Auckland Council's 1400 pensioner homes look set to pass to a new community-controlled entity to be redeveloped into more intensive housing, partly for sale to private buyers.
The council's development committee, comprising all councillors, has voted 17-1 to seek community housing providers to "partner with council" to manage its 62 pensioner villages covering 26ha.
The community partners are expected to get majority control to qualify for up to $4 million a year in Government income-related rental subsidies. The Government agreed last year to give the subsidies to new tenants of community providers but has refused to give them to councils.
The subsidies will help finance more intensive redevelopment which officials say "could potentially double the provision of housing".
But their report says: "Redevelopment will likely deliver a combination of social and market housing." The council's goals will be to "maintain at least the current level of older adult provision and/or social housing", improve its quality, and ease the city's housing shortage by building new housing for sale.