The Gordon Wilson Flats in Wellington, long seen as a symbol of urban decay, will finally be demolished. The government has moved to strip the building of its heritage status by amending an existing RMA Bill. This will allow Victoria University to push ahead with demolition. The building, which has stood empty since 2012, is considered unsafe and beyond repair. Its removal has been called a win-win, but now the real question begins—what happens next?

Wellington is crying out for affordable housing. While new student accommodation is reportedly planned for the site, many in the city are asking whether that goes far enough. Every week, more people are priced out of renting or buying in the capital. The city is facing a housing crisis, and for a site as large and central as the Gordon Wilson Flats, there is a clear public interest in what comes next.

The flats were once state housing. Built to house lower-income families, they stood for decades as part of New Zealand’s commitment to public welfare. Their fall into disrepair mirrors the larger decline in state housing stock across the country. The loss of these flats is symbolic, but it also raises a sharp issue—can Wellington afford to lose such a site to private use?

Wellington City Council faces tough choices. Rates are rising, budgets are stretched, and public money is being fought over. Building large-scale public or affordable housing takes time, money, and political will. Even if the council wanted to step in and build, could it actually afford to? Recent attempts to develop housing on council-owned land have been slow and difficult. Local residents want action, but many also resist large developments in their neighbourhoods. This tension adds another layer to an already complex debate.

The government, for its part, has focused on reforming the planning system to speed up development. Ministers argue that removing barriers will lead to more homes being built. But critics say the market alone won’t deliver homes for those who need them most. Private developers can’t always be relied on to build genuinely affordable homes, and student flats—while useful—don’t meet the wider demand for low-cost housing.

There is also the question of whether the government should step in and buy the site. If Victoria University is willing to redevelop it for students, could a partnership be struck to ensure some of the housing is made affordable to the public? Or could Kāinga Ora take over the land and lead a new public housing project? So far, no such offer has been made public, and officials have not signalled a shift in that direction.

Meanwhile, the skyline will change. A building that once stood for something bold in architecture and social vision will soon be rubble. Some will be glad to see it go. Others will wonder what, if anything, will take its place for those who need housing most.

Wellington can’t afford to waste this chance. The city needs thousands more homes, and the Gordon Wilson site is one of the few places left that could deliver a real difference. What happens there should be more than a tidy removal of an eyesore. It should be part of a wider plan to fix the housing shortage.

The demolition may be a win in some eyes. But unless the site delivers more than just private rooms, it risks being another missed opportunity. For Wellington to thrive, housing must work for everyone—not just students, not just the wealthy, but for all.