Around 80 of the 200 proposals for the $1 billion house development fund were approved
More than 80 proposed developments from councils, iwi and developers are given the go signal to proceed to the next stage of the $1 billion Infrastructure Acceleration Fund (IAF).
Announced as part of the Government’s $3.8 billion Housing Acceleration Fund last March, the IAF is designed to allocate funding for key infrastructure, enabling house development in the short to medium term to areas that need it most.
Kainga Ora has recently concluded its initial evaluation last Friday, assessing each proposal based on capability, readiness, cost effectiveness and applicant contribution.
The IAF received over 200 proposals sprawled across regions, with the applications totalling over $5 billion of funding requests—many of which are from territorial authorities.
The next step asks successful applicants to submit a more detailed response to a request for proposal initiation before the year ends.
Caroline McDowall, general manager commercial group of Kainga Ora, said that this rigorous two-phased evaluation “ensures applicants focus time and resources on proposals with the best prospect of success in the competitive process.”
“Unfortunately, the great demand for this funding also means there will be a few disappointed applicants now that the first stage is complete,” McDowall said. “The IAF has a set amount available to invest in infrastructure projects and therefore not all proposals can succeed.”
On the other hand, some proposals have the potential to be accelerated through the next stage. If approved, it is estimated that housing delivery will take place within the next five years once the funding is received.
“While we will still be undertaking careful due diligence, the hope is that we can fast-track some proposals, to jump-start some of the much-needed housing developments as soon as possible,” McDowall said.