Modest rent increase for pensioner housing

Tenants in Waipā District Council’s pensioner housing units will see a modest rental increase from next month.

The rental increases were received at Tuesday’s council meeting, following an independent rates assessment based on market rental value, and a recommendation from staff based on the Council’s Housing for the Elderly policy.

The information-only report was presented in public excluded to allow the tenants to be informed before any increases were made public.  Letters were hand delivered to the tenants yesterday.

Of the 93 tenants, 58 tenants will see an increase of $13 per week. Eleven tenants – all couples – will see an increase of $30 per week; the maximum increase allowed under council’s policy.

Despite the increase, the vast majority of council tenants will continue to pay no more than 75 per cent of the market rent of each unit.  No tenant will be paying full market rent.

Pensioner housing units owned by council in Kihikihi, Cambridge and Te Awamutu are self-funding, meaning they are not subsidised by rates.  Council’s policy also requires rents to be capped at 30 per cent of national superannuation, after taking the accommodation supplement into account.

The last rental increase was in July 2022. New rental charges will come into effect from November this year.

See: Pensioner rent review

 

 

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