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Kāinga Ora housing project sparks National debate over cost and debt

Kainga Ora news
FILE PHOTO.

The unveiling of Kāinga Ora’s new housing complex in Meadowbank, Auckland, has reignited controversy over the state-run agency’s spending, with developers and political figures condemning the $1.2 million price tag per apartment.

Mark Todd, co-founder of Ockham Residential, criticised the agency’s inefficiency when speaking to legacy media, claiming it could have built two to three times as many homes with the billions it has spent. The previous Labour government defended its record, highlighting that Kāinga Ora built 14,000 homes in six years, but Todd argued that the $12 billion in debt the agency accrued since 2018 is a national scandal.

Public concern also emerged as neighbouring residents questioned the luxury of these public homes in comparison to private housing in the same area.

The new National-led government, alongside other opposition parties, has intensified scrutiny of Kāinga Ora’s operations.

Housing Minister Chris Bishop removed the agency’s board, calling for a turnaround plan to ensure better value for future projects. Critics argue that the government is now prioritising community housing providers over Kāinga Ora.

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3 COMMENTS

  1. This is ridiculous cost. I hope it is investigated to see the breakdown of costs. Smells like corruption.

    Economies of scale should see state houses built for less than 400000.

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