Gutting pubic housing while manufacturing homelessness

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Government-owned Napier apartment block with 30 flats was completed 5 months ago but is still empty

A new Napier apartment block with 30 flats for social housing remains empty five months after being completed, despite homelessness and a continuing housing crisis in Hawke’s Bay.

The Ministry of Housing and Urban Development (HUD), under which housing and support agency Kāinga Ora operates, says it acquired the three-storey Wellesley Rd complex in July, under a “build-ready development” agreement with a developer.

It intended to sell to a Community Housing Provider (CHP), but none has yet been contracted and in the meantime the flats can’t be tenanted.

The complex comprises 24 single-bed units and six of two bedrooms, and drew concern in the early stages from nearby residents worried about the height of the building and insufficient off-road parking – just five spaces.

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In answer to questions from Hawke’s Bay Today, the ministry confirmed the HUD acquired the site in July, and, as was intended at that time, plans to on-sell to a CHP.

It had expected a CHP would be contracted to operate the site as soon as it became available, but the ministry said: “Finding one prepared to purchase has taken longer than expected.

“Given the intention to contract a CHP to operate the site as social housing, it would not be appropriate to have interim tenanting arrangements with Kāinga Ora.

This Government has walked away from Public Housing at the same time as reducing homelessness funding and we get a perfect storm of social misery.

  • The Government reduced Kāinga Ora spending by around $1 billion+

  • hundreds of Kāinga Ora projects have been cancelled or paused – 212 cancelled Kāinga Ora projects (≈3,479 homes)

  • Multiple local reports document Kāinga Ora land and sites being put up for sale or being sold to private developers

  • Kāinga Ora staff cuts have seen 673 jobs gone

Gutting pubic housing while manufacturing homelessness is a social policy outcome that is deeply corrosive to our shared spaces and sense of community.

We have a Government who is walking away from its public housing obligations to let the Free Market decide it.

This isn’t leadership, it’s being part of the problem.

 

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