16 Apr 2014

New villages for Christchurch planned

9:45 pm on 16 April 2014

The Government is proposing to build two villages in central Christchurch as another step to tackle the earthquake-hit city's housing crisis.

Nick Smith.

Nick Smith. Photo: RNZ / Diego Opatowski

It plans to build 180 homes on council-owned land to provide temporary accommodation.

Housing Minister Nick Smith said on Wednesday as part of an accord with the Christchurch City Council two villages will be built on Colombo Street on the site of the former Sydenham School and on Welles Street.

"At the end of the demand for temporary accommodation, they're going to be sold through on the private market - but they are going to be houses that are going to be in the affordable range."

Under the accord, the Government will invest $75 million and the council $50 million in the villages and is subject to consultation and ratification by the full council.

It is hoped that people will be living in the villages by the end of this year.