APARTMENT VIEWS
Apartments have long been a key component of the great modern cities of the world, yet New Zealanders were slow to warm to them. But, in recent years, they have grown in popularity. While they have been increasingly embraced by owner-occupiers, it was investors who led the charge, motivated by the more affordable prices and healthier yields on offer.
As a result, investors are major players in the apartment market and, particularly in Auckland, that means many apartments have been turned into short-term rentals or targeted at international students. But, given two of the industries hardest hit by the Covid-19 crisis are tourism and international education, what does that mean for New Zealand’s main apartment markets going forward?
We decided it was important to find out. So, we talked to apartment experts from the Auckland, Wellington and Christchurch markets to establish what lies ahead for these urban markets.
SHOCK TO HEART OF THE CITY
It’s New Zealand’s most well-established and diverse apartment market, but the Auckland CBD market is also the one with the highest reliance on both tourists and foreign students.
That said, it’s also a market that features distinct sub-sectors: there’s luxury high-end offerings for owner-occupiers; there’s classic investor stock; and there’s also the
