The Auckland population is estimated to grow between 2.2 and 2.5 million over the next 30 years and approximately 400,000 additional dwellings will be required by 2040. It means that at least 13,000 additional houses have to be built per year. This is a huge challenge because due to a shortfall of about 10,000 homes and current levels of house building are less than half the volume of homes are to be needed. But currently, only 5,000 new homes were built in Auckland and it is true that not all these are necessarily built. In New Zealand as a whole, only about 24,000 houses are built each year and we have a major issue that is the rebuilding of Christchurch and it will take up a large part of national construction capacity. The Auckland Council will decide that there is sufficient development capacity or ready-to-go land for housing. This Plan provides for a staged release of land within the Rural-Urban Boundary and having an average of 7 years unconstrained development capacity at any point in time along with a minimum of 5 years and a maximum of 10 years’ capacity plan.
The complexity of amalgamating sufficient land for development and redevelopment in Auckland is a challenge, which will require a significant institutional response. The creation of urban development authorities, or similar vehicles with adequate legislative powers, could assist with land amalgamation. Several international examples illustrate the positive impact that urban development authorities and land agencies can make. There are several different models, with a range and mix of functions and powers, which may be relevant and adaptable to Auckland. The Auckland Council influences housing supply through its planning, regulatory and consenting processes. For developers, the loss of equity and profit caused through delays can be more costly than the fees themselves. Time and costs across the entire development process need to be looked at. Processes can be streamlined to increase certainty around cost and timing. The Auckland Council could move to outcomes based consenting and other incentives for development in existing urban areas, and zone land for development in new growth areas.