Report by Auckland Council’s chief economist a powerful tool

Media Release

30 September 2015 Report by Auckland Council’s chief economist a powerful tool for implementation

The independent report by Auckland Council’s chief economist adds to the growing voice of experts calling for urgent intervention in Auckland’s housing supply crisis.

Property Council is pleased, but not surprised, by the findings of the Chris Parker’s Housing supply, choice and affordability. While the report is not binding, Property Council urges Auckland Council to implement many of its profoundly effective solutions, in a last bid to address what has now become Auckland’s intergenerational housing problem.

Property Council strongly urges Auckland Council to adopt:

1. Explore the greater use of targeted rates to fund and finance infrastructure growth.

2. Collaboratively review transport policy, legislation, planning to ensure it supports Auckland’s housing surge.

3. Omit excessive restrictions on urban design unless benefits exceed costs.

4. An advocacy plan to consider replacing joint and several liability with proportionate liability.

Property Council chief executive Connal Townsend says the recommended changes are all driven by supply, which is a critical reality that must be considered in policy making when addressing this crisis.

“The report’s findings echo many decades’ worth of the development sector’s warnings, frustrations and solutions to address regulations that have impeded and essentially driven us to this housing supply shortage.

“We call on Auckland Council to embrace the report’s findings. This means adopting targeted rates to pay for infrastructure in places where developers are unfairly shouldering the burden with excessive development contributions charges that are ultimately passed on to the customer.

“It must work with the Government and the infrastructure fraternity to review current policies and legislation to improve alignment with urban planning and synchronising it with Auckland’s growth requirements and timely service delivery.

“Auckland desperately needs integrated infrastructure and urban planning that complements and support residential development.

“We strongly urge the Council to follow the report’s advice on scrapping prescriptive urban design rules which are far too restrictive and lack a factual or evidential basis. They are a significant deterrent to development.

“We also want to see more work done in exploring the merits of proportionate liability as it enables the Council to make decisions while spreading risk. Under the ‘joint and several liability’ model, Council faces disproportionate liability in the event of harm.”

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