Minogue told Radio New Zealand that it was a "big advantage" to have competitors "all in one place" at the event.
It follows concerns raised by countries such as Tahiti.
In January, organizers announced a "compound" owned by the country's Methodist Church will act as an Athletes' Village.
Originally the plan was to house all athletes in hotels but the vast majority will now stay in accommodation provided by the church in Faleula after organisers struggled to find sufficient providers.
