There has been a 7.5 percent annual increase in demand for quality office properties in Auckland. Photo: 123rf.com
Strong demand for premium commercial property in Auckland's central business district is driving rental growth, with premium brand companies moving in.
Retail, office and industrial property data collected by property management firm JLL indicated there had been a 7.5 percent annual increase in demand for quality office properties, alongside growing demand for new retail spaces.
"There are three office buildings currently under construction or being refurbished in Wynyard Quarter, along with three buildings under development elsewhere in the CBD, which combined are expected to add over 100,000 square metres by 2026," it said on Tuesday.
"When completed, these are expected to attract tenants from the lower end of prime and upper end of secondary properties, as more and more organisations compete to secure prime offices, especially as most of these developments are pre-committed."
Demand for quality industrial space for warehouse and data centres was driving rental growth in Auckland, Wellington and Christchurch.
Christchurch CBD was also becoming more active, with demand for well-located retail space driving up rents by more than 17 percent last year.
It said a recently completed retail development in Wellington's Cuba Precinct had added more than 1000 square metres of retail space to the market, with several well-known brands securing space.
