Population Growth versus Housing Supply
New Zealand is facing a significant challenge - a housing shortage that has plagued the country for several years, impeding the growth of communities, individuals, and businesses.
Despite efforts to attribute the problem to COVID-19, the truth is that this housing crisis has been brewing for an extended period, with successive Governments having failed to address the issue.
Picture a vibrant town or city endeavouring to lure in businesses looking to establish or grow, while also grappling with the challenge of enticing employees when budget-friendly housing choices are scarce for renting and owning.
Naturally, incoming residents expect key amenities like hospitals, schools, recreational areas, and shopping centres. No new housing or amenities can exist without additional infrastructure development, including roads, water systems, and sewage facilities, to name but a few which leads to the next question...
Who will bear the financial burden of addressing these critical needs, and how long will it take to do so?
The bureaucratic hurdles at every level present a constant obstacle. Getting a resource consent and/or building consent is a complex process that entails overcoming multiple challenges, incurring substantial costs, and dedicating significant time.
Compounding the issue, New Zealand has a lack of competition for building materials, a shortage of skilled tradespeople, and a lack of common-sense solutions. These factors only serve to worsen the existing housing storage dilemma.
A recent article in Sunlive on March 21, 2024, sheds light on the severity of the situation, underscoring the urgent need for action.
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