Construction of social housing in O'Hara Street in Cairns has been put on hold for the immediate future.
Housing Minister Karen Struthers says building would not proceed until the concentration of social housing in the suburb had decreased.
"What we don't want is high concentrations of social housing in the one suburb," Struthers says.
"That's why we've decided to put construction of housing on O'Hara Street at Earlville on hold for the time being.
"There is a need for social housing in the Earlville area, but we need to get the balance right. To do that, we'll be looking at our existing stock and selling properties as part of our on-going renewal strategy."
Struthers says tenants benefitted most when social housing was balanced with private accommodation and spread across cities and towns.
"The days of old where social housing was concentrated in certain areas are over," she says.
