Defence Force homes near Whenuapai Air Base in Auckland (file photo). Photo: Supplied / Google Maps
The Defence Force is looking for a builder to begin work on 50 new homes, along with a park and playground, in Waiouru.
It is one of its first projects under a programme to overhaul its collection of 1800 houses, many more than 60 years old and in poor condition.
Defence papers said most required "upgrading urgently".
The housing programme, agreed by the previous government, aimed to build more than 200 houses and renovate another almost 900, as well as secure 500 rentals.
The capital spend has been put at $1 billion through to 2031, and $3b over 25 years with operating costs and depreciation.
As part of a housing development by Ngāti Rangi, the Defence Force aimed to build 50 new homes in Waiouru and modernise another 160 homes; Linton, Ohakea and Burnham are the other bases in the housing first phase, out of nine NZDF locations.
The state of the houses "poses potential health risks and can cause housing-related stress to ... personnel and their families" and was linked to health conditions like asthma, a Cabinet minute a year ago said.
Devonport is one of the larger bases, with about 300 houses, being gradually transferred to iwi under a Treaty settlement; the Budget in May funds leasing 35 replacement homes there.
NZDF has been putting up the rent for service people, though they remain at discounted rates.