Hamilton’s central city is one step closer to securing a piece of the government’s $1 billion Infrastructure Acceleration Fund.

The fund, part of the government’s larger $3.8 billion Housing Acceleration Fund, aims to tackle the country’s housing crisis by helping speed up critical infrastructure needed for housing development.

Last week the administrator of the fund, Kāinga Ora – Homes and Communities, announced Hamilton City Council’s $331.5 million central city bid has successfully passed the first hurdle. The bid will help Hamilton to build up as well as out in response to a government directive that high-growth cities like Hamilton allow for greater height and denser housing.

If successful, the funding will help unlock the central city for more inner-city housing, including high-rise apartments and mixed-use developments, that are supported by the appropriate infrastructure, amenities and services.

Hamilton mayor Paula Southgate said the inability of councils, nationwide, to fund critical infrastructure was a massive contributor to the current housing crisis along with increasing rates.

“Nationwide, we simply cannot build more housing without the pipes, the roads, the power….all those things are fundamental building blocks. But there is a frightening gap between the infrastructure that we need, and what ratepayers can afford under the current model,” she said.

As a high growth city, Hamilton was under mammoth pressure.

“At the same time as we have enormous growth to deal with, we also have increasing expectations from the government to meet new rules around water, environmental standards and more. I think we need fundamental change to the way infrastructure in this country is planned, funded and delivered to get on top of an issue which has been brewing for decades,” she said.

“Given that, I absolutely welcome the fact Hamilton is in the running for government funding especially for our central city which has so much promise. Our challenge now is to do everything we can to get this bid across the line.”

Along with the central city, Council’s $18.4 million Rototuna North bid was also progressed. In partnership, with developers, this would enable 900 new homes to be built in the area with as many as 370 delivered in the next four years.

The city’s Rotokauri Stage 1 bid has been put on a reserve list which may see it elevated to the next stage at a later date. The Ruakura-Enderley/Fairfield, Rotokauri Stage 2 and Peacocke South bids for funding were unsuccessful.

Council’s General Manager Growth Blair Bowcott acknowledged that having the central city and Rototuna North bids progressed was “fantastic news” but noted this is not funding approval, and the funding will now need further justification.

“Today’s announcements was really pleasing and is testament to a lot of hard work by a lot of people, but it doesn’t mean the money is in the bank. ”

“We now need to pull together much more detailed information, similar to a business case, for both the central city and Rototuna North that outlines how we will use the funds and the benefits the results will bring to the city.”

Council is expected to deliver a comprehensive business case by mid-December with government aiming to make a final announcement on the funding allocations later in 2022.

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