Property

Number of Auckland industrial vacancies drops

Industrial vacancy rates in Auckland are improving, according to the latest report from commercial property services firm Darroch.

Wednesday, August 15th 2012

The improvement in leasing activity started in June 2011 after two years of rising vacancies.

The former Manukau City industrial vacancy rate is down 0.9 percentage points in the last 12 months. In June 2012 vacancies were at 4.6%, down from 5.5% in June 2011. This decrease is due to a mixture of large tenancy movements. Darroch’s report cited PMP Print Ltd, which consolidated all of its operations into 18,500 square metres of industrial space at 44 Dalgety Drive, Wiri.

The former Auckland City industrial vacancy rate fell a marginal 0.1 percentage points from 4.6% in June 2011 to 4.5% in June 2012. It is the third consecutive year of decrease in vacancy since the June 2009 peak.

The North Shore City industrial vacancy rate had a drop of 1.7 percentage points over the past year. This is down from 9.0% in June 2011 to 7.3% in June 2012 as a result of slightly smaller tenancy movements contributing to the overall decrease in vacancy. This is the second consecutive year the leasing activity for this area has improved.

The Avondale/Rosebank Road precinct is smaller in comparison to the others. It had a significant increase of 1.6 percentage points from 2.0% in June 2011 to 3.6% in June 2012 due to numerous small tenancy movements.

Overall, the greater Auckland Region had a decrease of 0.6 percentage points over the past year. This is a decrease from 5.5% recorded in June 2011 to 4.9% in June 2012.

Darroch’s regional Director of valuations (Auckland), Mike Bristow, said the industrial market in the regional was buoyant.

“There has been a lot more development activity in the past 12 months compared to the two years after the 2008/2009 recession. We are seeing a lot more purpose-built industrial buildings coming through as developers are unlikely to build without tenant pre-commitment. A good example is the recently completed Super Cheap Auto premises at Savill Link in Otahuhu, it consists of more than 20,000 square metres of prime industrial space purpose built for them by Goodman.”

Comments

No comments yet

Heartland Bank - Online 6.69
SBS FirstHome Combo 6.74
Wairarapa Building Society 6.95
Unity 6.99
Co-operative Bank - First Home Special 7.04
ICBC 7.05
China Construction Bank 7.09
BNZ - Classic 7.24
ASB Bank 7.24
ANZ Special 7.24
TSB Special 7.24
Unity First Home Buyer special 6.45
Heartland Bank - Online 6.45
China Construction Bank 6.75
TSB Special 6.75
ICBC 6.75
ANZ Special 6.79
ASB Bank 6.79
AIA - Go Home Loans 6.79
Kiwibank Special 6.79
BNZ - Classic 6.79
Unity 6.79
Westpac Special 6.39
China Construction Bank 6.40
ICBC 6.49
SBS Bank Special 6.55
Kiwibank Special 6.55
BNZ - Classic 6.55
Co-operative Bank - Owner Occ 6.55
ASB Bank 6.55
AIA - Go Home Loans 6.55
TSB Special 6.59
Kainga Ora 6.99
SBS FirstHome Combo 6.19
AIA - Back My Build 6.19
ANZ Blueprint to Build 7.39
Credit Union Auckland 7.70
ICBC 7.85
Heartland Bank - Online 7.99
Pepper Money Essential 8.29
Co-operative Bank - Owner Occ 8.40
Co-operative Bank - Standard 8.40
First Credit Union Standard 8.50
Kiwibank 8.50

More Stories

Support for regulation

Monday, March 18th 2024

Support for regulation

REINZ has emphasised the need for property management regulation to Parliament’s Social Services and Community Committee.

A better investment market

Thursday, March 14th 2024

A better investment market

“Reinstatement of interest deductibility starting from the new tax year on 1 April brings property investors back in line with every other business in the country, where interest costs are a legitimate deductible expense," Tim Horsbrugh, New Zealand Property Investors Federation (NZPIF) executive committee member says.

[OPINION] Recessionary times

Thursday, March 14th 2024

[OPINION] Recessionary times

It is not the best out there for many businesses and property sector people. Sales are down across the board, our clients’ confidence is falling, and there is a lot of uncertainty.

Interest rate expectations: It’s not over yet

Thursday, March 07th 2024

Interest rate expectations: It’s not over yet

Most Kiwis think interest rate increases have peaked.