The unit investment trust will invest $4 million in a $25 million project to create a $20 million home for low-income earners in Auckland.
Key points:The unit investment Trust has received funding from Auckland Housing CorporationThe trust will work with developers to build the homeThe home will be sold for $50 million to fund the unit investmentTrust is expected to sell the home at auction on February 14The Auckland Housing Commission (AHC) will fund the project, which is being managed by the unit asset trust.
Project manager Tony Mase said the trust was a partner in the project.
“We are working with the AHC and are a very long-term partner in this project, so we will be working with them on the terms of the investment,” he said.
“This is an incredibly important investment in the area of affordable housing for low income earners.”
The unit is expected build the unit to provide affordable housing to people living in the Auckland suburb of Maitland and provide them with a home of their own.
“There is no doubt that people of all income levels, regardless of where they live in Auckland, will benefit from this investment, especially people who are not currently able to access affordable housing,” Mr Mase explained.
“I believe this is the most important housing development in Auckland in decades and we want to be a catalyst for the rest of the country.”
The Auckland Council has also committed to investing $1 million in the development.
It is not clear how much the project will cost, although the trust has pledged to use $4.5 million from its $25.6 million investment.AHC Chief Executive Officer Steve Gillett said the development was “a testament to the work of the Auckland Housing Investment Trust”.
“The trust has provided housing to New Zealanders who are currently struggling to get on the housing ladder, and it is a real testament to what they have achieved in Auckland,” he told ABC Radio Auckland.
“The AHC has been instrumental in getting this project off the ground.”
The project is expected go on-sale on February 12.
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