Criterion 1 – Subset 1 (a-e)

  1. Theproposalinvolves 20ormoredwellings.

AssessmentbyFaHCSIA –benchmark score is10 points.

Does not meet Criterion – 0 / Meets Criterion - 10
Less than 20 dwellings / 20 plus dwellings
  1. Proposalsmustdemonstratetheneedfor theproject(s).Needistobeassessedfor eachindividualproject.TheProposalmust describe howtheneedhasbeenidentified and showhowtheidentifiedneedwillbemet.

For each project within the proposal,identifytheneedfortheprojectandspecifyhowthe dwellingswillmeetthisneed. Answer to Question, your Project Description andDwelling Schedule information will be used to assess this criterion.

AssessmentbyStates/Territories–benchmark score is5 points.

Does not meet Criterion - 0 / Meets Criterion - 5 / Strongly meets Criterion - 10 / Exceeds Criterion -20
Response provided does not adequately address criterion.
or
No response has been provided. / Overall, information provided demonstrates that there is a need for the projects and the proposal reasonably demonstrates how the identified need for the projects within the proposal will be met.
For example:
References State/Territory Government data sources and information in the Application including the Project Description and Dwelling Schedule demonstrates some rationale for projects within the proposal, the need for projects in some of the specific areas, how the dwelling/s and expected tenancy profiles match for all or most of the projects and how the rent structure meets affordability for potential tenants.Provides abrief overall outline of how the proposal meets the needs of low to moderate income tenants
or
Provides data on unmet rental demand, households in rental stress, vacancy rates, etc. which demonstrates there is a demand for affordable housing including information about the dwelling profile and expected tenancy profiles that demonstrate need for all or most of the projects and how they match the proposal;
and
Provides reasonable information to demonstrate that the demand for affordable housing aligns with the proposed dwelling profile;
and
Provides details and demonstrates an affordable rent structure for the expected tenant profiles including how it will meet the affordability needs of potential tenants. / The information provided demonstrates that there is a high need for the projects and the proposal convincingly demonstrates how the identified need for the projects within the proposal will be met.
References State/Territory Government data sources and information in the Application including the Project Description and Dwelling Schedule demonstratesrationale forprojects within the proposal, including the need for projects in some of the specific areas, how the dwelling/s and expected tenancy profiles match for all or most of the projects and how the rent structure meets affordability for potential tenants.Provides abrief strong overall outline of how the proposal meets the needs of low to moderate income tenants
or
Provides data on unmet rental demand, households in rental stress, vacancy rates, etc. which demonstrates there is a strong demand for affordable housing including information about the dwelling profile and expected tenancy profiles that demonstrate need for most of the projects and how they match the proposal;
and
Provides strong information to demonstrate that the demand for affordable housing aligns with the proposed dwelling profile;
and
Provides details and demonstrates an affordable rent structure for the expected tenant profiles including how it will meet the affordability needs of low to moderate income tenants. / The information provided demonstrates that there is a very high need for the projects and the proposal overwhelming exceptionally demonstrates how the identified need for the projects within the proposal will be met.
For example:
References State/Territory Government data sources;
and
Information in the Application including the Project Description and Dwelling Schedule demonstrates strong rationale for projects within the proposal including the urgent need for projects in gold standard of the Livable Housing Design guidelines.the specific areas, how the dwelling/s and expected tenancy profiles match for all or most of the projects and howthe rent structure meets affordability for potential tenants
and
Proposal is targeted to households considered to be in greatest need of affordable housing.
or
Providesdetailed rationale forprojectswithin the proposal, outliningthe broadercontext of theurgentneed for the proposalandprojectsinthe specificareasandhowthishasbeen identified including comprehensiveinformation aboutthedwellingprofile and expected tenancyprofile that demonstratesan urgentneed for the projects;
and
Providesdetailed rationale forhowthe projectswithintheproposal meet affordablehousing needs including comprehensiveand specificinformation or dataabout match with dwelling profile
and
Provides details and demonstrates an affordable rent structure for the expected tenant profiles including how it will meet the affordability needs of low income tenants.

1

  1. Therelevantstateor territorysupportstheproposal.

Stateand Territorygovernmentswill provideadviceon whetheror not theysupport aproposal.

Assessment by State/Territory –benchmark score is5 points.

