
The Government has formally shut down all contracted emergency housing in Rotorua, bringing an end to a system ministers say placed long-term strain on the city and its community.
Associate Housing Minister Tama Potaka said Rotorua had for years borne the impact of a model that left families, including those with children, stuck in temporary motel accommodation with little prospect of permanent housing.
He said referrals into contracted emergency housing motels stopped on 15 June 2025, and since then officials have worked to transition residents into stable homes, with the final families rehoused last month.
According to the Government, the number of people in emergency housing nationally has fallen by 85 percent since it took office, and motels previously under contract in Rotorua are now preparing to return to the private market.
Rotorua MP Todd McClay said the closure marked the fulfilment of an election promise and ended what he described as years of social, economic and reputational damage for the city, adding that families were now in proper homes and Rotorua could focus on rebuilding its housing supply, tourism economy and long-term growth.
Image credit: Nguyen Khanh Ly