Housing costs questioned

Press, 7 December 1976, Page 6

Housing costs questioned

Detailed reasons explaining why a community housing project had run $llO,OOO lover costs estimated only a • year ago would be studied by I the Christchurch City CounIcil’s housing and property ‘committee, the committee’s chairman (Cr Bruce Britten) said yesterday. The Ensors Road project, of 24 units, had a 27 per cent cost increase since the original $420,000 loan was sanctioned in November, 1975.

Because the housing will now cost about $530,000. another loan sanction will be required to complete the financing. “I doubt whether money was spent wisely in this case,” Cr Britten said. “It would appear the council did not check the progress of payments before they’ were made.”

Another $200,000 would be needed to build a 3500 sq. ft brqwch library’ in Papanui, and thi council had no pres-

ent funds from reserves or other sources to pay for such a building. Cr Britten said the preliminary estimated cost seemed too high. “Quite clearly, we are not keeping our feet firmly on the ground,” he said.

Other councillors said the building should be financed through a loan, but a more detailed cost estimate would be required.