‘Slumlords’ driving up Queenstown rents
‘SLUMLORDS’ are taking advantage of the Queenstown accommodation crisis, a local district councillor says.
An increase in the resident population is driving land and house prices up while available rental stock is all but drying up amid a tourism and construction boom.
Happiness House, a community drop-in centre, is recording more instances of people with anxiety due to housing and financial stress. Almost 1000 people a month now drop-in to the Park St centre for support.
General manager Karen Stuart – a Queenstown resident for more than 30 years – said there was a noticeable increase in the number of people with anxiety.
Supply and demand was a longstanding problem in the resort, she said.
‘‘It’s not dire because we have a lovely community.
‘‘But there’s a lot of people making a lot of money.
‘‘We’ve got people living in their cars. It’s been a hell of a winter for us seeing what’s going on.’’
Councillor Alexa Forbes said the resort needs to think carefully about its growth.
The district population has spiked, tourism numbers increased at unprecedented levels in the last year and a commercial and residential construction boom has brought jobs and new businesses.
Housing stock, however, has all but dried up with the rental market at capacity and first-time
do buyers odds.
Forbes said she was told about one boarding house with 13 tenants, paying $140 for a bed in a house with one bathroom.
A landlord nets $1820 per week at that rate although there is nothing to suggest boarding houses in Queenstown are anything but legal and compliant. Forbes said signs of poverty were getting worse.
‘‘There’s a lot of poverty starting to emerge in Queenstown.
‘‘We’re now suffering from severe overcrowding and severe family stress.
‘‘I’m not sure that extends to working for low wages so other people can make a lot of money and pay for absolute crap.
‘‘Slum landlording is what’s going on.’’
The Government and the Queenstown Lakes District Council have introduced measures designed to alleviate housing stress but rents are increasing, stock is dwindling and buyers are scrambling to get on the property ladder.
New housing subdivisions are on the horizon but this does not necessarily address the need for accommodation among people on low incomes.
Happiness House coordinator Niki Mason said uncertainty about housing created anxiety.
‘‘When you are working and living week to week, if people are just managing and budgeting, well, if there’s an event like having to move or replace car tyres or somebody getting sick it can tip it into crisis point and things spiral out of control.’’
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