The decision affects several hundred tenants, who will be relocated to other Housing NSW properties in Sydney and around the state.
Affected tenants are interviewed by a Housing NSW relocation officer and asked which suburbs and areas they would prefer to be located to. Once their needs are recorded, tenants are given two offers of alternative accommodation based on those needs.
As part of the relocation, Housing NSW has introduced a new ‘choice-based’ letting program known as My Property Choice. Housing NSW runs a viewing session similar to a window at a real estate agent office, and tenants are invited to come to a viewing of pictures of available properties. If they are interested in any property they can inspect it and, if it’s suitable, place their details into a draw. At the end of the week a name is drawn and the successful tenant is offered the property. While it is described as a ‘bid’, it is actually an expression of interest and no tenant offers to pay more rent than any other.
My Property Choice is designed to give tenants more flexibility and more choices in where they relocate. If a tenant participates, any bids they place don’t count towards the number of offers they have. It is also designed to encourage tenants to look beyond the inner city area to other areas they may not have considered. The process is voluntary, and under Housing NSW policy a tenant is not able to appeal any aspect of the My Property Choice process.
This is the first time a choice-based letting program has been trialed in the social housing system in NSW. It is based on a UK model that was launched in the mid-2000s, adopted by many councils and housing associations in England and Scotland, with an aim of increasing choice and stability in letting.
Although there is some variation in how the model is used across the UK, its basic operation differs in substantial ways from the Millers Point My Property Choice system. In the UK model, tenants are expressing interest in moving to a particular community or area. In Millers Point, tenants are being asked to consider different options that don’t necessarily reflect their first preferences. In the UK model there is a system of prioritising bids based on length of tenure, previous tenancy history, finances and the need to be rehoused. The available property will be offered to the highest priority bidder, and in most areas only viewed and offered to a prospective tenant if the first has rejected it. In Millers Point all tenants are on even standing, regardless of the length of tenure and of how precisely the property fits their needs, and all view the properties contemporaneously. At the time of the draw, no priority has been established, only that all bidders are eligible for the type and size of property on offer. The process is also considerably more public at Millers Point, with the names being drawn at a public meeting.
While choice-based letting has the potential to increase options for tenants affected by the relocation, it can also create anxiety and stress in a small, tight knit community where all tenants are affected by the same decision.
Redfern Legal Centre, supported by City of Sydney, is providing advice and advocacy for tenants in the Millers Point area affected by relocation.