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Friday 10 December 2021
Making homes affordable
Renford Crump and Chai James lay floor boards at Mohua Affordable Housing Trust’s property in Tākaka. Photo: Jo Richards. JO RICHARDS
Last December Golden Bay/Mohua Affordable Housing Project officially launched its ambitious programme to provide high quality cost-effective homes for the hundred or so families and individuals struggling to find long-term secure accommodation in the Bay. One year later, chair of the Mohua Affordable Housing Trust (MHAT) Dr Chris Bennett takes stock, highlighting achievements, frustrations, and future plans. The most tangible sign of progress is the completion of the first pair of dwellings. “We have essentially finished two houses – one in Hamama and one in Rockville,” says Chris. Construction has also begun of two units for the elderly located to the rear of existing community cottages at 189 Commercial Street, Tākaka. MAHT will meet all construction costs then own and manage the properties, covering all running and maintenance costs for 35 years from rents, before handing ownership over to Tasman District Council to be added to the Council’s housing stock. The Council will select and manage the tenants in accordance with their existing policies. Next up is the construction of a home in
Rangihaeata. The success of the project has always hinged on three main factors: the availability of land, access to finance, and the cost of construction. Land From the early days of the project, property owners around the Bay have been keen to sign up to share their land and take advantage of Tasman District Council’s planning rules which allow the construction of additional minor dwellings on properties. “We have a total on our list of 20 potential sites, with varying degrees of suitability and likelihood to proceed,” explains Chris. “A number of people were waiting to see our first builds.” TDC has been very supportive, working with the trust to expedite planning approvals. “TDC has been fantastic,” says Chris. “They’ve helped to streamline the resource consent and building consent process.” From 1 July they are waiving development contributions for social housing which helps keep costs down. Finance The total cost of planning and constructing of 100 affordable homes is estimated to be
around $20 million. Some of this has already been raised from locals keen to contribute to the cause, mainly though low-interest loans. “There are a good number of people in the community willing to help finance affordable houses and at the same time get a return on their investment,” says Chris who has personally invested in the scheme. “One local resident has provided $150,000 and we have offers of at least another $500,000 from others in the community which we have not drawn on.” For the prospective purchaser, the trust aims to build a house which can be paid off at some $300/week in 20 years or less. The scale of the investment required, however, means that project finance needs to be sought from large commercial lenders, and one of the big banks has already signed up. “Westpac have agreed to come in as a financer,” says Chris. “They want to be part of the solution for affordable housing.” But there is a catch. “The challenge with their funding is that it is at commercial rates so much higher than the funding that we have been offered by people in the local... Continued on page 2
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Since the Government announced that the country would leave behind the alert level system, which has been in place since early 2020, Tasman District Council (TDC) has been working through the implications of the Covid Protection Framework, aka the traffic lights system. Most council services are publicly accessible and TDC has expressed “a natural reluctance” to limit access to these services for any resident. However, that reluctance, it says, needs to be balanced against the district’s current health needs and direction from the Government. Last week, TDC announced the access requirements it had put in place to meet the introduction of the traffic lights system under Orange status; those rules, which are still valid, can be found on the TDC website. At the time of last week’s announcement, TDC acknowledged that it was dealing with a constantly changing environment and advised that access to services and facilities may change rapidly. “ These access requirements are reviewed every day following government advice, health updates, and feedback from our residents and staff. We continue to work through the implications of the information we receive to make considered decisions,” said TDC CEO Janine Dowding, before explaining the council’s approach in more detail. “It is regrettable that some believe we are disregarding their personal concerns. That is not the case and we have a wide range of situations, responsibilities and practicalities to consider. “With specific regard to access to our libraries we are considering the situation daily and if the current access requirements change, we will give residents a few days warning prior to enacting any changes.” In the meantime, Janine pointed out that, if residents felt unsure about physically visiting the library, many services were available online or over the phone. She then called for understanding and tolerance during what is a very difficult time. “We appreciate people may be feeling frustrated in this current environment, but we ask that you don’t take those frustrations out on staff who are doing their best to deliver a good service in conditions they have no control over.” For more information on TDC’s rules regarding access to public facilities, go to: www.tasman.govt.nz/my-council/ about-us/media-centre/news-and-notices/ council-services-at-orange/
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