At the end of March, 238 people were on the Dunedin City Council's community housing waiting list, an increase of about 30 since the start of the year.
Those over 55 and on low incomes were given priority when applying for a housing unit.
Council housing manager Alana Reid said there were two major community housing upgrades planned, one at a block of flats in School St and another at the Palmyra housing complex in Melville St.
The upgrades were part of an ongoing maintenance programme, through which the council assessed its property portfolio, Ms Reid said.
All nine of the 50-year old units in School St would be demolished and rebuilt to meet new standards for accessibility, insulation, ventilation, heating, and fire protection.
All of the tenants had been notified and would be rehoused at other community flats for the nine months it is expected to take for the work.
Repairs were considered but the cost was comparable to a rebuild and advantages of a new build included adding access and facilities for people with disabilities, she said.
The council is also planning a upgrade of the 38-flat Palmyra housing complex over five years at a cost of $5million.
While most of the work would be on the exterior, some residents would likely need to be relocated during the work, she said.
Residents of the School St complex spoken to by the Otago Daily Times yesterday said while the rebuild was inconvenient, they understood the reasons for it and the council had been very open with them.
One resident, 91-year old Frances Legg, has lived at the complex for nine years and said she never expected she would need to move out.
Moving would be inconvenient but the new building would be a great improvement, Mrs Legg said.
``It will be nice to move back in when it's all finished.''
She was still unsure where she would be moved to but expected to be told soon.
