NZ Herald
  • Home
  • Latest news
  • Herald NOW
  • Video
  • New Zealand
  • Sport
  • World
  • Business
  • Entertainment
  • Podcasts
  • Quizzes
  • Opinion
  • Lifestyle
  • Travel
  • Viva
  • Weather

Subscriptions

  • Herald Premium
  • Viva Premium
  • The Listener
  • BusinessDesk

Sections

  • Latest news
  • New Zealand
    • All New Zealand
    • Crime
    • Politics
    • Education
    • Open Justice
    • Scam Update
  • Herald NOW
  • On The Up
  • World
    • All World
    • Australia
    • Asia
    • UK
    • United States
    • Middle East
    • Europe
    • Pacific
  • Business
    • All Business
    • MarketsSharesCurrencyCommoditiesStock TakesCrypto
    • Markets with Madison
    • Media Insider
    • Business analysis
    • Personal financeKiwiSaverInterest ratesTaxInvestment
    • EconomyInflationGDPOfficial cash rateEmployment
    • Small business
    • Business reportsMood of the BoardroomProject AucklandSustainable business and financeCapital markets reportAgribusiness reportInfrastructure reportDynamic business
    • Deloitte Top 200 Awards
    • CompaniesAged CareAgribusinessAirlinesBanking and financeConstructionEnergyFreight and logisticsHealthcareManufacturingMedia and MarketingRetailTelecommunicationsTourism
  • Opinion
    • All Opinion
    • Analysis
    • Editorials
    • Business analysis
    • Premium opinion
    • Letters to the editor
  • Politics
  • Sport
    • All Sport
    • OlympicsParalympics
    • RugbySuper RugbyNPCAll BlacksBlack FernsRugby sevensSchool rugby
    • CricketBlack CapsWhite Ferns
    • Racing
    • NetballSilver Ferns
    • LeagueWarriorsNRL
    • FootballWellington PhoenixAuckland FCAll WhitesFootball FernsEnglish Premier League
    • GolfNZ Open
    • MotorsportFormula 1
    • Boxing
    • UFC
    • BasketballNBABreakersTall BlacksTall Ferns
    • Tennis
    • Cycling
    • Athletics
    • SailingAmerica's CupSailGP
    • Rowing
  • Lifestyle
    • All Lifestyle
    • Viva - Food, fashion & beauty
    • Society Insider
    • Royals
    • Sex & relationships
    • Food & drinkRecipesRecipe collectionsRestaurant reviewsRestaurant bookings
    • Health & wellbeing
    • Fashion & beauty
    • Pets & animals
    • The Selection - Shop the trendsShop fashionShop beautyShop entertainmentShop giftsShop home & living
    • Milford's Investing Place
  • Entertainment
    • All Entertainment
    • TV
    • MoviesMovie reviews
    • MusicMusic reviews
    • BooksBook reviews
    • Culture
    • ReviewsBook reviewsMovie reviewsMusic reviewsRestaurant reviews
  • Travel
    • All Travel
    • News
    • New ZealandNorthlandAucklandWellingtonCanterburyOtago / QueenstownNelson-TasmanBest NZ beaches
    • International travelAustraliaPacific IslandsEuropeUKUSAAfricaAsia
    • Rail holidays
    • Cruise holidays
    • Ski holidays
    • Luxury travel
    • Adventure travel
  • Kāhu Māori news
  • Environment
    • All Environment
    • Our Green Future
  • Talanoa Pacific news
  • Property
    • All Property
    • Property Insider
    • Interest rates tracker
    • Residential property listings
    • Commercial property listings
  • Health
  • Technology
    • All Technology
    • AI
    • Social media
  • Rural
    • All Rural
    • Dairy farming
    • Sheep & beef farming
    • Horticulture
    • Animal health
    • Rural business
    • Rural life
    • Rural technology
    • Opinion
    • Audio & podcasts
  • Weather forecasts
    • All Weather forecasts
    • Kaitaia
    • Whangārei
    • Dargaville
    • Auckland
    • Thames
    • Tauranga
    • Hamilton
    • Whakatāne
    • Rotorua
    • Tokoroa
    • Te Kuiti
    • Taumaranui
    • Taupō
    • Gisborne
    • New Plymouth
    • Napier
    • Hastings
    • Dannevirke
    • Whanganui
    • Palmerston North
    • Levin
    • Paraparaumu
    • Masterton
    • Wellington
    • Motueka
    • Nelson
    • Blenheim
    • Westport
    • Reefton
    • Kaikōura
    • Greymouth
    • Hokitika
    • Christchurch
    • Ashburton
    • Timaru
    • Wānaka
    • Oamaru
    • Queenstown
    • Dunedin
    • Gore
    • Invercargill
  • Meet the journalists
  • Promotions & competitions
  • OneRoof property listings
  • Driven car news

