News

Colliers International has just released their December commercial property research report of New Zealand.

The headline reflects our hopes for the summer holiday weather rather than a sunny outlook for the property market in 2010. Our new confidence and vacancy survey results suggest that there are still clouds on the horizon.

The results of our latest quarterly investment confidence survey covering eleven New Zealand markets, are mixed. Confidence about the next twelve months increased in seven centres and declined in four. Declines were most marked in Dunedin and Palmerston North. All three main centres showed increased confidence but the biggest jump was in Hamilton. It joins that exclusive club, which prior to this survey had only one member – Tauranga – where optimists outnumber pessimists.

New CBD office vacancy data for Wellington and Auckland have been completed this week. The Auckland vacancy lift from 8.4% in June to 11.5% in December 2009 is in line with our predictions. The later completion of Wellington’s current crop of new CBD stock explains why the vacancy rate there has increased from 6% to only 6.9%, but that will climb substantially over the next two years.

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