Council backs Maitahi Village development with $31 million
The development of the new Maitahi Village in Kākā Valley, off Maitai Valley, is a huge boost for Nelson City that Council is backing with approximately $27 million of supporting infrastructure and a $4 million investment in affordable housing.
Nelson Mayor Nick Smith says the benefits to Nelson of the development include a new suburb with an additional 350-380 homes and improved water, wastewater and transport infrastructure in the eastern area of the city that will also support additional growth in the future.
Maitahi Village is part of the wider Bayview Maitahi development for which about 287 hectares was rezoned in Kākā Valley and along the Botanical and Malvern hills.
“This project brings a massive boost to Nelson’s economy at a difficult time with an estimated economic contribution of $356m over seven years along with the generation of more than 2500 jobs.
“The improved infrastructure includes a new 3m-wide shared path between Nile Street and Ralphine Way, new cycle and walking bridges alongside Gibbs Bridge and Jickells Bridge, new and improved wastewater pipelines across the eastern area of the city as well as reservoirs and new trunkmains for the water supply.
“Council’s $27m of improvements in infrastructure involves investment of $15.4m on wastewater, $8.5m on water supply and $3.2m on transport. This investment is over and above the $100m being invested by the developers on infrastructure. Council’s share is for the increased capacity, renewal of older pipes and improvements that benefit the wider city. Some of this funding will be recovered from future development contributions. These investments will improve water quality in the Maitai River by replacing old wastewater pipes across the eastern area of the city and improving the security of the water supply in surrounding suburbs,” Mayor Nick says.
Council has also approved the allocation of $4 million from its Housing Reserve to two different projects focused on affordable rentals within the Maitahi Village development.
Successful applications from Koata Ltd and Abbeyfield Properties Ltd were approved by Council following a recommendation from its Community Housing Acceleration Taskforce.
“I am delighted that these substantial grants will help deliver 34 much-needed affordable rentals in this new suburb, which is so close to Nelson’s CBD. The inclusion in the development of an Abbeyfield house, as well as a retirement village, is important for our ageing population and addressing the housing challenges facing older Nelsonians,” Mayor Nick says.
Taskforce Chair, Councillor Rachel Sanson, says with rents at 80% of the market rate, the development of these properties by Koata Ltd and Abbeyfield will meet a growing demand for rentals from different groups in our community.
“I’m happy that Council’s housing taskforce has been able to support the development of a substantial number of affordable homes in such a short timeframe. We’ve aimed to use the $12m in the Housing Reserve to leverage as much new community and affordable housing as possible, and I think we're well on our way to meeting that goal.”
A total of $3m of the allocated funding will go to Koata Ltd to support the development of 20 affordable rentals for Ngāti Koata whānau and the broader community. Management of the properties may be outsourced to an experienced Community Housing Provider such as Nelson Tasman Housing Trust.
“Ngāti Koata is very excited and greatly appreciative of the support from the NCC Housing Fund toward building BTR (Build to Rent) homes in the Maitahi Village development,” says Koata Ltd Chief Executive Hemi Toia. “We expect to be able to deliver a mix of two, three and four-bedroom homes that are warm and healthy and provide whānau with affordable, stable and secure tenancy to raise their whānau. Delivering housing for our whānau and the wider community will be a significant and meaningful milestone for Ngāti Koata and is one of the key reasons we have invested in and are committed to the Maitahi Village development.”
The remaining $1m will be used by Abbeyfield Properties Ltd for 14 rental studio units with ensuites for people aged over 65. The units will share common-house areas.
Executive Officer Ruth Seabright says Abbeyfield New Zealand is thrilled to have been successful in its application for funds towards a third Abbeyfield house in Nelson.
“This house will provide affordable housing for 14 over 65s and take the number of houses across the region to five. The Maitahi Village house will be the 17th Abbeyfield house built in New Zealand, the first being St Francis Way in Stoke, which was built in 1994.
“Abbeyfield’s community led model is a partnership between Abbeyfield NZ national office and the local community and relies on strong community engagement. Our next steps will be to form a steering committee of enthusiastic locals who will drive the fundraising campaign needed to bridge the funding gap, while also working with Abbeyfield Properties Ltd to design the house. Our goal is to have the house built by mid-2027, so there is a lot to do over the coming few months. Anyone interested in being involved in the establishment of the house can register their interest by emailing office@abbeyfield.org.nz.”
The Housing Reserve was formed in 2021 when Council divested its Community Housing portfolio to Kāinga Ora for $12m. The reserve was created to “work with and support partners who have the ability to deliver social and affordable housing solutions for the community”. On 10 December 2022, Council established the Community Housing Acceleration Taskforce. Its role is to advise how Council can meet its goal of doubling the number of community housing homes from 50 to 100 by 2026.
A total of 95 social and affordable rentals and 16 progressive home ownership dwellings have been allocated funding from the Housing Reserve.
The Abbeyfield and Koata Ltd grants have funding milestones for payment of 50% upon approval of building and resource consent and 50% on completion of foundations and conditions to ensure they are used to provide affordable rentals.