Tauranga developer Peter Cooney wants to shake a developing misconception that special housing means cheap-looking housing.

The Classic Builders director says there's a mistaken belief about special housing being low quality that must be shaken.

Developer Peter Cooney believes open plan living is in demand.

'With councils fast tracking re-zoning of land, builders and developers are tending to build or develop slightly smaller lots, which obviously affects the total end price of the package,” says Peter.

'But the quality is not compromised at all.

'What is happening, in fact, is that housing quality is being improved in some areas. It's just the size of the dwelling and the size of the site is smaller, that's all.”

Houses are now designed to be much more functional compared to previous years, where living areas were once separated.

He says: 'You've got your kitchen, dining, and living areas open planned these days, and there is consumer demand for this type of open plan living rather than a lot of separate living areas.

'So house designs have improved and couples and families are finding they can function just as easily compared to a much larger house.”

The government's Special Housing Accord is not there for the purposes of creating cheap housing areas or areas where there will be inferior quality of housing, says Peter.

'Rather, it is helping free up land at a quicker rate,” he adds, 'which enables more houses to be built and drives more competition.

'The benefits are twofold; this approach helps drive down the price of land and enables and puts some restrictions on those areas where they want to see more affordable homes being built and to achieve that.”

There is also a market trend where people are accepting living on smaller sites, especially in areas that are close to infrastructure.

Special housing is becoming a common theme throughout Auckland, followed closely by the Bay of Plenty, Christchurch and Queenstown.

Classic Builders is involved in a number of developments, including being one of four building partners in the high profile Hobsonville development, transforming the former Whenuapai Airbase in Auckland.

'Hobsonville is a great example of how comprehensive developments in every area can be done,” says Peter. 'You achieve affordability, a median to high price, and all integrated.

'This development has a mixture of high quality end housing plus affordable housing. But the overall compatibility, aesthetic value and quality - it's all the same high standard.”

Classic Builders is also developing an area of land in Waihi Road. It's an infill site being utilised to its fullest potential, says Peter. The site has been intensified to satisfy the demand for quality homes at an affordable level.