A development approved under special affordability legislation is now asking more than $300,000 for sections as small as 277sqm. 

Ray White Wānaka is advertising stage ‘2A’ of Hāwea’s Special Housing Area (SHA), named Longview, with prices from $309,000-$399,000 for sections between 277-566sqm. 

Hāwea Community Association chair Cherilyn Walthew said the developer, Lane Hocking, had advised sections price would “start with a one” and she had hoped to “take the developer at his word”.

“It is...disappointing that a development that was championed on the platform of affordability, seems to instead have morphed into a profit-making commercial concern…” Cherilyn said.

Lane said he had delivered on his commitment to pricing in the development’s March release, where around 200 sections were sold for $199,000-$319,000.

Only the 250sqm sections were sold at $199,000, he said.

The pricing of upcoming sections were still competitive, Lane told the Wānaka App.

“We believe this pricing to still be the most affordable in the Upper Clutha/ Queenstown Lakes area. We have been prioritising first home buyers who have been appreciative of the affordability.”

The lowest-priced sections in the Upper Clutha sold between May and August 2021 ranged from $247,000 to $395,000, according to Real Estate Institute of New Zealand information.

The Longview development was approved under the Housing Accords and Special Housing Areas (HASHA) Act 2013, which exists to enhance housing affordability in high-cost areas. 

The 34ha site was classified as an SHA in December 2018, with a deed setting out affordable housing components including fixed price house and land packages, land resale conditions and restrictions on visitor accommodation.

Universal Developments also agreed to gift the Queenstown Lakes Community Housing Trust 12.5 per cent of all its sections, equivalent to roughly 60 sections valued at $15.5M.  

Cherilyn said she lost faith in the developers intentions after Longview was given council approval to increase its house and land packages by up to 10 per cent in January.

Previous: From affordable to ‘relatively affordable’

By March an amendment to increase its bare land sales from 30 to 40 per cent was also approved.  

The Wānaka App asked the QLDC if it was happy with the prices. In response, a QLDC spokesperson said the intent of the SHA legislation was “to enable more land to be brought to market on the basis that this would assist affordability”.

“It’s worth noting that this is the only SHA in the district with set price points. Other developments, including other SHAs, are not price restricted in any way,” he said.

PHOTO: Wānaka App