Pensioners worried about rental increases

The Horowhenua District Council’s move to sell pensioner housing units has residents worried their rent may become unaffordable.

Tenants spoken to in Shannon and Levin fear new housing providers would focus on profit over affordability.

The council is assessing interested buyers for 115 pensioner housing units in the two towns and Foxton, and one hectare of residential development land in Levin.

Paul Swinburn, who lives in a council-owned unit in Shannon, is concerned a new investor would price him out of his home.

Swinburn didn’t want to leave Shannon because his wife lived nearby. However, if the new housing provider did not cater to his needs, Swinburn would consider looking for somewhere else to live.

Paul Romanos, who lives in a council-owned flat in Levin, said putting the rent up would be ‘‘a worry’’. If there was a small increase to the rent, he would stay and ‘‘just grin and bear it’’. But if it was put up to market-rental rates, he wouldn’t be able to afford it, Romanos said.

He pays $145 a week for his flat. Pensioners in New Zealand receive between $780 and $570 fortnightly, depending on their living arrangements. It was disappointing the council was getting rid of one of its ‘‘core responsibilities’’, which was looking after pensioners, Romanos said.

In a statement, the council said it decided in April 2016 that it would ‘‘no longer provide pensioner housing as a core council service’’. But the council would still take a leadership role ‘‘in advocating and facilitating for wider community issues with regards to accessibility and affordability of quality housing’’.

Council chief executive David Clapperton said the selected buyer must be a registered community housing provider and must be willing to make a long-term commitment to Horowhenua.

Interested buyers’ proposals are being reviewed by an evaluation panel.