Hamilton East's Jebson Place might be designated a special housing area, which would mean development could proceed faster and at a slightly higher density.

Jebson Place used to be full of boarded-up state houses.

They've gone and the Hamilton East site could become the city's first special housing area.

A $7 million redevelopment has already been announced to create 71 new homes on the triangular site.

HAMILTON CITY COUNCIL/SUPPLIED The development is a partnership between Housing NZ and Waikato-Tainui. Pictured is an artist impression from the application to Hamilton City Council.

Another nine could be added if a special housing area application is successful - and Hamilton City Council staff said the plan should go to the Government for approval.

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* The slums of Jebson Pl

* Three special housing areas mooted for Hamilton

* Fast-track housing area policy passed at Hamilton City Council

Former Jebson Place residents were progressively moved out of the the 2.4-hectare site from March 2012.

The new development would better use the area, an application to Hamilton City Council says - "replacing the previously existing 58 dwellings that were in poor condition with new residential development and increasing the number of units to 80".

"Those [previous] dwellings were 1950s and 1960s state houses that were ill-designed for modern families and lifestyles, and reached the end of their useful life, falling into disrepair."

A $7m development concept was announced in June - a partnership between Housing New Zealand and Waikato-Tainui.

CHRISTEL YARDLEY/STUFF The 1950s and 1960s state houses that were at Jebson Place have been demolished (file photo).

Housing NZ has already been granted three resource consents by Hamilton City Council, but a special housing area designation would mean the development could move faster and be developed at a higher density.

The biggest chunk of the Jebson Place site would be developed by Waikato-Raupatu Lands Trust, and could take 50 free-standing dwellings.

The current consent is for 41.

HAMILTON CITY COUNCIL Approving the Jebson Place site as a special housing area would mean a few extra houses could be put on than initially planned. Pictured is an artist impression of part of the development, from the application to Hamilton City Council.

Most of the homes would be three bedrooms or more, the application said, and between 10 to 20 per cent would be affordable.

Housing NZ's part would be on the Dey Street/Wairere Drive side, where 30 two-storey social housing units would line the road.

Those would be a mix of terraced dwellings and apartments, the report said. Construction could begin soon.

Five other areas were pitched as possible special housing areas, and staff have recommended more work on those proposals.

The applications were for: Gilbass Avenue, Maui Street and Eagle Way, Te Awa Lakes, Rotokauri North, and Tawa Street.