Below is a story which just reinforces why Elon Musk is a hero of mine.


Seriously however, the Kiwibuild initiative took an official step forward this week on something that's been brewing for a while - they will buy (or underwrite) stock from the private development sector. 

I wrote about this when first announced that Govt will most likely be leaning on private developers to do the heavy lifting to get anywhere close to Phil's 100,000 target in 10 years. 

If the above holds true, they're simply replacing what would have been built in the private sector, but claiming it as their own.

They're politicians, not developers after all. I heard somewhere that 18 (yes eighteen) have been delivered so far.

I'll accept that it's helping some developments press on, in a difficult funding environment.

However, let's think this one through, it carries the risk of the Government underwriting such developments, which I'm sure there will be many that thrive and succeed, but for the ones that are at risk and come unstuck, will not make for a happy story for the taxpayers. I can just see the NZ Herald reporters salivating right now at the thought of this story!

Maybe Phil should pick up the phone and give Elon a call, as I think there's a fair bit of dirt (not just at Parliament) looking for a home from all the boring that's going on from the CBD to Mt Eden and beyond to make way for the CRL project.

Happy Weekend.

Graeme Fan