A NSW Government website

Modern Methods of Construction

Modern Methods of Construction frequently asked questions

Housing using Modern Methods of Construction

1. What is Modern Methods of Construction?

Modern Methods of Construction (MMC) refers to the wide variety of construction methods. For example, off-site construction techniques and more technologically driven processes, rather than traditional onsite construction.  MMC covers various diverse aspects of construction including prefabrication, off-site manufacturing, and modular or volumetric dwellings, as well as new technologies such as 3D printing, robotics, and artificial intelligence (AI).

This is not a singular approach, rather a collection of ‘Methods’ to plan, design, and build within the constantly evolving workforce, supply chain and advanced technological landscape.

2. Are these temporary homes?

The MMC homes delivered by Homes NSW will be permanent homes, well designed and built to meet the National Construction Code (2023).

3. How many homes will Homes NSW be delivering using Modern Methods of Construction?

We are aiming to deliver approximately 20 homes as part of the demonstration projects by 2025.

We are developing our approach to ensure the most suitable and appropriate integration of MMC into our projects. We anticipate an increased adoption of MMC into how we deliver homes over the coming years.

4. What type of MMC products we will not deliver?

Homes NSW is delivering quality permanent homes that are compliant with the National Construction Code (2023).

The MMC demonstration projects will not include any form of temporary or short-term solution products such as tiny homes on wheels or caravans.

5. I am a builder/developer interested in working with Homes NSW, how can I be involved?

The ongoing successful delivery of good homes in NSW requires the support of the whole housing, construction, and supply chain sectors. If you are interested in getting involved, please visit buy.nsw.gov.au

6. I am a Modern Methods of Construction supplier, how can I be involved?

Interested suppliers can submit a Capability Statement which provides some background information of the organisation, products, and experience.

All enquiries can be submitted via our online enquiry form.

Planning, design, and construction

7. How will you ensure that these are good quality homes?

All homes delivered by Homes NSW are required to comply with the National Construction Code (NCC) and Homes NSW specific design requirements – Good design for social housing. We are working closely with the Government Architect of NSW and the NSW Building Commission to ensure homes reflect the best practice approaches to design and building regulations.

8. Will they be climate friendly?

Yes, all our demonstration homes are permanent dwellings that will need to comply with the National Construction Code (including 7 Star NatHERS rating) and the Building Sustainability Index (BASIX).

Home designs will integrate contemporary passive design to ensure tenant comfort, reduce ongoing operational costs, improve environmental performance, and move towards delivery of net zero ready homes.

Taskforce and industry working groups

9. What is the Taskforce?

The MMC Taskforce was established to ensure that our journey of adopting MMC in social housing is informed and enhanced through engagement and partnership with industry experts, community, and tenants’ representatives as well as other government agencies. The taskforce will guide Homes NSW in the strategy, planning, design, and delivery of MMC housing.

The taskforce will also establish industry working groups to tackle challenges and opportunities related to enhancing and broadening the adoption of MMC homes.

These working groups will enable representatives from industry to engage alongside peak bodies, to inform the taskforce.

For more information, visit the taskforce webpage.

10. How do I get involved?

If you are interested in contributing to the taskforce industry working groups, you can submit your interest by emailing homesnsw-hp-mmc@homes.nsw.gov.au

Procurement and supplying to Government

11. Why did we create a new procurement list?

SCM5862 Modern Methods of Construction Procurement List seeks to expand beyond traditional construction approaches into new and modern methods of construction. This scheme seeks suppliers delivering one or more of:

  • Pre-manufactured 3D primary structural systems
  • Pre-manufactured 2D primary structural systems
  • Pre-manufactured components (non-systemised primary structure)
  • Additive manufacturing
  • Pre-manufactured - non-structural assemblies and sub-assemblies

By creating this new procurement list, suppliers undertaking different MMC methodologies will be able to supply modern methods of construction for NSW Government projects. For example:

  • MMC suppliers can manufacture parts of, or the entire home
  • Prequalified builders will be engaged for the site works
  • Future tenders will either use a two-contract model per site (one for the home, one for the site works), or engage an MMC supplier or prequalified builder to manage both home manufacture and site works.

The benefit of having separate contracts for home manufacture and site works allows greater focus on the supplier’s particular capabilities.

This approach increases speed of delivery and ensures greater quality.

12. How long is this procurement list open for?

The procurement list is open for 3 years until 1 May 2027. Suppliers can apply at any time during this period.

13. I am already prequalified on another whole of government construction procurement scheme. Will I need to apply again for the new procurement list?

Yes, you will need to apply again as this procurement list is designed specifically for suppliers and manufacturers of MMC.

Homes NSW will use this list to select potential suppliers for its MMC opportunities.

14. What is the expected pipeline of projects?

Currently, the MMC demonstration projects aim to deliver a number of social homes, across small homes/secondary dwellings and medium-density projects.

However, Homes NSW has a unique opportunity to scale up its housing delivery as we continue to develop our forward pipeline of sites redevelopment over the next few years.

15. I am a supplier interested in working with Homes NSW, how can I be involved?

If you are interested in getting involved, please visit buy.nsw.gov.au

You can find all open opportunities advertised on the Buy NSW Opportunities Hub. These include requests for tender and procurement list applications.

Application requirements for SCM5862 are detailed in the Applicant Guidelines and Conditions for Participation on the registration page.

16. Where do I find more information about the procurement list?

For more information go to Buy NSW where you will find Applicant Guidelines.

Additional information from our market briefing session held on 30 May 2024 is available through the session recording and in the participant Q&A sheet (PDF,  159 KB).

If you have any more questions, email HomesnSW-HP-MMC@homes.nsw.gov.au