Heritage building owners could soon have access to loans from the Dunedin City Council to pay for earthquake strengthening work.
The council has been investigating a scheme that would allow council-sourced loans to be offered to building owners to fund earthquake-strengthening work.
The loans would be repaid by owners to the council using a targeted rate attached to the owners' properties.
If the building was sold, the targeted rate would remain with the property and be transferred to the new owner, until the debt was repaid.
The idea was first raised by building owner Dr Hayden Cawte, of New Zealand Heritage Properties Ltd, during last year's public hearings on the 2011-12 council budget.
Since then, council staff had been investigating the possibilities of the scheme, including seeking legal advice, drafting documentation and gauging the interest of building owners.
A report by council heritage policy planner Glen Hazelton, to be considered at this week's budget meetings, said the scheme was now ready to be launched in time for the start of the 2012-13 financial year on July 1.
If implemented, the council would the first in New Zealand to offer such assistance for earthquake-strengthening work, although the Wellington City Council was investigating a similar scheme, Mr Hazelton's report said.
He suggested owners be given until March 30 to apply for the 2012-13 funding round, with the council setting aside $500,000 for the first year.
The tight deadline would allow the funding to be signed off as part of final budget deliberations in June, and also restrict demand for the scheme in the first year, Mr Hazelton suggested.
His report said the scheme would be "cost neutral" to the council, but warned defaults or the loss of a building could cost the council.
