New homes to suit average income
Hundreds of new homes suited for the average Auckland wage will be built at Hobsonville Point as part of the Government's move to create affordable housing.
Housing Minister Phil Heatley today announced up to 3,000 houses will be built in the Northwestern suburb, with 500 to 600 of them expected to cost less than $485,000.
"These homes will be provided by the commercial market, in other words there is no Government subsidy going to home buyers or builders to meet these price points," he said.
"The commercial sector is going to achieve these targets which we think is very important and we want that to become part of their habit across New Zealand."
Ten per cent of the 2,500 to 3,000 proposed homes will cost less than $400,000.
A further 10 per cent will cost between $400,000 and $485,000.
Criteria for buyers will be put in place by development managers the Hobsonville Land Company, a subsidiary of Housing New Zealand.
A scheme to prioritise first home buyers is underway and more information will be released soon.
Heatley said this was just one element in a broad range of measures the Government has announced to address the issue of affordable housing.
"The key role we see Hobsonville playing in this policy mix is developing commercial solutions without significant or any tax player or ratepayer subsidy," he said.
"So we want to provide lower costs for housing without compromising quality and seeing the commercial building and development sector do that.
"These prices are generally considered more affordable in the Auckland context, which people will appreciate Auckland is not an inexpensive place to build."
Hobsonville Land company chief executive Chris Aiken said selling 20 per cent of the houses below $500,000 required "smart thinking, great design and innovation".
"We're confident we can meet our targets because we've already done a lot of work in this area," he said. "The development project is underway with our colleagues and Auckland Council to redefine some new approaches to section and house size, without compromising on design quality and construction.
Aiken said homes built under the programme will be spread thoughout the development and integrated into new neighbourhoods with mid-priced and higher-priced homes.