Does not meet criterion - 0 / May be supported - 5 / Meets criterion and has good support - 10 / Exceeds criterion and has very strong support - 20
State/Territory does not support / Relevant State or Territory advises that the proposal may be supported, subject to prioritisation and incentive and state contribution availability. / Relevant State or Territory advises that the proposal has good support, subject to prioritisation and incentive and state contribution availability. / Relevant State or Territory advises that the proposal is very strongly supported, subject to prioritisation.
  1. TheApplicant has demonstrated thecapacityand experiencetocomplywiththeSchemerequirementsorcapacityto complywiththe Schemerequirementsintothefuture.
  1. Proposed governanceandmanagementarrangementsfor the Applicant in relation to the proposal.

Describe the business structure of your organisation including internal governance and management arrangements as well as howthe proposal willbe governed,the rolesand responsibilitiesofeach entityinvolved intheproposal and theproposed relationship between the Applicant and these entities over the 10 year period. Describe your business model, for example construct and sell, construct and hold or brokerage model and detail the financial flows arising from your proposal and how these will contribute to your organisation. Where applicable, financial statementsfor the last two yearsfor the 3majorstakeholders of the consortium mustbesubmitted with theapplication. If the financial statementsare notaudited,they should have been prepared bya qualifiedaccountantin accordance with Australian AccountingStandards and should also include information on any significant financial matters that have occurred since the preparation of the last financial statements.

For consortia, additional financial statements from other consortium members, particularly residential developers in the consortium, may be requested to assist with assessment of this criteria.

Project Financial Viability Attachment for each project must be submitted.

AssessmentbyFaHCSIA (on advice of technical experts) –benchmark score is3 points.

Does not meet criterion - 0 / Meets criterion - 3 / Exceeds criterion - 5
Response provided does not adequately address criterion.
or
No response has been provided. / Overall, the response describes how the Applicant will govern the proposal and the management arrangements for the Applicant and consortium, including evidence that demonstrates that the Applicant has relevant capacity and experience that indicates an ability to comply or has capacity to acquire or obtain the skills to comply with the Scheme’s requirements into the future.
For example, the Applicant demonstratessatisfactorygovernanceandmanagementarrangements and capacity and experience to deliver dwellings and manage tenancies that will be compliant with Scheme requirements including the Applicant’s:
  • organisational financial statements or audited reports demonstrate adequate liquidity, financing, assets and profitability that support financial viability and are free from any discrepancies including advice on any subsequent significant financial events and any issues relating to financial sustainability now and into the future;
  • complies with its legislative obligations to State and Commonwealth authorities;
  • is not involved in litigation or any form of legal issue which may impact its governance arrangementsdevelops and maintains relationships with relevant organisations in the community, government and/or private sector;
  • captures customer feedback, handles complaints and responds to issues appropriately;
  • has previously been a successful NRAS applicant and delivered on requirements of the Scheme; and/orProposalmanagementplanandriskmanagement planhasbeen provided and the:
  • Proposal Management Plan – outlines the key implementation steps of the project(s) including timelines, milestones and associated deliverables.
  • The Proposal Management Plan and Risk Management Plan includes all phases of the proposal lifecycle including construction, rental and tenancy over the 10 year NRAS period including management of DA approval, finance approval, including any pre-sale targets that need to be met, private finance agreements, ATO private ruling where applicable and NRAS approval advice.
  • Proposal Risk Management Plan – outlines the key risks involved in the implementation of the project(s) and strategies for minimising the risks and directly relates to the proposal management plan.
Where applicable, the proposal’s three major consortia members latest audited financial statements contain an independent, unqualified opinion from the auditor.
  • If an applicant provides the financial statements of parent or other related entities to the applicant then it is necessary for the applicant to outline the arrangements between the related parties (and to provide supporting documentation). If the related entities are providing full financial support then the review of the subsidiary's financial statements would include a review of the related parties financial statements.
/ As per ‘Meets Criterion’ PLUS: Significantly exceeds response in all areas
The Applicant has extensive experience governing the management of NRAS incentives and has complied with the Schemes requirements
or
has complied with similar reporting requirements in other government environments
or
was able to comprehensively demonstrate the capacity to comply with the Schemes requirements into the future.
Applicants can demonstrate certainty of delivery within agreed timeframe.
or
Where applicable, applicants can demonstrate signed contractual arrangements between themselves and stakeholders involved in the development phase and the contractual arrangement between the landowner, developer and applicant outlines obligations, milestones and consequences for non-delivery.
or
Where applicable consortia members responsible for the development of the project provide audited accounts for two financial years which demonstrate financial capacity to undertake development.
  1. TheApplicant has demonstrated thecapacityand experiencetocomplywiththeSchemerequirementsorcapacityto complywiththe Schemerequirementsintothefuture.
  1. Experiencein propertyacquisition and/ordevelopment and/ or in obtaining property and /or development services or capacity to deliver these into the future.

