implications for Noosa Shire, significantly impacting the tourism
industry, tourism operators, tourist accommodation providers and hospitality (and associated
support industries) being the hardest hit.
Tourist accommodation, including short term accommodation, were directly affected by the
lack of visitors to Noosa. Some short term accommodation responded by making the dwelling
available to the private rental market, temporarily increasing housing supply, which was quickly
taken up, but likely moved back into the short term market when visitors returned.
The housing market was also impacted with unprecedented demand for housing in Noosa
Shire, spurred by interstate buyers investing or relocating to Noosa and returning expats.
There were record relocations from Sydney and Victoria to regions, particularly Queensland
and Noosa, increasing demand for housing. Properties were sold at record prices, many sight
unseen. Despite the initial availability of rental properties from the short term letting pool, the
rental market was at its lowest vacancy rate and rental prices increased significantly as a
response to a lack of supply and increased housing prices.
The ability to work from home resulting from lockdowns saw shifts in the labour market, with
certain occupations being able to work from anywhere


4.4 Community well being
The Noosa resident community have been very clear on the impacts of short term
accommodation on their residential amenity and lifestyle, housing supply and housing
affordability. Their views have been expressed through the public notification of 2 drafts of
Noosa Plan 2020, 2 drafts of the short stay letting and home hosted accommodation local law,
Noosa Housing Strategy 2022, the 2021 Livability Survey and the Customer Satisfaction
Survey 2021.
Whilst Noosa Council has responded to the residential amenity issue with the introduction of
a new local law and some housing supply issues by restricting further short term
accommodation in the Low Density Residential zone, the community views would suggest
more is required.




                                                                                           pg. 129
Noosa Council Monitoring Report 2022/23