Tauranga social housing transfer

MinterEllisonRuddWatts and Anderson Lloyd advise on the Tauranga social housing transfer

Source: MinterEllisonRuddWatts

--

IHC subsidiary Accessible Properties and its special project vehicle have transacted with the Ministry of Social Development and Housing New Zealand (HNZ) to take over the ownership of Housing New Zealand’s properties in Tauranga, and manage their tenancies for an initial term of 25 years.

The Tauranga Social Housing Transfer is the first transfer of social housing to a non-government community housing provider as part of part of the Government’s wider efforts to improve social housing for those most in need.

Transfers will help provide a better range of social housing options. By transferring HNZ properties and tenancies to registered Community Housing Providers the Government is helping grow the social housing sector, and encouraging more diverse ownership within the sector.

Anderson Lloyd partner, David Holden, noted that "This transfer represents a significant growth in Accessible's portfolio. It is a great deal for all concerned, but most particularly the people of Tauranga, as Accessible has committed to bringing a tenant-focussed approach with a view to improving not only the housing and tenancy management services, but also the communities themselves."

He added that it had been a privilege to work with Accessible Properties, and to combine Anderson Lloyd's international social housing and project finance experience with Accessible's detailed knowledge of the local market and reputation as an excellent social landlord.

MinterEllisonRuddWatts partner, Steve Gallaugher, commented that "The Tauranga Social Housing Transfer was a pathfinder for all stakeholders and required close collaboration between all parties and advisors to navigate through the complex structural and legal issues. It is a significant transaction for The Treasury and was a great opportunity to advise our valued customer, Westpac, on yet another project financing of national importance."

The Treasury and the Ministry of Social Development are managing an ongoing process to identify further opportunities for the supply or transfer of social housing, particularly in areas of high demand. The next projects proposed for 2017 include the transfer up to 2500 social houses in Christchurch and the Tamaki regeneration programme looking to deliver more than 7,500 new quality homes, including around 2,500 new social houses.

ENDS

Notes to editors:

The Tauranga Social Housing Transfer settled on 31 March 2017 with financing provided by Westpac.

Parties involved and lead lawyers:

Anderson Lloyd advised Accessible Properties New Zealand Limited and the project vehicles.

- David Holden, partner

- Geoff Busch, partner

MinterEllisonRuddWatts advised Westpac New Zealand Limited and Westpac Banking Corporation.

- Steve Gallaugher, partner

- Tom Fail, partner

Bell Gully advised The Treasury.

- Hugh Kettle, partner

The New Zealand Treasury’s media announcement is available here.

© Scoop Media