State housing provider Kāinga Ora is suspending plans for a development on a northern Auckland street, after residents complained it came out of the blue.
Kāinga Ora planned to build 37 homes and a community room on Bonair Crescent in Millwater.
But the agency's regional director Taina Jones acknowledged the development took residents by surprise.
She said Kāinga Ora had halted its plans and would immediately start talking to residents before further decisions were made.
"We realise we should have approached locals earlier to get their views.
"We are starting over. We have suspended any decision regarding development so we can genuinely listen to the community and understand their aspirations for the area."
Jones said Kāinga Ora officials knew some residents were opposed to the plan.
"We recognise that there are some strong views against us building public housing in this area but, in our experience, Kāinga Ora customers are generally positive members of their communities.
"There are also many people who we have not yet heard from, and we want to understand their thoughts about a potential development."
Kāinga Ora would keep residents informed throughout the engagement process, she said.
RNZ visited Bonair Crescent in May; Some residents opposed to the development said it could change the character of the neighbourhood.