Queenstown’s Market Summary

As Queenstown recovers from the Covid pandemic tourism and construction are again continuing to underpin business growth and confidence for occupiers of industrial and commercial property. There remains a critical shortage of land available for industrial development. Currently, industrial and commercial property has the lowest vacancy rate on record.

A shortage of industrial property for lease, and the high cost of construction of new buildings, are resulting in steady rent increases.

Long term the ongoing population growth projections will result in continued demand for commercial and industrial space that will continue to put pressure on rentals to rise.

The more recent inflation and interest rate pressure is beginning to put some pressure on investment yields, however this is yet to have any material impact on values.

Prime property is continuing to transact at stable yields.