The government have finally announced they’ll build some more houses in Auckland. They say 34,000 will be built over a decade on government owned land but that number also includes 8,300 old houses that will be demolished and thousands more that were already announced or underway, such as at Hobsonville, Northcote and Tamaki.
The Government today has announced a Crown land and building programme that will see tens of thousands of new houses built in Auckland over the next decade.
Social Housing Minister Amy Adams announced that the Government’s Crown Building Project will replace 8300 old, rundown houses in Auckland with 34,000 brand new purpose-built houses over 10 years. 24,300 of these will be built by Housing New Zealand through their Auckland Housing Programme.
Over the next ten years, the Crown Building Project will deliver around:
- 13,500 newly built social houses
- 20,600 new affordable and market homes.
“This is a significant undertaking for the Government, for taxpayers, and for our Social Housing reforms. It’s the equivalent of three and a half new houses on every street across Auckland,” Ms Adams says.
“These houses will be for our most vulnerable families, for first-home buyers, and for the wider market. We are building more social houses for Aucklanders and helping provide a pathway into independent, affordable housing.
“The Crown Building Project is the Government making the most out of the available residential land it owns to meet Auckland’s social housing needs.
“These 34,000 new houses are a substantial redevelopment and construction programme on a scale not seen since the 1950s.
Phase one of the Auckland Housing Programme, which covers the next four years, will cost $2.23 billion and will be funded through Housing NZ’s balance sheet and new borrowing of $1.1 billion that the Government has approved as part of the business case. Phase two in the latter years will be funded through the market housing development part of the programme and rental returns.
Ministers have also agreed that Housing New Zealand will retain dividends and proceeds from state house transfers, to help fund the building programme.
“Our plan to build 34,000 new homes over the next ten years has been carefully scoped and designed, is fully funded, and builders are on site getting on with the programme already.”
Below is a map of government owned land in Auckland from a few years ago so might have some slight differences now. Many of the larger parcels are things like schools aren’t going to be part of yesterday’s announcement.
Once you subtract the housing already underway the total number of new houses announced might only be 10,000-15,000. That’s a start but clearly not enough and will only contribute a small amount to the how many homes are needed in Auckland. It’s estimated that over the next 30 years Auckland will need up to 400,000 more dwellings (depending on the rate of growth).
Obviously most of that development is going to be need to be delivered by the private sector but I do wonder if the government and Housing NZ are being ambitious enough with how many houses they intend to build and how fast they intend to build them.