Auckland Metro Office Report | Second Half 2020

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  • Overall vacancy within Auckland’s Metropolitan Office market rose to 6.3%, up from the 5.6% recorded 12 months prior, but still well below the 20-year average of 8.4%. Occupier interest and demand in prime quality office space remains elevated which has resulted in vacancy within the  Prime sector remaining largely unchanged at 3.3%. Vacancy within the secondary sector increased from 6.3% in September 2019 to 7.3%. 
     
  • There is approximately 51,219 sq m of office space under construction or refurbishment, representing just over 3.0% of the total current stock. Over half of the pipeline is only expected to be completed by 2022. 60,200 sq m of office space has been consented but progression to the development stage will, in most cases, be dependent upon securing appropriate tenant commitment. The deferment of these projects will help to soften increases in vacancy levels in the coming year.
  • A number of large tenant movements are imminent  as new CBD office buildings are completed. Notable movements include Genesis Energy’s shift from Central Park to 155 Fanshawe Street. Fidelity Life and 2 Degrees will move from the Newmarket precinct to 136 Fanshawe Street when the building completes in 2021.

  • Average prime net face rents have held steady over the year at $331 per sq m and average secondary net face rents at $218 per sq m. Incentives are on the rise but are being tempered in negotiations for shorter and more flexible leasing terms. Average incentives have increased to approximately 14.1%.

  • The current record low interest rate environment, which is likely to persist for some time, provides strong support for investment activity. Notable recent transactions include an office building at 22 Amersham Way, Manukau which sold for $11.0 million reflecting a yield of 6.44% and a data centre at 15 Lambie Drive to a private investor which transacted for $12.0 million representing a 6.1% yield.

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Auckland Metro Office Report | Second Half 2020

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Related Experts

Matt Lamb

Director

Auckland CBD

Matt started his commercial leasing working for CBRE Melbourne before returning to New Zealand where he has spent the past nine years building an extensive industry network working for JLL and Colliers International..

Matt believes the best solutions come from listening to the Tenant, gaining a thorough understanding of the business needs, and having superior market knowledge and insight. With a strong focus on end-to-end leasing solutions focusing on medium to large businesses within the Auckland CBD and city fringe.

Job satisfaction comes from finding the right solution for the Tenant through a structured ‘current reality to desired reality’ process designed to ensure the best property solution. This includes initial investigation and summary, analysis of market, site selection and lease negotiation.

He has consistently been a top tier performer in Auckland for office leasing and prides himself on strong and enduring relationships in the market.

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Gareth Fraser

Auckland Director - Investment Sales

Auckland CBD

Gareth leads Colliers International's Investment Sales team. The team operates across the entire Auckland market from four strategic locations; CBD (including city fringe), South Auckland (based in Highbrook), West Auckland (based in North West Shopping Centre) and North Shore (based in Takapuna).

This is a large team of brokers and support staff focussed on providing solutions to owners, investors, developers, owner-occupiers and tenants. It features a specialised site sales team focussed on residential land and development opportunites. Investment Sales also includes the syndication division, offerring proportionate ownership opportunities to investors on behalf of clients.

Gareth is also on the Executive Team for Colliers in New Zealand.

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Janet Marshall

Director | Commercial

Auckland North

Janet is a Director and Manager Commercial Colliers North Shore located in Takapuna.  Janet was recently awarded the Women in Property 2019 award from the Property Council.

She was awarded Rookie of the Year in 2005, awarded Marketer of the Year in 2013 and promoted to Director in 2016.  

Janet specialises in office and retail sales and leasing, and investment sales.  She is also an Executive on the Takapuna Beach Business Association (TBBA) and previously on the Board of the Business North Harbour business association.  Janet is a member of the North Harbour Club and previously President of the Pinnacle Ski Club.   Her connections are extensive, and with over 18 years at Colliers International Janet is well respected within the industry.  Janet is passionate about commercial property and is one of the leading brokers on Auckland's North Shore.

