Auckland Industrial Report | Second Half 2019

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The latest August 2019 industrial survey shows the overall vacancy rate remains low at just 2.1 per cent. Some options have become available with secondary vacancy rate increasing to 2.3 per cent from 2.0 per cent in August 2018.

Several infrastructure projects are on track to be completed over the next few years providing more opportunities for industrial tenants. There is currently 283,000 sqm under construction in Auckland, 172,000 sqm consented and a further 69,005 sqm in the planning and feasibility stages. Location continues to play a significant role in tenant demand as precincts located near main arterial routes such as the Airport Corridor are experiencing record high demand and record low vacancy rates.

Warehouse rental growth continues to track upwards due to strong market fundamentals and high levels of tenant demand. In Q3 2019, prime average warehouse rents rose to $134 per sqm, up from $130 a year ago. Secondary average warehouse rents rose to $113 per sqm, up from $106 a year ago. Auckland yields are sharpening as a result of confident investors and a low interest rate environment.

The 2Q 2019 Colliers International investor confidence survey found the Auckland industrial sector to achieve a net positive (optimists minus pessimists) score of 70 per cent, the highest recorded since Q2 2016. Over the past three years, the industrial sector has consistently achieved the highest confidence scores.


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Auckland Industrial Report | Second Half 2019

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Chris Dibble

Director | Research & Communications

Auckland CBD

Chris Dibble oversees the delivery of award-winning research reports, PR and Communications for Colliers International New Zealand. With over 13 years of experience and university qualifications in economics, geography, marketing and property, Chris has a  multi-disciplinary approach that assists a broad range of clients in their strategic decision making. Chris is a regular presenter and market commentator with an extensive network of media contacts to discuss the latest insights on current and future property trends. Chris also works with in-house and external writers to curate an audience-focused content delivery strategy for Colliers.

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Greg Goldfinch

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I am the National Director for industrial across all of New Zealand based in our South Auckland industrial office.

I specialise in the mid to upper end of the industrial sale and leasing markets. Since joining Colliers in 2004 I have established strong relationships within the industrial market and have worked exclusively for a number of national and multi-national clients.

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