$550,000 apartments in Newtown snapped up
A housing development in Wellington offers no parking yet the majority of the 56 ‘‘affordable’’ two-bedroom apartments have been sold off the plans.
Developers Craig and Greg Walton were granted resource consent for 6 four-storey buildings in the suburb of Newtown, which sits on the city fringe.
Agent Alen Moshi said ‘‘The Village’’ would offer much-needed affordable first-home options for Wellingtonians.
The rush to buy off the plans was indicative of the housing shortage in the capital but was also price-driven because they started at $550,000, he said.
A Century 21 real estate listing for the European-styled, low-rise complex boasted presales targets were ‘‘smashed’’ with 41 of the two-bedroom apartments selling in just four weeks.
Located at 16-18 Constable St and 13 Newtown Ave, the sites are currently occupied by a car parking area and three buildings.
Moshi said the presold homes proved the Wellington first-home buyer market would roar when the right product was delivered.
The Wellington region had experienced strong price growth with its residential housing stock in recent years as city rents reached unprecedented heights.
‘‘This development is living proof you can still buy a brandnew attractive apartment in inner-city Wellington for an affordable price,’’ Moshi said.
The apartments would qualify for the Welcome Home Loan grant of $10,000 for an individual or $20,000 for a couple. People could then add their Kiwi Saver to form a deposit.
Wellington Mayor Justin Lester said it was encouraging to see private developers giving serious thought to the need for affordable housing.
‘‘The private sector is a key piece of the housing puzzle, and the benefit of being serious about affordability means that it becomes an option for more people to buy homes.’’
Lester said it was important for developers and agents to talk to prospective first-home buyers and builders about the council’s $5000 rates rebate, which became available from July 1.
Wellington City Council’s housing portfolio leader, councillor Brian Dawson, said the Kiwibuild figures stated $500,000 was affordable for Wellington.
However, there was no one magic figure, so a Wellington Housing Affordability Measure (Wham) was being developed by the council. The model starts with the total household income and looks at what people can actually afford given their earnings. That number would then be different depending on the population group.
‘‘The private sector is a key piece of the housing puzzle.’’ Wellington Mayor Justin Lester