Kāinga Ora Greater Wellington regional manager Vicki McLaren said all options were being considered for the building’s future, including putting it on the market.

“The options being considered range from rehabilitating and renovating the building to selling it,” McLaren said.

“There are a number of factors to consider, including the building being heritage listed and the emphasis on making financially prudent decisions,” she said.

Wellington City Council documents show Kāinga Ora was granted agreement for a temporary mothballing, as well as the installation of signs and signs to secure the site.

It comes amid financial pressures for the housing agency, which has suspended a number of projects across the country after a scathing report revealed it was seeking to record an annual deficit of $700 million in 2026/27.

McLaren maintains that they are “still working on decisions regarding the future use of the building,” but no decisions have yet been made.

The language hasn’t changed since 2022, when the agency said it was then “considering a decision regarding the future of the building.”

McLaren said the refurbishment would require “major” work.

“Many parts of the building have reached the end of their lifespan and need to be replaced.

“As the apartments are heritage listed, we needed to obtain resource consents and reach agreement with Wellington City Council on how we would protect the visual appearance and heritage status of the building while it remains empty” , she said.

The agency also faced “significant challenges” with squatters and unauthorized entries into the building, spending $124,012 on security guards between June 3 and August 18.

The Dixon Street Flats have historically been used as social housing, built in the 1940s as part of the Labor government’s first public housing programme. This was the second block of apartments to be constructed, following the completion of the first in Berhampore.

The building benefits from the highest level of heritage protection, listed as category 1, and is not listed as earthquake prone on the MBIE earthquake prone buildings register.

Heritage New Zealand describes the building as an “archetype of modernist apartment buildings in New Zealand” which “marked a new era of domestic architecture”.

Housing Minister Chris Bishop described the building as “obsolete” and said there were earthquake concerns.

“Many building components are nearing the end of their service life and need to be replaced, making repairs both costly and time-consuming. »

Bishop did not respond to a question about whether he would be open to Kāinga Ora selling the building or transferring it to a private developer as he had done. previously reported for another Wellington site.

“Kāinga Ora is currently reviewing its options for the future of the building and will provide advice to government. No decision has been made yet,” he said.

President of Inner-City Wellington, the local residents’ association, Reverend Stephen King is urging Kāinga Ora to make progress on the site, saying leaving it vacant is “scandalous”.

“It’s a cornerstone of our downtown residential population … the last thing we need is another Gordon Wilson ghost building.”

The nearby Gordon Wilson Flats were built around the same time as the Dixon Street Flats as part of the government’s public housing program. The 11-storey building is now owned by Victoria University and has sat empty on The Terrace for more than a decade.

King said public housing is needed in the downtown community and contributes to its diversity.

“Having this building in a central location, right there, closed and unused — that’s exactly what we don’t need,” he said.

He warned that vacant buildings also pose a security risk in the capital, stressing problem of homeless people squatting in buildings.

King said it must remain social housing and fears that if the building was sold and managed as private residential apartments it would leave a deficit of affordable housing in the city centre.

Ethan Manera is a multimedia journalist based in Wellington. He joined NZME in 2023 and is interested in local issues, politics and property development in the capital. Ethan is always looking for a story and can be emailed at [email protected].