Tools for Increasing Social and Affordable Housing in the Western Bay of Plenty

Introduction

The Western Bay of Plenty, like many regions in New Zealand, faces a critical shortage of social and affordable housing. Rising property prices, population growth, and limited housing supply have created significant challenges for low-to-moderate-income households. To address this, local councils, government agencies, developers, and community organizations can leverage a range of tools—some already in use, others with untapped potential. Below is an overview of key strategies that could help boost housing availability and affordability in the region.

1. Strengthening Partnerships Between Councils and Central Government

A coordinated approach between local and central government is essential. Initiatives like Kāinga Ora’s urban development projects and the Public Housing Programme can be expanded in the Western Bay of Plenty. Councils can work with Kāinga Ora to identify underutilized land, fast-track consents for affordable housing, and align district plans with national policy statements on urban development.

2. Reforming Planning Rules to Encourage Density

Many existing zoning laws restrict higher-density housing, perpetuating sprawl and limiting affordability. Tools to address this include:

• Enabling more Medium-Density Residential (MDR) zoning under the Medium Density Residential Standards (MDRS), allowing for townhouses, duplexes, and low-rise apartments near transport hubs.

• Reducing parking minimums to lower development costs.

• Implementing Special Housing Areas (SHAs) to fast-track affordable housing projects.

3. Leveraging Council-Owned Land for Housing

Local councils own significant parcels of underused land—car parks, old depots, or surplus properties—that could be repurposed for housing. Models include:

• Public-private partnerships (PPPs), where councils lease land to developers for affordable housing.

• Community Land Trusts (CLTs), where land is held in trust to ensure long-term affordability.

• Direct development by councils, as seen in Christchurch’s Ōtautahi Community Housing Trust.

4. Incentivizing Private Developers to Build Affordable Housing

Without incentives, developers often prioritize high-end projects. Tools to encourage affordability include:

• Density bonuses (allowing extra floors or units if a percentage is affordable).

• Reduced development contributions for affordable projects.

• Targeted rates relief or deferred payments for affordable housing providers.

5. Expanding Community Housing Providers (CHPs)

CHPs like Housing Foundation or Compass Housing play a crucial role in delivering affordable rentals. Support for CHPs could include:

• Long-term government contracts for social housing placements.

• Low-interest loans or grants from the Social Housing Fund.

• Streamlined consenting processes for CHP-led projects.

6. Encouraging Alternative Housing Models

Innovative models can supplement traditional housing:

• Co-housing and shared equity schemes (e.g., KiwiBuy adaptations).

• Tiny homes and modular housing for quick, cost-effective solutions.

• Inclusionary zoning (requiring a portion of new subdivisions to be affordable).

7. Improving Funding and Financing Mechanisms

Access to capital is a major barrier. Potential solutions:

• Council-backed revolving housing funds (like Auckland’s Housing Infrastructure Fund).

• Green bonds for sustainable, affordable housing projects.

• Central government subsidies for infrastructure supporting housing growth.

8. Addressing Infrastructure Bottlenecks

New housing often stalls due to inadequate water, transport, and roading infrastructure. Tools to overcome this:

• Targeted infrastructure investments (e.g., Three Waters reforms).

• Developer levies scaled to affordability outcomes.

• Public transit upgrades to support housing in satellite towns.

9. Tenant Protections and Supportive Housing Policies

Affordable housing isn’t just about supply—it’s also about stability:

• Rent-to-own schemes to help tenants transition to ownership.

• Stronger tenancy laws to prevent displacement.

• Wrap-around services (health, social support) for vulnerable tenants.

10. Community Engagement and Advocacy

Sustainable solutions require local buy-in:

• Co-design with iwi and hapū to ensure Māori housing needs are met.

• Public campaigns to shift NIMBY (“Not In My Backyard”) attitudes.

• Transparent reporting on housing targets and progress.

Conclusion

The Western Bay of Plenty has multiple tools at its disposal to tackle the housing crisis, but success depends on political will, collaboration, and innovative thinking. By combining planning reforms, financial incentives, partnerships, and community-led solutions, the region can make meaningful progress toward ensuring everyone has access to a safe, affordable home.

Also Read: Modern Methods of Assessing Housing Affordability, Issues and Improvement Paths