Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search


Kāinga Ora Chief Exec misled select committee

Kāinga Ora Chief Executive Andrew McKenzie must explain himself to Parliament in light of a startling admission that he made misleading comments in reply to my questions in a recent Select Committee hearing, National’s Housing spokesperson Nicola Willis says.

“On the 9th of June during a select committee estimates hearing, I asked Mr McKenzie about concerns that Kāinga Ora has been using the taxpayers cheque book to outbid private sector developers and push-up property prices.

“I raised the specific example of a property Kāinga Ora bid for at 686 Swanson Road, Auckland for which Kāinga Ora had allegedly offered $36 million whereas the nearest under-bidder allegedly made a bid of $26 million.

“Mr McKenzie replied noting that “the winning tenderers were a small amount below us” and “the purchaser purchased it for within $2 million of the amount that we had assessed it, subject to due diligence’.

“Subsequent investigations and parliamentary questions indicated that the property sold for $30 million whereas Kāinga Ora had offered a staggering $38.5 million.

“These figures suggested Mr McKenzie’s statements to the Committee were false and misleading.

“Mr McKenzie has now written to the Social Services Committee to ‘clarify’ his statements acknowledging ‘the final purchase prices was $8.375 million less than the conditional offer that Kāinga Ora made’.

“This is alarming and shows my original concern about Kāinga Ora was well-founded, despite Mr McKenzie’s dismissal. Kāinga Ora offered almost 30 per cent more for this property than the nearest bidder, raising serious concerns about their approach to assessing property value.

“I will be writing to the Select Committee seeking to recall Mr McKenzie for a briefing so he can explain this conduct and address my underlying concern about Kāinga Ora’s cavalier approach to property purchase offers.

“There is a widespread view in the community that Kāinga Ora is routinely overbidding for properties. This revelation about Swanson Road comes on the back on news that Kāinga Ora paid $8.1m for a motel in Rotorua that was valued for significantly less.

“Land prices are skyrocketing in New Zealand stifling housing supply and the Government’s housing arm should not be responsible for driving them up any further.

“Mr McKenzie must explain what appears to be blatantly misleading the Select Committee, and Housing Minister Megan Woods must explain what constraints she will put on Kāinga Ora to stop them driving up the price of housing in New Zealand.”

© Scoop Media

Parliament Headlines | Politics Headlines | Regional Headlines

Gordon Campbell: On The Perils Of Declaring Premature Victory

Sure enough, Saturday’s Vaxathon was a barrel of fun and a throwback not merely to the Telethons of the past. It also revived memories of those distant days of early 2020, when we were all carefully wiping down our groceries, not touching our faces, washing our hands for 20 seconds and responding to level four lockdowns by putting teddy bears in the window for the benefit of the little kids walking by in their family bubbles. Those were the days, when the Team of Five Million felt like a real, organic thing... More>>

RNZ: Prime Minister Jacinda Ardern announces Cabinet decision on Covid-19 alert levels

Northland will move to level 2 at 11.59pm on 19 October. Waikato will be held at level 3, to be reviewed on Friday. Auckland will remain in level 3 with current restrictions for another two weeks... More>>



Government: Red Tape Cut To Boost Housing Supply
First home buyers are set to benefit from changes to planning rules being advanced by the Government and the National Party that will enable more medium density housing and cut red tape that acts as a barrier to development... More>>


Economy: Inflation highest in over a decade
The consumers price index rose 2.2 percent in the September 2021 quarter, the biggest quarterly movement since a 2.3 percent rise in the December 2010 quarter, Stats NZ said today. Excluding quarters impacted by increases to GST rates, the September quarter movement was the highest since the June 1987 quarter... More>>


Government: New Zealand Increases Climate Aid Contribution

The Government is making a four-fold increase in the support it provides to countries most vulnerable to the climate emergency, Prime Minister Jacinda Ardern and Climate Change Minister James Shaw announced today... More>>

Pay Cheque To Pay Cheque: Half A Million New Zealanders Have No Savings
New findings from the Consumer NZ sentiment tracker found that 15% of New Zealanders had no savings, and a further 27% were anxious about their level of savings and would like to have more tucked away... More>>

Government: Mandatory Vaccination For Two Workforces

Large parts of two workforces critical to preventing the spread of COVID-19 will be required to be vaccinated, COVID-19 Response Minister Chris Hipkins said today. “Our education and health and disability workforces have done an incredible job throughout this pandemic to keep themselves and people safe,” Chris Hipkins said.... More>>

Green Party: Deeply Concerned Space Launches May Be Breaching Nuclear-free Laws

The Green Party is deeply concerned that space launches by Rocket Lab may be breaching nuclear-free laws, given our long-standing position as a signatory of the Nuclear Non-Proliferation Treaty... More>>




InfoPages News Channels