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Cooperative housing and capitalisation

2 Sept 2005

Hon Jim Anderton MP, Progressive Leader

Cooperative housing and capitalisation: good options for those on low incomes

A new policy to actively encourage councils to get involved in cooperative housing was announced in Auckland today by Progressive leader Jim Anderton.

The policy goes hand in hand with today's announcement of the government initiative to build affordable homes through the New Zealand Housing Foundation.

Jim Anderton made the announcement while visiting the very house he bought over 40 years ago by capitalising the family benefit for one child.

"It is too hard for many young families to buy their first home. The Progressive Party's policy of capitalising family support in order to get together a deposit is one way we can help. The planned extensions to the Working for Families Package will mean more people would be able to access this scheme," Jim Anderton said.

"Progressive is also promoting co-operative housing projects similar to those run in Canada and Australia, involving partnerships between councils, Housing New Zealand Corporation and community organisations similar to the Archer housing complex in Christchurch.

"Councils and Marae can often provide land and by working in partnership with HNZC can build the houses, while, at the same time, community organisations are able to help people in the cooperative with social services needs.

"Together that makes for safe and healthy communities for those on low incomes, and people with disabilities or health needs. We can create numerous small, mixed communities that have a sense of ownership and control over their housing and social needs. They play an important role in reducing the ghettoisation of poor families in substandard housing areas.

"In Canada there are over 2,100 non-profit housing cooperatives housing over 90,000 families," Jim Anderton said.

The Progressive Party announced the capitalisation scheme earlier in the year along with a policy of no deposit mortgages, increased state house building and a rent to buy scheme.

ENDS

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