Today, Mr Town said the council had five months to find a solution to the housing density issue before the council makes final decisions on the Unitary Plan, or new planning rulebook for the Super City, in August.
However, he said nothing could be done until the council heard from the independent panel hearing submissions on the Unitary Plan.
Mr Town said the panel may offer interim guidance at the end of public hearings on the precinct and zoning issues.
He believed this could create an opportunity for a group of independent people to go into communities and canvas views.
The idea of an urgent community process, run by an independent work group, was proposed at last week's council meeting, but rejected because it was part of a wider motion to proceed with the housing intensity proposals in council evidence to the hearings panel.
The independent hearings panel is due to release recommendations in July for the council to make final decisions in August.
Prime Minister John Key will not rule out Government intervention to solve Auckland's housing problem after the council scuttled plans for greater density of residential development in the city.
At his weekly press conference this week, Mr Key reiterated Finance Minister Bill English's comment that "all options were on the table" in dealing with Auckland's housing issue.
He said it was a growing city and needed to build "up and out".
Generation Zero spokesman Leroy Beckett said it was smart and necessary for the council to reach out to all sides to find common ground.
"The debate got very heated last week, and there is a lot of misinformation being spread that has got the public and some councillors are worried about the council's proposal. We hope an independent working group will be able to cut through this drama and help councillors make the decision that is best for Auckland based on the evidence."