‘Flood of listings’ expected after election
The election is unlikely to have an impact on the underlying strength of New Zealand’s commercial property market. Photo / Supplied
A flurry of activity in the commercial property market is expected following next weekend’s general election, says Colliers International.
Auckland managing director Charles Cooper says the last few months of the year are always the agency’s busiest for property sales and leasing transactions; but the usual increase in activity is likely to be bolstered by the election.
“A number of our vendors have held off launching new property marketing campaigns until after the election, so we expect a flood of new listings over the coming few weeks,” he says.
“We anticipate a strong finish to the year, with increased sales volumes over October, November and December.”
Cooper says the election is unlikely to have an impact on the underlying strength of New Zealand’s commercial property market, regardless of the outcome.
“Market analysts expect interest rates to remain low until at least 2019 — well after the current election cycle — and the ongoing low interest rate environment will continue to fuel investment in commercial property.”
Cooper says Colliers’ key clients are continuing to hire, which shows they remain confident in the market’s fundamentals and the strength of the broader economy.
“We’re also upbeat,” he says. “We’re continuing to hire and right now we’re looking to grow our Auckland business. We have 30 roles across all 20 of our business lines.”
Gareth Fraser, the agency’s Auckland investment sales director, says New Zealand’s political stability makes it attractive to the global investment community, and the election won’t change that.
“Overseas investment activity has remained strong in the lead-up to the election,” he says. “Of the eight transactions over $40m we’ve brokered so far this year, seven of the buyers were from offshore.”
Charles Cooper, Colliers International