Detail how the Applicant will acquire property and/or developmentfor EACH project within the proposal, theircapacityandexperience or capacity to obtain property acquisition and/or development services in the future.

AssessmentbyFaHCSIA –benchmark score is3 points.

Does not meet criterion - 0 / Meets criterion - 3 / Exceeds criterion - 5
Response provided does not adequately address criterion.
or
No response has been provided. / Overall, response demonstrates that the applicant has experience in property acquisition and development and/or appropriate structures and mechanisms for managing a relationship with property acquisition and/or development services or the capacity to deliver these skills in the future.
Provides information demonstrating the Applicant has relevant capacity and experience to comply with the Scheme now or in the future. For example, the Applicant has provided evidence showing experience in property acquisition and development or experience in acquiring property and/or development skills, actively engages and provides oversight for the timely delivery of NRAS dwellings, including communicating any changes, to ensure compliance with the Scheme’s requirements.
The evidence provided indicates that dwellings will be available in a timely manner and consistent with proposal details and the information is consistent across construction/acquisition timelines set out in the Project Description and Dwelling Schedule, generally accepted construction timelines and the flow of funds set out in the Project Financial Viability Attachment. / As per ‘Meets Criterion’ PLUS: Significantly exceeds response in allareas.
Applicanthasextensive experiencein propertyacquisition and/or development for delivering or demonstrates the capacity to obtain property acquisition/development services that comply;
or
have the capacity to comply with the Scheme’s requirements;
or
was able to comprehensively demonstrate the capacity to comply with the Schemes requirements into the future;
and
Applicant can demonstrate ability to deliver project ahead of schedule.
  1. TheApplicant has demonstrated thecapacityand experiencetocomplywiththeSchemerequirementsorcapacityto complywiththe Schemerequirementsintothefuture.
  1. Experiencein, or the capacity to develop or obtain, propertyandtenancymanagement and proposedprocessesfor tenant selection, tenancy and property management andrent setting.

Detail how the Applicant intends to manage the tenancies and properties within the proposal,their experience and capacity or how the Applicant will acquire or develop property management services requirements and will ensure suitable processes will be implemented for rent setting,tenant selection,tenancy management and propertymanagement that will comply with the Scheme.

Assessmentby FaHCSIA –benchmark score is3 points.

Does not meet criterion - 0 / Meets criterion - 3 / Exceeds criterion - 5
Response provided and/or information held by the State/Territory does not adequately address criterion.
or
No response has been provided. / Overall, response and/or information held by the States demonstrates that the Applicant has experience in, or the capacity to develop or acquire property and tenancy management to deliver the project/s within the proposal and has described the tenancy manager’s process for rent setting, tenant selection, tenancy management and property management that will comply with the Scheme requirements. In particular, the proposal demonstrates an understanding of the tenant eligibility requirements and rent valuation and review mechanisms under the Scheme.
Provides information demonstrating the Applicant has relevant capacity and experience or is able to acquire relevant capacity and experience in property and tenancy management. For example the Applicant:
  • has relevant experience and/or qualifications (e.g. relevant registration or licencing certificate) in property and tenancy management; or
  • will acquire property and tenancy management services at the appropriate scale and/or
  • provides good information on how these will be delivered; and/or
  • intended service provider is registered with an appropriate industry body such as State/Territory authorities.
/ As per ‘Meets Criterion’ PLUS
Significantly exceeds response in all areas.
Applicanthas:
  • extensive experience in tenancy and property management and has delivered compliant dwellings under NRAS;
or
  • previously acquired tenancy management services that have delivered compliant dwellings under NRAS;
or
  • previously met other government reporting requirements in a similar type of program that was compliant with requirements;
or
  • strongly demonstrated the capacity to develop or acquire tenancy and property management’s skills that will deliver compliant dwellings under NRAS.

  1. TheApplicant has demonstrated thecapacityand experiencetocomplywiththeSchemerequirementsorcapacityto complywiththe Schemerequirementsintothefuture.
  1. The Applicant demonstrates that the proposal will meet the Scheme’s reporting requirements

The Applicant demonstrates within the proposal that the Scheme’s reporting requirements will be met including milestones, dwelling information, tenant eligibility and tenancies that are compliant with the Scheme’s requirements.

AssessmentbyFaHCSIA –benchmark score is3 points.

