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Govt invests further $31 million in Hobsonville

Hon Dr Nick Smith
Minister of Housing

5 December 2013

Govt invests further $31 million in Hobsonville

The Government has provided an additional $31 million of capital to the Hobsonville Land Company, a subsidiary of Housing New Zealand, to enable faster progress on a 3000 house development at Hobsonville Point in Auckland.

“Hobsonville Point is proving to be a very successful and popular housing development. This Government capital is to enable the company to purchase the remaining 16.5 hectares of land two years ahead of schedule and bring 500 houses to the market earlier,” Dr Smith says.

The 16.5 hectares of land is in the south west corner of the 167 hectare Hobsonville development, adjacent to the new secondary school under construction, and in an area known as the Village and Buckley blocks. The land is being purchased from the New Zealand Defence Force and the price has been determined by a process of valuation and arbitration.

“The original plan was that the Hobsonville Land Company would not purchase this area until 2015 and would fund it from house sale proceeds. The Company presented a business case, approved by Cabinet, showing it was better for the taxpayer and for housing supply to bring forward this purchase and development,” Dr Smith says.

“The big gains in housing will come from private housing developments off the back of Government reforms to free up land supply, increase competition in building materials, and constrain council development and compliance costs. Hobsonville highlights the Government’s pragmatic approach where we are getting on and freeing up Crown land for housing developments where it makes sense.”


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Map of Hobsonville

ENDS

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