Mrs Bennett said putting tenants first and promoting housing independence was central to the Government's continued investment in social housing.
"Budget 2015 ensures the Government can take the next crucial steps to provide more social housing for those New Zealanders who most need it.
"Housing needs range from emergency and social housing right through to affordable housing and we are focused on helping people on that journey to housing independence where appropriate."
She said the social housing reform programme, announced in January, included initiatives to increase the supply of social housing and better match tenants to properties that fitted their needs.
As part of the programme, the Government is transferring 2800 state houses in Tamaki to a redevelopment company to build a mix of social and private housing.
On top of the $35 million in new operating expenditure over four years, about $30 million would be reprioritised from funds previously earmarked for capital grants through the Social Housing Fund.
"The Government is encouraging more innovative and diverse ownership of social housing by growing the community housing sector. Consultation is underway to transfer between 1000 and 2000 Housing New Zealand properties to registered Community Housing Providers by the end of this year.
"We are making a clear choice to support people, as opposed to being single-mindedly focused on how many properties the Government owns."
Community housing providers were closer to tenants, knew the communities they worked in, and could better provide wrap-around services which many tenants needed, Mrs Bennett says.
Meanwhile, the Salvation Army said it supporting moves to free up Auckland land for to build more affordable housing.
"With insufficient affordable, social and emergency houses, particularly in Auckland, this announcement does help to incentivise organisations to focus on addressing the Auckland housing supply crisis."
