Gungahlin Residents Priced Out as Rental Crisis Deepens in Canberra

The conversation at Gungahlin Community Centre last Tuesday carried a familiar note of anxiety. Residents gathered to discuss the suburb's transformation, and the message was consistent: their community is becoming unaffordable.

For a decade, Gungahlin has been Canberra's success story. The suburb's population has grown 28 per cent since 2016, with new apartments rising along Hibberson Street and the light rail debate centring on whether stage 2 should reach here. But residents told The Daily Canberra the growth has come at a cost they can no longer sustain.

"A two-bedroom apartment in Gungahlin is now $480 to $520 per week," said one long-time resident who has lived on Gundaroo Drive since 2015. "When I moved here, it was $280. Public servants on mid-grade salaries simply cannot compete with investor demand."

The ACT's rental vacancy rate sits at 0.8 per cent—critically low—while median rents across Canberra have climbed 34 per cent over five years. In outer suburbs like Gungahlin, the pressure is acute. The Australian Taxation Office, one of Canberra's largest employers with offices on London Circuit, employs thousands of staff living in outer suburbs. Many are reassessing whether they can stay.

Local business owners at Gungahlin Marketplace report similar concerns from customers. "We see families who've been here for years suddenly unable to renew leases," said one shopkeeper. "The investors buying up properties aren't interested in long-term community—they're chasing yield."

The growth isn't evenly distributed. Belconnen, traditionally more affordable, is experiencing parallel pressure. Meanwhile, established suburbs like Dickson and Campbell hold cultural institutions—the Canberra Museum and Gallery, Majura Park—that require accessible neighbourhoods nearby.

Community groups have begun advocating for solutions. The Gungahlin Community Council has requested the ACT government consider inclusionary housing requirements for new developments—mandating a percentage of affordable units. Similar models in other Australian cities have shown modest success.

For now, residents wait. The light rail debate continues; the planning authority reviews growth targets; and families make difficult decisions about staying in Canberra. One resident summed it plainly: "This should be a city for the people who serve it, not just those who can outbid each other."

The Daily Canberra contacted the ACT Housing and Suburban Development directorate for comment but did not receive a response by deadline.

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