A report on housing says town planning regulations might be partly to blame for high land prices driving up housing costs.
Motu Research was commissioned by the Centre for Housing Research to do the report.
It found that on average, house prices increased in real terms by 105 percent between 1981 and 2004.
Land prices went up by 286 percent in the same period.
Motu's senior research associate, Arthur Grimes, says land prices might be rising so quickly because of town planning regulations aimed at restricting urban sprawl.
The chief executive of Fletcher Building's infrastructure division, Mark Binns, agrees restrictions placed on Auckland's urban boundary have created real problems.
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