More land added to Auckland housing accord

With Auckland building consents reaching pre-2006 levels, the New Zealand government and the council have expanded an agreement to fast-track land.

The New Zealand government and Auckland Council have added more land to a plan aimed at relieving the city's property crisis as consents begin to pick up.

Eleven new areas have been added to the Auckland Housing Accord, an agreement drawn up in 2013 to open up land across the city for fast-track development of homes.

Of the 1600 potential homes proposed in the new tranche, about 900 are in Manukau, while central areas such as Ponsonby and Newmarket are looking at about 50 new dwellings each.

The new zones take the total of "Special Housing Areas" up to 97, and a possible total of about 47,000 new homes in the city over the next few years.

The Ministry of Business, Innovation and Employment said consents in Auckland had risen to 10-year highs, with new builds hitting 8300 a year.

"The rate has grown at over 20 per cent per year since 2012, the longest and strongest period of growth ever," Housing Minister Nick Smith said.

He said the accord was running slightly ahead of plan, with just short of 20,000 new dwellings receiving consents since it started.

The plan aimed to add 9000 homes in its first year, 13,000 in the second and 17,000 in the third.

"Activity so far has been centred on earthworks, infrastructure construction and subdivision, but we are starting to see house building ramp up as the development pipeline kicks in," Auckland mayor Len Brown said.

He said further changes to the plan were still being looked at in order to potentially add more zones.

Affordable homes in the Special Housing Areas are given special consenting and approval processes to allow quicker construction.

Any home priced below 75 per cent of the Auckland median house price, $NZ735,000 ($A665,278) in July, is considered affordable under the scheme - but buildings of more than 15 homes, such as apartments, only need 10 per cent of homes to be affordable to qualify.

Earlier this week, the NZ Reserve Bank said new supply of housing in Auckland was "nowhere near fast enough to make a dent in the existing housing shortage" when considering booming immigration.

House prices in the city have jumped 24 per cent in the past year, compared with three per cent for the rest of the country.


Share

3 min read

Published

Updated

Source: AAP


Share this with family and friends


Get SBS News daily and direct to your Inbox

Sign up now for the latest news from Australia and around the world direct to your inbox.

By subscribing, you agree to SBS’s terms of service and privacy policy including receiving email updates from SBS.

Download our apps
SBS News
SBS Audio
SBS On Demand

Listen to our podcasts
An overview of the day's top stories from SBS News
Interviews and feature reports from SBS News
Your daily ten minute finance and business news wrap with SBS Finance Editor Ricardo Gonçalves.
A daily five minute news wrap for English learners and people with disability
Get the latest with our News podcasts on your favourite podcast apps.

Watch on SBS
SBS World News

SBS World News

Take a global view with Australia's most comprehensive world news service
Watch the latest news videos from Australia and across the world