Insight Report: Edition 3 - Inclusionary Housing

A proven value capture tool to deliver long-term affordable housing

In this edition we explore one of the most effective tools for delivering affordable homes — Inclusionary Housing, or Inclusionary Zoning as it is often known. Around the world, this approach has helped communities provide homes for low and moderate-income households through all economic cycles. It’s not a theory; it’s a proven, practical solution that already works here in Aotearoa New Zealand.

We learn how Inclusionary Housing creates a steady pipeline of land, capital, and homes held by registered Community Housing Providers — homes that remain permanently affordable and build thriving, inclusive communities.

In New Zealand, the Queenstown Lakes District has led the way for over twenty years. Their commitment means teachers, nurses, and long-time residents can still live where they work. Most people in the region personally know someone housed through this system.
Our country has one of the lowest levels of social and affordable housing per capita in the developed world. We are far behind our peers, but Inclusionary Housing offers a clear path to catch up. The good news is that we know it works. The even better news is that RMA reforms give us a once-in-a-generation opportunity to back it with national legislation and take it to scale. No more pilots. No more one-offs. It’s time to replicate success across every community.

With central government support and enabling national legislation, local councils and communities can deliver Inclusionary Housing at scale. It’s a proven model for lasting affordability and resilience. Let’s make it a core part of how Aotearoa New Zealand builds secure, affordable homes for everyone.

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