See LinkedIn Profile at  https://www.linkedin.com/pub/janet-marshall/a/27a/a98

Janet's previous  transactions include:

Leasing includes:

The Warehouse Group
New Zealand Defence Force
The Skin Institute
Transaction Services Group
Kalmar Construction Ltd
Medical Assurance Society
The Crate
New Zealand Drug Detection Agency
Inland Revenue Department  
Property Partners  
Vision Accounting
Ministry of Education  
Advanced Management Systems (AMS)
McLaughlin Law
Automobile Association
Straker Translations 
Accordo Limited
Carter Holt Harvey 
Goodwin Turner Commercial Lawyers 
Smartpay NZ Ltd
New Zealand Institute of Education 
Waitemata District Health Board 
Invenco Group Limited
Kiwibank 
Leading Edge Telecom 
North Harbour Business Association
IMS Health  
CCH NZ Ltd 
Northern Health School 

Sales include:

  • 1/3 and 2/3 Cowley Place, Rosedale
  • 18 Cowley Place, Rosedale
  • 120 Wairau Road, Wairau Valley
  • Unit 6/39 Apollo Drive, Mairangi Bay
  • Unit B1, 34 Triton Drive, Mairangi Bay
  • Unit 1, 31 Northcroft Street, Takapuna
  • Unit 106F Bush Road, North Harbour
  • 8B, 331 Rosedale Road, North Harbour
  • 3 Milford Road, Milford
  • D4, 14-22 Triton Drive, Mairangi Bay

Previous Notable Sales:

  • 2-4 Fred Thomas Drive (60M)
  • ​Todd Park ($33M)
  • 38B William Pickering, North Harbour
  • B2, 34 Triton Drive, Mairangi Bay
  • The Hub, Whakatane ($24M)
  • 1A Nile Road, Milford
  • 14, 100 Don McKinnon Drive, Albany
  • Walton Plaza, Whangarei ($13M)
  • B3 and B4, 17 Corinthian Drive, Albany
  • Unit 9, 100 Don McKinnon Drive, Albany
  • Bunnings, Whakatane
  • A1, 75 Corinthian Drive, Albany
  • B3, 210 Dairy Flat Highway, Albany
  • 104 Rosedale Road, Mairangi Bay
  • B4, 210 Dairy Flat Highway, Albany
  • D3 and D4, 14-22 Triton Drive, Mairangi Bay
  • 11 Apollo Drive, Mairangi Bay
  • K, 39 Apollo Drive, Mairangi Bay
  • 40C Triton Drive, Mairangi Bay
  • 51 Hurstmere Road, Takapuna
  • 3A Tarndale Grove, North Harbour
  • G, 4 Antares Place, Mairangi Bay
  • 2A and 2B, 331 Rosedale Road, Mairangi Bay
  • B8, 210 Dairy Flat Highway, Albany
  • 27-31 Park Road, Grafton
  • 46A-D Constellation Drive. Mairangi Bay
  • B3 and B4, 72 Apollo Drive, Mairangi Bay
  • 4B Argus Place, Wairau
  • B3, 63 Apollo Drive, Mairabgi Bay
  • D2, 63 Apollo Drive, Mairangi Bay
  • 450 Glenfield Road, Glenfield
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Chris Dibble

National Director | Colliers Partnerships, Research & Communications

Auckland CBD

My Colliers Partnership priorities focus on support initiatives that drive collaboration, best practice learning, cost efficiencies and growth opportunities across the wider Colliers International New Zealand franchise network. I also oversee the collaboration and delivery of award-winning research reports and communications for Colliers. With over 13 years of experience and university qualifications in economics, geography, marketing and property. I have a multi-disciplinary approach that assists a broad range of clients and internal stakeholders. I am a regular presenter and market commentator, often discussing the latest insights on current and future property trends. I also work with in-house and external writers to curate an audience-focused content delivery strategy for Colliers.

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Ian Little

Associate Director | Research

Auckland CBD

My Colliers partnership priorities focus on supporting the New Zealand franchise network through the provision of research and thought leadership reports, articles and presentations. I draw on over 30 years of experience in the property market, gained in both the UK and New Zealand to my role enabling me to assist a broad range of clients and internal stakeholders. I am a member of the Royal Institution of Chartered surveyors. I am a regular presenter on current market conditions and future trends to the media, clients and various interest groups.

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Adrian Goh

Research Analyst

Auckland CBD

Adrian conducts and prepares market research reports covering commercial and residential sectors across New Zealand. Alongside this, he actively manages a range of Colliers’ proprietary databases used in providing data-driven solutions for clients and  Colliers’ award-winning research reports. Coming from an academic background in finance and commercial law, Adrian has a unique approach in conducting market macro and micro economic analysis. Prior to joining Colliers, Adrian worked as an assistant valuer assisting with property and plant and machinery valuations at Beca Group.

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