NSW Government investment supports Modern Methods of Construction through a new Industry Expansion Program to attract, adopt or scale-up advanced manufacturing of built form in NSW.
NSW needs more homes – built faster and at scale.
Demand for housing is growing, but traditional construction has not kept pace. The NSW Government is in investing in Modern Methods of Construction to change that. The Government is embracing construction techniques such as prefabrication, kit-of-parts approaches, and modular construction.
Under the MMC Industry Expansion Program (Program), we will partner with industry to support one or more respondents to establish or expand an Advanced Manufacturing Facility (AMF) and diversify MMC capacity in NSW.
The aim of the Program is to accelerate the adoption of construction technologies, processes and systems that speed up housing delivery, improve efficiency and support the delivery of a reliable and consistent pipeline of high-quality homes for communities across NSW. The Program could also support other Government programs such as the delivery of hospitals and schools.
The successful respondent/s will be supported by the NSW Government to establish, or expand and diversify an AMF to:
- create a reliable stream of quality, prefabricated components to deliver homes faster, and at scale
- increase supply across a diverse range of residential and non-residential built form that meets government and industry needs, with a particular focus on medium and high-density residential product
- reduce the risk of supply chain disruptions and ease cost escalation pressures associated with traditional construction
- improve product quality, reducing human error and defects in the building sector
- improve the operating and sustainability performance of buildings manufactured, and
- deliver economic and community benefits, including the creation of advanced manufacturing capability and jobs in NSW.
Expression of interest
Local and international businesses are invited to participate in the MMC Industry Expansion Program EOI, which is now open.
Key dates
Opens: 2 July 2026
Closes: 9:00 am AEST on Monday 3 August 2026
Resources
To find out more and submit an EOI visit NSW Government MMCIEP Information Memorandum.
For more information on related government initiatives read the Modern Methods of Construction Housing Innovation Facility – Program Streams (PDF, 78 KB).
About the tender process
Interested domestic and international businesses are invited to engage in a two-stage competitive tender process.
The two-stage tender process will be:
Expression of interest
A non-binding process that will require applicants to lodge a submission detailing their suitability to deliver against the project objectives to establish an AMF in NSW, detailing the Government support required to deliver the project.
Request for tender
Shortlisted applicants will be invited to submit binding proposals to establish an AMF in NSW, capable of formal assessment and acceptance by the Government.
Submit an enquiry
Complete this form if you have an enquiry or to register for an industry briefing.
Frequently asked questions
NSW needs more homes – built faster and at scale.
Our State is the nation’s most populated with over 8 million residents, and is projected to reach more than 10 million in the next 15 years. As a result, there is increasing demand for housing supply to support the state’s growth. To date, the construction sector has not kept pace. The Modern Methods of Construction Industry Expansion Program will help industry build homes faster and:
- reduce reliance on interstate and overseas materials and components
- strengthen local supply chains, and
- progressively lower construction costs over time.
This investment complements the Government’s broader housing agenda, including planning reforms and initiatives such as the establishment of the Housing Delivery Authority, the low and mid-rise pattern book, and the Property Audit program, to unlock surplus and underutilised government-owned land and accelerate housing delivery across the state.
Yes, the Modern Methods of Construction Industry Expansion Program forms part of the Modern Methods of Construction Innovation facility. The MMC Innovation Facility encompasses NSW Government investment into housing innovation, and includes:
- the Housing Innovation in Construction Fund (delivered by Investment NSW)
- the Housing Innovation Network Grants Program (delivered by Investment NSW), and
- the Modern Methods of Construction Industry Expansion Program (delivered by the Department of Planning, Housing and Infrastructure).
The location and scale of facilities will depend on proposals received through the tender process.
Proponents will be required to demonstrate whether they will establish a new facility, or facilities, or expand and diversify existing ones to meet the Program’s objectives.
As part of the tender process, respondents will be invited to propose the range of build capabilities and capacities they can deliver.
A key focus will be the ability to deliver components for medium-density homes, which could leverage the NSW Government Pattern Book designs – creating a faster, more consistent pathway to get houses built. Successful respondents could also supply materials for other built forms, including other housing typologies, schools and hospitals, as examples.
The NSW Government has delivered a landmark reform under the Building (Approvals and Practitioners) Bill 2026, establishing a comprehensive regulatory framework for prefabricated construction, making NSW the first jurisdiction in Australia to formally recognise MMC in legislation.
The Bill aims to drive industry and consumer confidence in adopting prefabricated buildings, with the MMC Innovation Facility demonstrating the high quality that can be achieved in manufacturing prefabricated and modular components.
The tender is open to experienced domestic and international advanced manufacturers working in Modern Methods of Construction, and experienced builders and developers planning to expand their operations to include Modern Methods of Construction, that can meet the Program’s objectives.
In assessing submissions, the Government will consider the commercial readiness of the respondents, previous success using Modern Methods of Construction technology in the building sector or ambition to develop Modern Methods of Construction technologies, capacity to deliver at scale, as well as industry reputation and demonstrated credibility.
As part of the tender process, the respondent must clearly identify and justify the Government support required to establish, or expand and diversify an Advanced Manufacturing Facility in NSW.
Indicative forms of Government support may include:
- financial grants
- equity investment
- concessional loans
- in-kind support (training, industry development, etc.)
- government-owned land subject to concessional tenure arrangements.
These forms of support are examples only, and do not prohibit alternative support models being proposed.
The Program is targeting five Modern Methods of Construction categories aligned to off-site and near site pre-manufacturing:
- 3D primary structural systems
- 2D primary structural systems
- non-systemised structural components
- additive manufacturing (structural and non-structural)
- non-structural assemblies and sub-assemblies.