19561 (2024). Hon Kieran McAnulty to the Minister of Housing

19561 (2024). Hon Kieran McAnulty to the Minister of Housing: What is the current difference, if any, between the average construction costs of new homes built by Kāinga Ora and those built by Community Housing Providers by square metre?

Hon Chris Bishop: The average construction cost of a new build by KO is $3,462 per square metre and by a Community Housing Providers is $3,826 square metre. However, these figures do not take into account the overhead costs. The 2023 Spending, Funding and Financing Review undertaken by the Treasury and HUD with Kāinga Ora found that the total capitalised cost for Kāinga Ora redevelopments (and therefore associated borrowing) were broadly split 50/50 between build and non-build costs which include internal Kāinga Ora staff costs. The two construction cost rates noted above for Kāinga Ora and CHPs should not be used for comparative purposes as they have not been arrived at by using similar sample sets, calculation methodologies or costing information from the same time periods and points in the project lifecycle.