Puzzles & Quizzes

  • Puzzles
    • All Puzzles
    • Sudoku
    • Code Cracker
    • Crosswords
    • Cryptic crossword
    • Wordsearch
  • Quizzes
    • All Quizzes
    • Morning quiz
    • Afternoon quiz
    • Sports quiz

Regions

  • Northland
    • All Northland
    • Far North
    • Kaitaia
    • Kerikeri
    • Kaikohe
    • Bay of Islands
    • Whangarei
    • Dargaville
    • Kaipara
    • Mangawhai
  • Auckland
  • Waikato
    • All Waikato
    • Hamilton
    • Coromandel & Hauraki
    • Matamata & Piako
    • Cambridge
    • Te Awamutu
    • Tokoroa & South Waikato
    • Taupō & Tūrangi
  • Bay of Plenty
    • All Bay of Plenty
    • Katikati
    • Tauranga
    • Mount Maunganui
    • Pāpāmoa
    • Te Puke
    • Whakatāne
  • Rotorua
  • Hawke's Bay
    • All Hawke's Bay
    • Napier
    • Hastings
    • Havelock North
    • Central Hawke's Bay
    • Wairoa
  • Taranaki
    • All Taranaki
    • Stratford
    • New Plymouth
    • Hāwera
  • Manawatū - Whanganui
    • All Manawatū - Whanganui
    • Whanganui
    • Palmerston North
    • Manawatū
    • Tararua
    • Horowhenua
  • Wellington
    • All Wellington
    • Kapiti
    • Wairarapa
    • Upper Hutt
    • Lower Hutt
  • Nelson & Tasman
    • All Nelson & Tasman
    • Motueka
    • Nelson
    • Tasman
  • Marlborough
  • West Coast
  • Canterbury
    • All Canterbury
    • Kaikōura
    • Christchurch
    • Ashburton
    • Timaru
  • Otago
    • All Otago
    • Oamaru
    • Dunedin
    • Balclutha
    • Alexandra
    • Queenstown
    • Wanaka
  • Southland
    • All Southland
    • Invercargill
    • Gore
    • Stewart Island
  • Gisborne

Media

  • Video
    • All Video
    • NZ news video
    • Herald NOW
    • Business news video
    • Politics news video
    • Sport video
    • World news video
    • Lifestyle video
    • Entertainment video
    • Travel video
    • Markets with Madison
    • Kea Kids news
  • Podcasts
    • All Podcasts
    • The Front Page
    • On the Tiles
    • Ask me Anything
    • The Little Things
  • Cartoons
  • Photo galleries
  • Today's Paper - E-editions
  • Photo sales
  • Classifieds

NZME Network

  • Advertise with NZME
  • OneRoof
  • Driven Car Guide
  • BusinessDesk
  • Newstalk ZB
  • Sunlive
  • ZM
  • The Hits
  • Coast
  • Radio Hauraki
  • The Alternative Commentary Collective
  • Gold
  • Flava
  • iHeart Radio
  • Hokonui
  • Radio Wanaka
  • iHeartCountry New Zealand
  • Restaurant Hub
  • NZME Events

SubscribeSign In
Advertisement
Advertise with NZME.
Home / Business

State housing in Tauranga: The legacy of the 2017 sell-off and the coalition's $9m spend-up

Samantha Motion
By Samantha Motion
Regional Content Leader·Bay of Plenty Times·
18 Dec, 2019 05:46 PM6 mins to read

Subscribe to listen

Access to Herald Premium articles require a Premium subscription. Subscribe now to listen.
Already a subscriber?  Sign in here

Listening to articles is free for open-access content—explore other articles or learn more about text-to-speech.
‌
Save

    Share this article

    Reminder, this is a Premium article and requires a subscription to read.

Pāpāmoa East is one area the Government has bought several new state houses. Photo / File

Pāpāmoa East is one area the Government has bought several new state houses. Photo / File

In 2017, most of Tauranga's state housing was sold, under a National Party policy, to a community housing provider. But later that year, the coalition put a stop to any future sales. Samantha Motion looks at the legacy of that transfer, and what moves the new Government is making in the fast-growing city.

The coalition Government has spent nearly $9m buying 13 new state houses in Tauranga - but critics say it has public housing progress in the city "on the go-slow".