Does not meet criterion - 0 / Meets criterion - 3 / Exceeds criterion - 5
Response provided and/or information held by the State/Territory does not adequately address criterion.
or
No response has been provided. / Overall, response demonstrates that the Applicant has relevant policies and processes and electronic systems in place to support ongoing reporting requirements and will be able to obtain and maintain staff able to meet reporting obligations that will meet the Schemes requirements.
The response demonstrates capacity to comply either through prior experience in NRAS or in another complex government program, or detail provided on systems and staffing strategies shows understanding of requirements and capacity to comply in the future. / As per ‘Meets Criterion’ PLUS: Significantly exceeds response in all areas.
The response comprehensively demonstrates capacity to comply either through prior experience in NRAS or in another complex government program, or detail provided on systems and staffing strategies shows excellent understanding of requirements and capacity to comply in the future.
  1. Theproposal demonstrates complianceor prospective compliancewiththeSchemerequirements,and appears reasonableandviable

Assessment will primarily use information submitted in the Project Financial Viability Attachment.AssessmentbyFaHCSIA (on advice oftechnical expert) –benchmark score is10 points.

Does not meet criterion - 0 / Meets criterion (higher risk) - 10 / Meets criterion (lower risk) - 15 / Exceeds criterion - 20
Response provided does not adequately met the criterion or Financial statements and/or
Project Financial Viability Attachment not supplied or completed.
or
Has not been found to be reasonable and viable / TheApplicationForm,financial statements, project level information and/or Project Financial Viability Attachment identifythat:
Overall, the proposal projects are financially reasonable and viable.
Proposal projects meet technical benchmarks for :
  • Construction Costs/Purchase Price;
  • Funding Arrangements;
  • LVR (Loan to Value Ratio);
  • Market Rent;
  • Rent vs Tenant profile;
  • Income and Cost Growth Rates; and/or
  • Outgoings.

Tax assumptions are reasonable and accurately reflected in the Project Financial Viability Attachment. The proposal identifies capital investment and is dependent on a high rate of pre-sales (>50%) in a market where pre-sales represent a relatively high risk to delivery within timeframe proposed.
The proposal projects have realistic timeframes that meet the specified timing for delivery of dwellings.
The Applicant and/or consortia members have infrastructure and processes in place to manage financial requirements compliant with the Australian Accounting Standards Board (AASB) guidelines, the NRAS legislations and regulations and any other relevant legislation and regulatory requirements.
In the situation whereby the nominated applicant has not been operating for long enough to be required to undertake audited accounts the applicant may provide the financial statements of parent or other related entities of the applicant.
The evidence provided indicates that financing of the proposals projects is consistent with proposal details, across construction/acquisition timelines set out in the Project Description and Dwelling Schedule, generally accepted construction timelines and the flow of funds set out in the Project Financial Viability Attachment. / TheApplicationForm,financial statements, project level information and/or Project Financial Viability Attachment identifythat:
The proposal projects are financially reasonable and viable.
Proposal projects strongly meet technical benchmarks for:
  • Construction Costs/Purchase Price
  • Funding Arrangements;
  • LVR (Loan to Value Ratio);
  • Market Rent;
  • Rent vs Tenant profile;
  • Income and Cost Growth Rates; and/or
  • Outgoings.
Tax assumptions are reasonable and accurately reflected in the Project Financial Viability Attachment.The proposal identifies capital investment is dependent on 50% or less pre-sales in a market where pre-sales represent a relatively low risk to delivery within timeframe proposed.
The proposal projects have realistic timeframes that meet the specified timing for delivery of dwellings.
The Applicant and/or consortia members have infrastructure and strong processes in place to manage financial requirements compliant with the Australian Accounting Standards Board (AASB) guidelines, the NRAS legislations and regulations and any other relevant legislation and regulatory requirements.
In the situation whereby the nominated applicant has not been operating for long enough to be required to undertake audited accounts the applicant may provide the financial statements of parent or other related entities of the applicant.
The evidence provided indicates and strongly supports that financing of the proposals projects is consistent with proposal details, across construction/acquisition timelines set out in the Project Description and Dwelling Schedule, generally accepted construction timelines and the flow of funds set out in the Project Financial Viability Attachment. / As per ‘Meets criterion (lower risk)’ PLUS:
Significantly exceeds response in all areas.
The proposal identifies 100% capital investment.
There is strong evidence of ongoing financial arrangements that will support the delivery of project/s through construction and acquisition to dwelling availability for the duration of the project’s 10 year participation in the Scheme.
Land has been obtained and current development approval has been obtained.
The proposal projects have realistic timeframes that meet an earlier delivery within the specified timing for delivery of dwellings.

Criterion 2 – Subset 2 (a-f)

  1. Theproposalinvolves 100or moredwellings.

AssessmentbyFaHCSIA –benchmark score is5 points.