Auckland Figures Q1 2026

Key Points: 

• The investment market entered 2026 on a positive momentum, but global trends have started to weigh heavily on sentiment. In this context, and combined with the recent interest rate rises, office and industrial yields were flat in Q1. Favourable investor sentiment combined with a generous cushion between debt costs and yields provided a platform for modest firming in shopping centres.
• CBD Office and industrial leasing enquiries and inspections continued to lift in Q1 before the conflict. Although the conflict has not had a significant impact on market fundamentals, it has led to increased cautiousness and reduced activity, resulting in stable rents in Q1.
• City fringe and southern non-CBD office markets have also seen a drop in leasing activity and an increase in vacancy in the last six months, leading to higher incentives in Q1.
• Weakness has also persisted in the retail leasing market, and vacancies have been lifting across the spectrum of retail centre typologies. Sub-regional centres continue to experience the largest rental decline, but weakness also persists in the Regional and Major regional categories.