The spend-up marks a new dawn of state housing in Tauranga, the only city in New Zealand where state houses were sold off en masse under the last National government.

In April 2017, Housing New Zealand (now part of Kāinga Ora) transferred the majority of Tauranga's state houses - some 1138 properties - to community housing provider Accessible Properties.

READ MORE:
• Changing face of Auckland: Swathes of state housing coming to a suburb near you
• Premium - 'We are in deep trouble': Dire lack of state housing creates a new homeless
• Government sells off Tauranga's state housing portfolio to Accessible Properties
• New chief executive for Tauranga state housing buyer

Advertisement
Advertise with NZME.

The Government changed six months later. By December the new Labour-led coalition had cancelled plans for more state house sales elsewhere in New Zealand.

Then-Housing Minister Phil Twyford said at the time it was "the end of large-scale state housing sell-offs" and the Government would buy and build new state homes "where they are most needed".

According to data released to NZME by Kāinga Ora under the Official Information Act, the Government had purchased 13 properties in Tauranga since taking office, at a cost of $8.9m to September.

Advertisement
Advertise with NZME.
state_homes_in_Papamoa
state_homes_in_Papamoa

Another seven properties were acquired by other means, for a total increase in the portfolio of 20 under the coalition Government.

It spent another $1.8m buying three houses in the Western Bay of Plenty District's Katikati, but bought only one house in each of Rotorua ($683,000) and Taupō ($630,500).

Discover more

New Zealand

Will Johnston: Nature's power in White Island/Whakaari tragedy brings new perspective

13 Dec 12:33 AM
Kahu

A land of unrest - our explosive neighbours

13 Dec 08:51 PM
New Zealand

Millions of dollars spent on state houses by new buyer

02 Mar 06:00 PM

The figures did not include community group housing or emergency housing.

The Tauranga purchases were split between Pāpāmoa and Pyes Pā, and including new builds in greenfield subdivisions such as Golden Sands.

Prices ranged from $565,000 in Ashley Place, Pāpāmoa, in 2017 to $755,000 in Furlong Rd, Pāpāmoa earlier this year. Properties ranged from two to five bedrooms.

state_homes_in_Pyes_Pa
state_homes_in_Pyes_Pa

Kāinga Ora government relations manager Rachel Kelly said the organisation preferred to use land it already owned to increase rental housing supply, but sometimes it made "strategic purchases".

It was looking for houses close to amenities, with in-demand bedroom configurations, and in areas that did not have a lot of social housing.

Kāinga Ora owns a total of 200 state houses in Tauranga - 13 new and the rest left over from the 2017 sale.

Advertisement
Advertise with NZME.

A spokesman said it had a renewal programme to upgrade 60 per cent of its homes in New Zealand over the next 20 years and was in the early stages of looking at more advanced, modernising upgrades of some older homes in the Bay of Plenty.

Tauranga MP and National Party leader Simon Bridges. Photo / File
Tauranga MP and National Party leader Simon Bridges. Photo / File

Tauranga MP and National Party leader Simon Bridges said the Government was not putting its resources in the right places in Tauranga.

He said it should be doing more to help Accessible Properties - and other community providers - redevelop and modernise older former state housing areas.

In October, Accessible Properties, alongside Associate Housing Minister Kris Faafoi opened six two-bedroom units in a new duplex built where an old state house duplex with two two-bedroom units once stood on Cameron Rd opposite Tauranga Hospital.

Six units replaced a two-unit duplex in Cameron Rd. Photo / File
Six units replaced a two-unit duplex in Cameron Rd. Photo / File

Bridges said in the past two years, Tauranga should have seen a lot more projects like that but the Government was buying up new builds instead.

"My clear impression is that for ideological reasons they are on the go-slow in terms of turning old state houses into warm, dry, fit-for-purpose homes.

"They have to own everything, they don't like the idea of working with local providers.

"Locals can do a much better and more caring job. It could be transformative for communities like Merivale and Greerton."

Accessible Properties' Tauranga team has already proposed to renew one such area.

The Pukehinahina Project would see 140 public houses in Gate Pā replaced with more than 400 new townhouses and apartments.

An early imagining of Accessible Properties' Pukehinahina Project proposal for Gate Pā. Image / Supplied
An early imagining of Accessible Properties' Pukehinahina Project proposal for Gate Pā. Image / Supplied

Accessible Properties Tauranga general manager Vicki McLaren said the organisation had the capacity to increase new supply well beyond its Government-set targets - but the support was not coming fast enough.

"That's the main message for us: we want to partner [with the Government] and we are really well-positioned for it."

