Annual value of offices, industrial, healthcare building grows…

7th March 2025 By Staff Reporter | news@propertyticker.co.nz | @propertyticker

The value of offices, administration, and public transport building work totalled $2.3bn in the year to December 2024, up 7.5% on the previous year.

Stats NZ’s latest building figures released today showed the value of factories and industrial buildings increased by 8.5% to $1.8bn, and hospitals, nursing homes and health buildings jumped by 19% to $1.9bn. However, the value of education building work fell by 20% to $1.7bn.

The value of all non-residential building work – which also includes farm, storage, shops, hospitality, social and cultural – totalled $12.93bn last year, up 0.6% from 2023. The value of residential building work declined 10% to $21bn.

On a quarterly basis, Stats NZ said the seasonally adjusted volume of all building work – residential and non-residential – in New Zealand was $7.4bn for the three months to December 2024, down 4.4% compared with the September 2024 quarter.

Residential building work fell 4.9% to $4.5bn in the final quarter of 2024, and non-residential building work fell 3.1% to $2.8bn, seasonally adjusted.

“There has been a downward trend in building activity volume since the most recent peak in the September 2022 quarter,” Stats NZ economic indicators spokesperson Michael Heslop said.

The annual number of new homes consented peaked in mid-2022 and has been decreasing since then.

“Residential building activity volume reached its lowest level in over four years, in seasonally adjusted terms,” Heslop said.

“The fall in residential building activity has been driven by a decrease in new homes consented over the last two-and-a-half years.”

By region, Auckland saw most of the work, which was valued at $3.3bn over the December 2024 quarter, down 13% on the same period a year earlier.