Tauranga Housing Accord and Special Housing Areas
The problem: The cost of housing
The Government is concerned about the high cost of housing in New Zealand, particularly in the larger cities and faster growing areas, like Tauranga.
The Government response: Housing Accords and Special Housing Areas Act
In response to this issue the Government has developed a package of policy initiatives. One of these is to increase the supply of land available for residential development.
To increase land supply, it passed the Housing Accords and Special Housing Areas Act 2013 (the Act). The purpose of the Act is to enhance housing affordability by facilitating an increase in land and housing supply in certain regions or districts (including Tauranga) identified as having housing supply and affordability issues.
The Act focuses on the delivery of more housing. It is not specifically focused on the delivery of affordable or social housing although some consideration can be given to this.
A Housing Accord is an agreement between the Government and a council to work together to address housing supply and affordability issues in a city or district. A Housing Accord sets out agreed targets and defines how the parties will work together to deliver more housing supply.
Tauranga City Council has signed a Housing Accord with the Government.
The Tauranga Housing Accord (742kb pdf)
The targets of this Accord are:
- To provide additional development capacity for:
||1,500 - 1,600
||1,550 - 1,650
||1,600 - 1,700
|New dwelling consents
||1,700 - 1,800
||1,750 - 1,850
||1,800 - 1,900
These section and dwelling consents are premised on current market conditions experienced over the past 12 months remaining similar over the following three years. Should there be a change in the market conditions or other relevant factors these targets may be reviewed and new targets agreed between the Government and the Council.
- For these new developments to deliver dwellings at a more affordable price point; and
- To increase the supply of land for residential development to ensure a healthy degree of competitive pressures amongst developers in the Tauranga housing market.
Special Housing Areas
The targets of the Housing Accord will be achieved notably through the development of Special Housing Areas. A Special Housing Area (SHA) is an area of the city suitable for new housing where the more permissive resource consenting powers of the Act can be used to fast track development. It helps to more quickly develop land in existing urban areas and new areas for new homes.
Process to propose a Special Housing Area
Developers and landowners can approach Council with proposals for new SHAs:
- They identify a piece of land suitable for residential development: either greenfield – undeveloped as yet – or brownfield with existing houses or commercial / industrial properties on it but with potential for redevelopment into housing.
- They determine what type of housing the land could accommodate and shape a high level development concept. Consider a range of residential housing typologies such as suburban residential, terraced housing, apartments etc.
- They assess how soon development could happen, and contact us with this information and we talk it through together.
Council doesn’t need a detailed development plan to consider approving a SHA. The finer detail of developments are determined through the subsequent resource consenting process.
The Council will request public comments and views on possible SHAs, subsequently deciding whether to recommend the establishment of a SHA to the Minister of Housing. Council and the Government will be able to consider applications for new SHAs up until September 2019.
From 2017, Council will be considering new SHAs in batches, approximately every six months.
Batch #1: decision June 2017. Are you a landowner or a developer with plans for a piece of land? Contact our City Planning & Growth team by the end of March 2017 to start a discussion.
Janine Speedy | City Planning & Growth | 07 577 7000 | firstname.lastname@example.org
The selection of Special Housing Areas
SHAs will be selected by Tauranga City Council in areas where there is a clear demand for housing, and where there is already suitable infrastructure or there are plans for it to be built. When recommending SHAs, Council may include criteria specifying maximum building height, the minimum number of dwellings and a measure for affordable houses.
Proposed Special Housing Areas
Approved Special Housing Areas
Housing Accord Policy Guidelines
The Council has developed policy guidelines to assist the identification and assessment of possible SHAs. These can be viewed at the following link:
Housing Accord Policy (683kb pdf)
Housing Accord Appendix: process to identify SHAs (143kb pdf)
Achieving housing affordability outcomes
The Council will negotiate housing affordability outcomes on a development by development basis. Some developments will lend themselves to delivering more affordable housing prices than other developments.
Resource Consents for Developments in Special Housing Areas
Once a SHA is established a developer or landowner in the SHA may apply for a resource consent to undertake development. These developments are called Qualifying Developments. A Qualifying Development must be predominantly residential and meet any criteria that the Council specifies for the SHA they are in. Applications for resource consents for qualifying developments can only be made for developments in SHAs. The application would be considered by the Council and the consent would need to be processed within the agreed timeframes set out in the Act.
There is a 12 month limit for making resource consent applications in SHAs to discourage land banking. The Minister of Building and Construction has the power to recommend disestablishing a SHA early or removing land from a SHA if more than 12 months have passed since the establishment, and no consent application or plan change have been lodged.
The Act provides only a limited ability for the community to be involved in the resource consenting process. Formal consultation is only possible with the owners of land adjacent to the development site, and then only in certain circumstances.
The Ministry of Business, Innovation and Employment (MBIE) reviews progress against the targets of the Tauranga Housing Accord on an annual basis.
Tauranga Housing Accord monitoring report (12 months to August 2016) (760kb pdf)
For more information
If you have any questions about the Tauranga Housing Accord please contact Tauranga City Council on email@example.com or 07 577 7000.
Tauranga Housing Accord Factsheet (683kb pdf)
Proposed Special Housing Areas
Last Reviewed: 06/04/2017