Partnership the foundation of new community
ŌCHT tenants Keita (front left) and Merania (centre left) cut the ribbon to officially open Carey Street. They’re joined by, from back left, Paenga Kupenga chairman Barry Bragg, ŌCHT chief executive Cate Kearney, Housing Minister Chris Bishop, Christchurch Mayor Phil Mauger and ŌCHT chairman Alex Skinner.
A first-of-its kind mixed-tenure family housing project in Somerfield, Christchurch is the first for a new partnership focused on building better futures for whānau and community.
The 40 homes at Carey Street opened this morning make up the city’s first purpose-built development featuring community rentals, affordable market rentals and progressive home ownership homes.
Housing Minister Chris Bishop told the more-than 100 people gathered at the official opening that Carey Street might even be the first such mixed tenure community of its kind in the country.
It is also the first community delivered by Ōtautahi Community Housing Trust in partnership with Paenga Kupenga Ltd, the economic development arm of Ngāi Tūāhuriri Rūnanga.
ŌCHT chief executive Cate Kearney says the partnership has a shared vision to sustainably provide quality, affordable homes that positively impact whānau wellbeing.
“It’s our privilege to partner with Paenga Kupenga to deliver affordable homes, in new and innovative ways, to whānau in the rohe of Ngāi Tūāhuriri Rūnanga.
“Ngāi Tūāhuriri Rūnanga has supported ŌCHT for many years, and we’re delighted our relationship will now provide even more for our community.
“Together, our partnership will provide long term and affordable tenure in beautiful homes, in an environment that allows whānau to thrive well into the future.”
Paenga Kupenga Ltd chairman Barry Bragg says the partnership delivers on a common purpose to provide whānau with access to warm, affordable housing that meets their needs now and for years to come.
“Affordability is at the heart of this work. We know rising housing costs mean too many whānau are priced out of quality housing.
“Our partnership with ŌCHT and the Crown is a local delivery model in action that can provide whānau with access to affordable homes in a great location.
“As we look at what we have achieved here, we have the opportunity to continue to deliver more affordable housing across the city that addresses community needs.”
The new community of 2- to 4- bedroom family homes feature innovations in construction and materials to be warm, dry and efficient to run for decades to come.
The homes are designed and oriented to support family living and neighbourhood connections in a spot close to parks, services, schools and public transport.
Ms Kearney says the city needs more affordable, multi-bedroom homes and Carey Street is perfect for a well-designed, affordable housing options built with families in mind.
“A home provides stability and permanence, things that are especially important for young children who should have a safe and stable environment in which to grow.
“Efficient, affordable housing also reduces housing costs, allowing families to focus even more on the things that enhance their wellbeing and housing aspirations.”
Ms Kearney gratefully acknowledges the crucial support of the Government and the Ministry of Housing and Urban Development.
“The Affordable Housing Fund’s Affordable Rental Pathway, the Progressive Home Ownership Fund and awarding 25 year public housing contracts help us help our communities to grow.
“And of course, the Christchurch City Council and Mayor Mauger who have been so supportive of our aspirations to build new homes.
“The council challenged us to replace 32 old, one-bedroom council social housing units previously on this site, to provide mixed tenure housing, to sustainably support the families that will support this community for decades to come.
“Those units are long gone, replaced by 40 homes and 104 bedrooms that will help families build new futures.”
Affordable housing options
ŌCHT and Paenga Kupenga will offer new housing products to help bridge the affordability gap and help working whanau with children into new homes.
Their affordable rentals are for low-to-median income working households who do not qualify for public housing but who may struggle to afford a rental in the open market.
Affordable rents are no more than 79% of the average market rent for a comparable home in the suburb, in secure tenancies that allow families to settle and better meet financial goals.
The affordable rental programmes are supported by the Government’s Affordable Housing Fund’s Affordable Rental Pathway, which is administered by the Ministry of Housing and Urban Development.
ŌCHT’s progressive home ownership product, Secure Home, offers leaseholds as a pathway to eventual home ownership for low-to-median income working whanau with children.
Qualifying households are offered a 100-year lease and right to occupy either a 2 or 3-bedroom home for a price based on the cost of construction, excluding land value.
Secure Home offers 2-bedroom homes for $350,000. Conservatively, the median market sales price for a 2-bedroom flat in Somerfield early this year was about $570,000.
If the household leaves, ŌCHT buys the leasehold back for what the household paid, with adjustments for inflation for each year whanau occupied the home.
This means working families can build equity through mortgage repayments instead of paying a landlord, in a home with affordable long-term tenure.
The Trust’s banking partner Westpac also offers a low deposit bank mortgage for qualifying whanau in the Secure Home programme.
Secure Home is supported by the Government’s Progressive Home Ownership Fund, which is administered by the Ministry of Housing and Urban Development.
Ms Kearney says these housing options will help whānau affordably settle and grow in secure housing priced to help them meet saving and home ownership goals.
“Property and rent price growth make it nearly impossible for many lower income households to rent or retain homes they can afford, let alone to save to buy their own.
“Offering more affordable options in modern and efficient homes will help families provide for their long-term future. They’ll help more working whānau call Somerfield home.”
Reflecting our city’s diverse housing mix, a quarter of the new homes will provide family-focused community housing managed by ŌCHT.
“Carey Street is our city in microcosm, providing a new foundation for whānau to live, grow and plan for a future where they might see themselves moving further along the housing continuum,” Ms Kearney says.
Background
Carey Street delivers a family-focused community and new life to a large site that was home to social housing for 80 years.
The Christchurch City Council opened the first social housing units at Carey Street in 1942. The council, ŌCHT and Paenga Kupenga explored affordable housing options soon after the ageing units were decommissioned in July 2019. Construction started after the council sold the site to the Trust in early 2023.
ŌCHT has delivered 14 new communities and provided more than 300 new homes since 2019. It reached its target of replacing community housing occupancy capacity lost to the Canterbury earthquakes when it opened its Willard Street development last year.
The homes are designed by South by Southeast Architects and delivered by Consortium Construction, long-time partners in ŌCHT developments.