link to page 1
Options to assess in SIA on assisted housing
Wellington City Council (WCC) has draft provisions within a proposed District Plan that support assisted
housing. Assisted housing is any housing type coordinated long-term by a government, local
government or community housing provider where the cost for residents is less than the market rate. It
may include long-term leases, rent-to-buy, long-term affordable rentals, or subsidised co-housing.
WCC staff have put forward four potential options. These four methods are not exclusive. All, some, or
none could be progressed into the proposed District Plan. The options would apply when there is
construction of new multi-unit residential buildings or a residential subdivision. The four options are:
1.
AOnly assisted or social housing is a controlled activity (all zones). A development that
consists entirely of assisted housing and/or social housing would be considered a controlled
activity in the District Plan. A Controlled Activity means the development would be guaranteed
to gain consent, but with the potential for conditions from WCC. This option would only be
applicable to government, local government or registered community housing providers (eg
developers such as Kiwibuild, Kainga Ora, registered community housing providers and
Wellington City Council, Dwell, etc).
2.
Where assisted housing is provided additional height may beis allowed, subject to
satisfying other standards (some zones;
voluntary). For a development which provides
assisted housing, additional height could be added to the building when the development is
within the City Centre Zone and Metropolitan Centre Zone. This would be a matter of discretion
which Council can consider as part of Design Excellence1 within these zones. This option is
voluntary, as developers can choose to apply for this provision or ignore it.
3.
If a financial contribution is made to Council (to fund assisted housing), additional height
is may be allowed (all zones; voluntary) – Additional height can be added to a development
Commented [LD1]: Additional height will first need to
in all zones, if the developer pays a financial contribution. The amount paid is proportional to
be considered acceptable in the particular location
the value of additional floorspace enabled by exceeding the height or height-to-boundary
where it is proposed then a financial contribution will be
standards. Like option 2, the developer can also provide assisted housing by other means2 and
sought. The financial contribution does not guarantee
additional height is acceptable.
this would offset the need for a financial payment. The quantum of contribution is waiting on
the market economic assessment but may be around 10%. This option is voluntary, as
Commented [LD2]: The assisted housing lots or units
developers can choose to apply for this provision or ignore it.
would need to be sold to central govt / local govt /
registered community housing provider so they remain
4.
For all subdivisions (3 or more lots) and multi-unit developments (3 or more dwellings),
affordable over 30 years. The units could not be sold on
a financial contribution is made to Council to fund assisted housing (all zones;
the market without a covenant or other means of
mandatory). All subdivisions and multi-unit residential developments (creating 3 or more
protecting the affordability long-term.
dwellings / vacant lots) pay a financial contribution proportional to the value of the total
floorspace.new dwellings / lots. Like option 2, the developer can also provide assisted housing
by other mean
s2 and this would offset the need for a financial payment. The quantum of
contribution is waiting on the market economic assessment but may be around 2%. The
quantum for subdivisions may be higher if the market assessment indicates a significant land
value uplift happens when subdivision consent is granted.
At the time of writing, it is anticipated that any funds raised would be held by Wellington City Council,
to be used in accordance with the Council’s Housing Strategy and Action Plan. One of the main actions
1 Design excellence is where a building could apply to exceed the maximum height limit by up to 25% if it scored
30 “points” on public benefit elements e.g. public space, better access, accessibility for elderly/disabled , or
environmental efficiency. Assisted housing could also be a criteria. If the height benefits were generous enough,
the increased developer profit from the extra height/number of units may offset the cost of the assisted housing.
2 For example, a developer may include sell assisted or social housing within the development to a registered CHP.
Or a developer may have already built an assisted housing complex in partnership with the Council or a community
housing provider and may want to use it as “credit” for their future developments. Another developer may want to
sell its assisted housing obligation to another developer who is better placed to deliver the houses [I am not sure
this is correct – Andrew will need to clarify.]. If a subdivision, lots could be set aside for assisted housing.
in the Action Plan is to fund new units under Wellington City Council’s affordable rental programme -
Te Kāinga Aroha.
