The government has launched the first KiwiBuild apartments under its pitch to private developers.
Auckland developer NZ Living will build 25 KiwiBuild apartments in a 42-unit development at 340 Onehunga Mall.
KiwiBuild buyers will be eligible for six studio apartments priced from $380,000, 12 one-bedroom apartments from $490,000, and seven two-bedroom apartments at $600,000.
In a statement, Housing and Urban Development Minister Phil Twyford said it offered an attractive opportunity for first home buyers.
"This is a unique opportunity for those who have been locked out of the property market to buy a modern, new home in an increasingly popular area that might otherwise have been out of reach for first home buyers."
"The @340 Onehunga development is a six-minute walk from Onehunga train station and on a main bus route with connections to the CBD and Auckland Airport. It will also have light rail.
Buyers will be able to enter the ballot from next week.
The apartments are the first to be announced under the government's Buying off the Plans initiative which provides an incentive for developers by underwriting sales.
Construction begins today and the development is due to be finished by August 2019.
The KiwiBuild Unit has received 97 development proposals and signed four contracts so far. Another three are waiting for ministerial sign-off.
Details on exact locations are still to be released but the Unit has said they are in Auckland, Taranaki, Waikato and Queenstown-Lakes - the first KiwiBuild deal in the South Island.
A further 42 developments are in negotiation with KiwiBuild and 48 have been rejected for not fitting the criteria.
Under KiwiBuild, the government has set a target of 1000 homes to be built by the end of June 2019, ramping up to 5000 by June 2020 and 10,000 by June 2021.
So far 18 homes have been completed as part of the McLennan development in Papakura and a further 12 are due to be finished at the site by the end of the year.
Mr Twyford said he wasn't daunted by the target.
"We'll be announcing projects all around the country in the coming weeks through the Buying Off the Plans initiative working closely with private developers, but also more large scale developments that the government is initiating.
"And also the building of KiwiBuild homes in amongst the redevelopment of Housing New Zealand properties.
"We're pretty confident we're on track to deliver a thousand KiwiBuild homes in that first year from July 1."
McLennan (88 homes)
- 18 homes finished with the ballot open until 5 October.
- 12 under construction for completion at the end of 2018
- 58 more to be finished down the line
Unitec: 1200-1600 homes
- The government has bought the land and plans to build 3000-4000 homes of which 40 percent will be KiwiBuild
- timeline uncertain
Onehunga Mall: 25 apartments
- 25 KiwiBuild apartments, a mix of studio, and one- and two-bedroom units
- ballot opens week of 17 September
Mangere redevelopment: up to 3500 homes
- over a period of 10-15 years, 2700 worn-out state houses will be replaced by 10,000 new homes, 3500 of them KiwiBuild
- first stage will see at least 50 KiwiBuild homes completed by end of 2019/early 2020
Northcote: up to 400 homes
- led by HLC (Housing New Zealand owned subsidiary) and will have 1200 houses, a mix of state houses, KiwiBuild and market homes.
- first of the Kiwibuild homes to be finished 2019
Mt Roskill: more than 2400 homes
- replacing 3000 state houses with 10,000 new homes including 2400 Kiwibuild, 3000 market and 3000 state houses.
- 10-15 year time frame
- first KiwiBuild homes not expected to begin until mid-2019 when 90 state homes are replaced with 300 new homes of which 95 will be KiwiBuild.
- the Roskill South part of the redevelopment will be finished in 6 years and total 578 market and affordable homes