Australia’s tax overhaul shifts capital to new builds

• The federal government has secured the passage of its first budget tax reform tranche by forming a Senate alliance with the Australian Greens.
• The structural compromise removes a 50% capital gains tax discount, introduces cost base indexation, and applies a 30% minimum capital gains tax from July 1, 2027.
• A strict ban on self-managed super funds borrowing for residential property shifts structural momentum towards major commercial builders of new housing supply.

The sudden legislative resolution on June 23, 2026, removes a period of deep policy uncertainty for the domestic property market.

By conceding to minor-party demands, the government will restrict negative gearing benefits exclusively to new residential builds while implementing sweeping updates to capital gains accounting.

For retail investors and corporate developers alike, the landscape has fundamentally flipped.

Capital is being forced away from established second-hand dwellings and directly into the construction pipelines of major residential developments.

Here are five listed entities steering through this profound regulatory shift.

Stockland (ASX:SGP)

As one of the largest diversified property groups in Australia, Stockland (ASX:SGP) maintains a substantial operational footprint in masterplanned residential communities.

The company reported a 3Q26 operational update highlighting stable medium-density housing growth across regional corridors.

Because the new policy structure actively preserves tax incentives for brand-new builds, the firm's greenfield landbanks position it to absorb displaced investor capital.

Mirvac Group (ASX:MGR)

Mirvac Group (ASX:MGR) is heavily exposed to urban apartment developments and is an early pioneer in the domestic build-to-rent sector.

The corporate strategy relies on developing entire multi-unit complexes designed for long-term rental income rather than immediate individual sales.

Since build-to-rent projects maintain specific exemptions under the new legislative framework, the corporate model gains a distinct structural advantage over traditional private landlords.

The company projects that its active multi-billion-dollar development pipeline will experience heightened institutional demand as private individual buyers face stricter financing caps.

Lendlease Group (ASX:LLC)

Operating as a global real estate and construction player, Lendlease Group (ASX:LLC) has recently restructured its business to focus primarily on high-density Australian urban regeneration.

The group is delivering large-scale masterplanned precincts that fall directly under the government's approved "new supply" umbrella.

In its latest financial market statements, the company highlighted an aggressive cost-reduction strategy designed to offset domestic margin pressures.

Cedar Woods Properties (ASX:CWP)

Cedar Woods Properties (ASX:CWP) operates as a pure-play residential land and built-form developer with projects across Western Australia, Victoria, and Queensland.

The company recorded a minor share price lift to $6.90 following its recent market updates.

Unlike diversified trusts, its revenue relies entirely on purchasing raw land, subdividing it, and selling brand-new townhouses and lots.

Because the legislation isolates established homes from negative gearing, the company expects its suburban masterplanned communities to experience an influx of retail property buyers seeking tax-effective allocations.

Dexus (ASX:DXS)

While traditionally recognised as an office and industrial powerhouse, Dexus (ASX:DXS) has steadily expanded its residential fund footprints and wholesale development platform.

In its March 2026 quarter market update, the group recorded strong industrial occupancy at 96.9% but admitted that fluctuating economic conditions could slow broader property fund inflows.

The company is actively positioning its wholesale property funds to capture alternative real estate assets. Management projects that institutional capital will rapidly pivot into commercial-scale housing funds as private syndicates wind down their self-managed super fund operations.

The bottom line

The legislative compromise marks a historic turning point where the tax code explicitly dictates consumer housing choices.

By carving out structural protections for new residential constructions and institutional build-to-rent platforms, the government has created an operational moat for large-scale corporate developers.

While secondary market transactions and boutique self-managed super fund syndicates face strict headwinds, these five listed entities are insulated by their corporate structures and heavy investment in active, brand-new housing pipelines.