Wellington extends special housing area, including iwi-owned Shelly Bay
Wellington has extended its special housing areas into three new zones with a view to add 330 new houses, the bulk of which has been slated for an expansion to the Port Nicholson Settlement Block Trust-owned Shelly Bay, which has previously been earmarked for development by high-profile developer Ian Cassels.
Housing Minister Nick Smith and Wellington city mayor Celia Wade-Brown today announced three new areas in Shelly Bay, Newlands and Newtown, taking the total number of special housing areas to 24, with a combined capacity of some 2750 houses. The Shelly Bay SHA has been expanded to double the number of houses to 300, and the development will include the wharf to allow for redevelopment of ferry services to the city centre.
The Port Nicholson Settlement Block Trust leased Shelly Bay to Mr Cassels' Wellington Co during the 2014 financial year, which was forecast to generate a profit on the investment by 2016. In September, Mr Cassels and the trust signalled plans for a new development on the Miramar peninsula site.
Wellington City Council and Housing Minister Nick Smith signed up to the housing accord in June last year to boost supply in the city. Government data shows building consents in Wellington have dropped for seven straight months to October, while separate figures show the value of actual work put in place was largely flat in the September quarter from a year earlier.
This month, Quotable Value said Wellington property values rose 3.9% in November from a year earlier, after being flat for some time. The state-owned valuer said there was a shortage of housing stock in the city, while buyer demand was coming through.