6526 (2025). Hon Kieran McAnulty to the Minister of Housing

6526 (2025). Hon Kieran McAnulty to the Minister of Housing: What are the funding streams or appropriations for Kāinga Ora new builds?

Hon Chris Bishop: Kāinga Ora – Homes and Communities advises me that it receives market rent for all its social houses, funded in part by the Crown via the Income Related Rent Subsidy (IRRS) and income direct from tenants. Additionally, for net new homes (or growth in social housing) in recent years it has received an Operating Supplement to cover the shortfall between market rent and the additional asset and financing related costs of delivering growth in the portfolio. These revenue streams are expected to cover all operating costs associated with a home, including servicing of debt financed capital investment. To support its capital programme, Kāinga Ora raises debt (via the Debt Management Office) or uses the sale of older homes to finance the construction. As noted above, debt is serviced via the rental streams from its portfolio – Kāinga Ora does not receive any capital grants for social housing. Kāinga Ora receives appropriated income and rent to manage its Community Group Housing portfolio.