PHOTO: One Auckland site will soon house 250 apartments as part of a build to rent scheme, providing long term tenancies. Source: 1 NEWS
The Property Council is warning build-to-rent construction could dry up if the government doesn’t rethink its new investor tax policies.
The sector is seen as one of the solutions to the housing crisis, but it’s feared any changes could put developers off.
One Auckland site will soon house 250 apartments as part of a build to rent scheme, providing long term tenancies.
The developer says there’s more in the pipeline.
“Our rollout would see about four to five of these buildings in the fringe CBD area of Auckland,” David McConnell from the McConnell Group said.
But the sector is under threat by government plans to scrap interest deductibility on residential investments, closing off an avenue for investors to decrease their tax bill.
There are fears it could turn them off completely.
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