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Home / Hawkes Bay Today

Cost of legal action thwarted Napier City Council housing land sale

Doug Laing
By Doug Laing
Multimedia Journalist·Hawkes Bay Today·
14 Sep, 2023 11:26 PM3 mins to read

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Land off Prebensen Dr that the Napier City Council had hoped to sell for residential development. It has withdrawn the offer. Photo / Doug Laing

Land off Prebensen Dr that the Napier City Council had hoped to sell for residential development. It has withdrawn the offer. Photo / Doug Laing

The Napier City Council has confirmed the cost of defending legal action in a time of crisis is behind it stepping back from plans to sell a bare block of land for mixed housing.

The 12ha, known as 398 Prebensen Dr and bordered by the Hawke’s Bay Expressway, had been offered in 2021 to government housing agency Kāinga Ora Homes and Communities for possibly 100 new homes, a mix of open-market and affordable first homes and social housing.

But the council decided on July 20 this year to withdraw the offer, in the face of opposition launching an application for a High Court judicial review of decisions leading up to the council’s decision to sell.

The council believed the cost and resources needed for defending the action was one it and Napier did not need as it grappled with the Cyclone Gabrielle recovery.

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In a statement this week, the council said damage and disruption caused by the cyclone placed significant and ongoing pressure on its financial and staffing resources. It said it decided it should prioritise the immediate social welfare and wellbeing of the Napier community rather than continuing with litigation before the High Court.

The decision to enter (in principle) into the sale of 398 Prebensen Drive was for the purpose of providing for a mixed residential development on the land by Kāinga Ora (that provided social, affordable and market units), the council said.

Had the sale proceeded, Kāinga Ora would have been required to obtain all other approvals before being in a position to commence any development.

Still, landowner the council will investigate future options for the land once it has the capacity to do so, a statement said.

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The scene in 2012 as state housing in Maraenui was fenced off for demolition. Photo / NZME
The scene in 2012 as state housing in Maraenui was fenced off for demolition. Photo / NZME

When Hawke’s Bay Today asked if this was an opportunity lost, given that Napier needs available land for housing, the city council replied with a statement:

“The cyclone has resulted in council having to reprioritise its activities across the board, not just in the area of housing.

“This reprioritisation will be shared with the community when we consult on our Three-Year Plan 2024-27 early next year. (The Three-Year Plan replaces the 2024-34 Long Term Plan).”

The council is updating the District Plan, which helps it plan for things such as zoning for future housing developments. It was up to developers to initiate opportunities in land zoned for this purpose, the council said. Public consultation starts on September 21.

A shortage of suitable available land continues in the face of a housing crisis, which included 1371 on the housing register waiting for accommodation in Napier and Hastings at the end of June, comprising 687 in Napier and 684 in Hastings. The peak was 1605 (801 and 804 respectively) at the end of March 2022.

Maxine Boag — a city councillor for 16 years and who has been at the forefront of concerns for the shortage of housing since a range of removal and demolition of state homes started in Maraenui and nearby areas of Marewa and Onekawa — said she was unable to comment on the latest situation.

Doug Laing is a senior reporter based in Napier with Hawke’s Bay Today, and has 50 years of journalism experience in news gathering, including breaking news, sports, local events, issues, and personalities.

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