The Central Otago District Council (CODC) has voted to lift rents on the majority of the 98 elderly housing units it owns throughout the district. 

As part of the Long-term Plan 2018 - 28, CODC considered subsidising rents. However, at that time council concluded that a substantial cost would be placed on the ratepayers.

As a result, the CODC charges market rents by conducting annual rent reviews to determine the yearly new rents to charge. 

Rent on council-owned units in the district is between $80 per week for an older single unit in Ranfurly and $280 per week for a newer, larger unit in Cromwell.

Central Otago Greypower president Margaret Hill said the rents charged by the council are “more than reasonable when compared to rents private landlords are charging”. 

“It’s next to impossible to find a house to rent in the district for under $400 per week.”

She said it would be ideal if the increases were kept to a minimum; she believes elderly people on a fixed income would also appreciate further consideration of a rent subsidy in the future. 

“People that are solely reliant on [superannuation] struggle. They're struggling now with high grocery costs and high everything else. The council needs to keep rent increases as low as possible.

“It's not easy for anyone, and having council houses and pensioner flats is a real bonus; we’re lucky the council has retained so many,” Margaret said.

For the coming year, rents are set to rise between $5 and $10, depending on the units' location and age.

The recommended market rent increase is $5.00 per week for older housing units in Alexandra, all Roxburgh units, and the newer larger units in Ranfurly. 

The older units in Ranfurly have no recommended rental increase. All Clyde and Cromwell units have a recommended rental increase of $10.00 per week.