Nearly $5m has been spent on two state housing projects by Kāinga Ora that have since been canned because they were no longer “financially viable”.
Documents released to 1News under the Official Information Act revealed the extent of costs to taxpayers associated with two developments in Auckland that have since been cancelled.
The Ngā Kāinga Anamata (Homes of the Future) development in Auckland’s Glendowie was lauded on the world stage and championed as a showcase of Kainga Ora’s climate-friendly future.
It would have addressed issues such as energy hardship, sick building syndrome and climate change mitigation.
Eight state homes were removed from the Crossfield Rd site, with a plan for them to be replaced with 30 sustainable homes, a three-storey apartment and two townhouses.
However, two and a half years on, nothing has been built and no one lives here.
Kāinga Ora withdrew consent from the development as Covid-related delays blew out the projected cost.
Archaeological investigation also identified the site included an historic pa with the agency now working alongside mana whenua on future land use.
Over half of the $3.5m spend at the site was on consultants, contractors, as well as research and development into low carbon design the agency said would be used in future projects.
Senior architecture lecturer Bill McKay said the concept for the development was great but the question remained “whether the time is right” when the goal is to “get more runs on the board in terms of housing”.
“It was too ambitious for a time when we’ve got inflation and all sorts of other pressures.”
Onehunga project demolished 62 homes
More than $1m alone was spent demolishing 62 state homes at a second site in Auckland’s Onehunga, with the intention of apartment-style public housing being built.
Another $350k was spent on consultants, consents and site works before Kāinga Ora decided it was not value for money and axed the project.
Action Station campaigner Vanessa Cole said it was a “deep injustice” that families were pushed out of their state homes on these sites with an expectation they would increase public housing stock, only for it not to eventuate.
“The Maungakiekie-Tāmaki Local Board area has nearly 500 households waiting for public housing, so it’s really a deep injustice to these families that have been waiting for public housing to be built in their communities to be stalling the development.”
The Onehunga site would be sold for public and private development sometime in the future.
Kāinga Ora declined to be interviewed about the cancelled developments.