Mayor Phil Goff is welcoming the purchase of a big parcel of land in Auckland by the government and is promising to facilitate the building of affordable homes on it.
On Sunday, Housing Minister Phil Twyford revealed he had done a deal with Unitec to buy 29 hectares of the tertiary education institute's spare land in Mount Albert, where 4000 homes will be built as part of the government's KiwiBuild policy.
National says the Government has just agreed to subsidise the building of homes that would have happened anyway.
It's the first major development announcement of the policy.
Mr Goff said it won't be easy to achieve the government's ambitions. In recent years construction costs had gone up by more than 7percent a year and skills shortages had worsened.
"Council will assist the Government wherever it can with planning and building consent needs, and work with government through its development arm, Panuku, and the Mayoral Housing Taskforce, to meet the challenges of increasing the pace and scale of building in Auckland," Mr Goff said.
The former Labour Party cabinet minister said he applauded the vision and ambition of the Government's KiwiBuild programme.
"We need a transformational programme to tackle the increasing unaffordability of home ownership for many Aucklanders as well as soaring rents and growing homelessness," he said.
Mr Twyford said as many as 3000 to 4000 medium-density homes could be built on the site, with up to 40 percent expected to be Kiwibuild homes priced at between $500,000 and $600,000.
Some state homes would also be built on the site.
The Government said the land was purchased at market value.
The median house price in Mount Albert is more than $1 million, according to valuer QV.