McLaren said Tauranga was "disadvantaged" by its unusual public housing ownership arrangement.

"If we were Housing New Zealand we would have that support and be able to grow, but because we're a community housing provider ... the approach in Tauranga is different and not necessarily beneficial to the city."

The Pukehinahina Project would see townhouses and apartments replace old state houses. Image / Supplied
The Pukehinahina Project would see townhouses and apartments replace old state houses. Image / Supplied

In most places, the Government owned most of the land used for social housing and could redevelop it through Kāinga Ora to increase supply.

"In Tauranga, the bulk of the land is owned by Accessible Properties so that growth agenda is not necessarily happening.

"It is critical we do something soon."

Since taking over the Tauranga stock, Accessible Properties had added 23 new properties with 16 more under construction, 12 in the design and consent phase and 20 sites under investigation.

Associate Housing Minister Kris Faafoi said demand for housing continued to exceed supply in the Bay of Plenty and elsewhere in New Zealand.

Associate Housing Minister Kris Faafoi in Tauranga in October. Photo / File
Associate Housing Minister Kris Faafoi in Tauranga in October. Photo / File

The Government was responding with "the most ambitious public housing building programme in decades".

"More houses becoming available in Tauranga will support more local people into warm, dry, and secure housing, which is the goal this Government has for every New Zealander."

He thanked Accessible Properties for its work, saying community housing providers were an important part of the effort to provide good quality public housing options.

Hundreds wait for housing

The waiting list for social housing had increased by almost 150 per cent in Tauranga and the Western Bay since September 2017, according to Ministry of Housing and Urban Development figures.

Then, there were 178 people on the housing registry. In September 2019, it was 430 people.

The list of people in public housing waiting to transfer to a more suitable house had grown from 26 to 35 in the same period.

Save

    Share this article

    Reminder, this is a Premium article and requires a subscription to read.

Latest from Business

Premium
Shares

Market close: Geopolitical tensions keep NZ market flat, US Fed decision looms

18 Jun 06:09 AM
Premium
Business

Fringe Benefit Tax: Should you be paying it if your business owns a ute?

18 Jun 06:00 AM
New Zealand

'Life-changing': International flights return to Hamilton Airport

18 Jun 05:23 AM

Audi offers a sporty spin on city driving with the A3 Sportback and S3 Sportback

sponsored
Advertisement
Advertise with NZME.

Latest from Business

Premium
Market close: Geopolitical tensions keep NZ market flat, US Fed decision looms

Market close: Geopolitical tensions keep NZ market flat, US Fed decision looms

18 Jun 06:09 AM

The S&P/NZX 50 Index closed down 0.10%, falling to 12,627.32.

Premium
Fringe Benefit Tax: Should you be paying it if your business owns a ute?

Fringe Benefit Tax: Should you be paying it if your business owns a ute?

18 Jun 06:00 AM
'Life-changing': International flights return to Hamilton Airport

'Life-changing': International flights return to Hamilton Airport

18 Jun 05:23 AM
Premium
Liam Dann: 'Brick wall' – why tomorrow’s GDP data won’t tell the real story

Liam Dann: 'Brick wall' – why tomorrow’s GDP data won’t tell the real story

18 Jun 05:17 AM
Gold demand soars amid global turmoil
sponsored

Gold demand soars amid global turmoil

NZ Herald
  • About NZ Herald
  • Meet the journalists
  • Newsletters
  • Classifieds
  • Help & support
  • Contact us
  • House rules
  • Privacy Policy
  • Terms of use
  • Competition terms & conditions
  • Our use of AI
Subscriber Services
  • NZ Herald e-editions
  • Daily puzzles & quizzes
  • Manage your digital subscription
  • Manage your print subscription
  • Subscribe to the NZ Herald newspaper
  • Subscribe to Herald Premium
  • Gift a subscription
  • Subscriber FAQs
  • Subscription terms & conditions
  • Promotions and subscriber benefits
NZME Network
  • The New Zealand Herald
  • The Northland Age
  • The Northern Advocate
  • Waikato Herald
  • Bay of Plenty Times
  • Rotorua Daily Post
  • Hawke's Bay Today
  • Whanganui Chronicle
  • Viva
  • NZ Listener
  • Newstalk ZB
  • BusinessDesk
  • OneRoof
  • Driven Car Guide
  • iHeart Radio
  • Restaurant Hub
NZME
  • About NZME
  • NZME careers
  • Advertise with NZME
  • Digital self-service advertising
  • Book your classified ad
  • Photo sales
  • NZME Events
  • © Copyright 2025 NZME Publishing Limited
TOP