Christchurch City Council has agreed to lend up to $30 million to the Ōtautahi Community Housing Trust (OCHT) so it can develop at least 130 new social housing units.
“This loan fits with the Council’s policy of growing social housing and will help the Trust meet the upfront costs of building 130 new housing units,’’ says Social, Community Development and Housing Committee Chair Cr Phil Clearwater.
“The Trust also plan to replace 50 of the existing ‘old and cold’ Council units it leases with new warm, dry units so the end result will be 180 modern units to house disadvantaged residents.
“This is a positive first step towards increasing the supply and quality of social housing in Christchurch,’’ Cr Clearwater says.
The Council sought public feedback earlier this year on the loan and received 58 submissions. More than half of the submissions (55 per cent or 32) supported the Council making the loan.
Ratepayers will not incur any costs as a result of the Council agreeing to the loan as the Trust will cover all costs, including interest. It will have 25 years to pay the loan back, with repayments starting before the new units are complete.