Brisbane, Gold Coast may follow the Logan Oma flat rate

“The Council had previously discounted that figure – only asking for 75 per cent – but is now charging the full cost.”

The $22,000 fee applies to self-contained self-contained units, not extensions to existing self-contained units.

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Now two private companies building granny flats said – on condition of anonymity – the move backfired and wreaked havoc in the construction industry.

“The state government has fooled the councils. There used to be two clear lines. A second home for families and double occupancy for those who were investors to rent out to non-families,” said one developer.

“When the house got too small, local councils allowed a second home so you could accommodate your aging parents or your grown children.”

No infrastructure fee was charged for this; However, investors building for rentable properties had to charge an infrastructure fee.

“When the state government opened it all up, it caused chaos because the investors didn’t want to pay infrastructure fees and the municipalities are now missing out on those infrastructure fees,” said another developer.

“And it just messed everything up.”

The reaction comes as Queensland’s Planning Secretary and Deputy Prime Minister Steven Miles on Thursday asked developers and property industry officials why there hadn’t been a pick-up in “granny flat rents” since the relaxations were announced in September 2022.

“The industry said that’s what would happen if we made these changes, but we haven’t seen it yet,” Miles said.

Antonia Mercorella, chief executive of the Real Estate Institute of Queensland, said she was unaware of the moves in Logan.

She said the changes to the granny flat “didn’t affect the rental offer much” and that confusion over tax implications and additional municipal charges “acted as obstacles”.

“What we might see are the granny flats that already exist, that are already being used by adult children who are staying at home, or are being used by elderly parents.”