The latest Construction Pipeline Report, commissioned by MBIE, was released last month. The report projects overall construction activity for NZ overall and by region for the five years from 2017.
Overall the report predicts that construction activity in NZ will increase by a further 23% peaking 2019/2020 and that dwelling unit consents are forecast to reach a new peak for the next five years.
An interesting fact shown is that house sizes have plateaued and decreased in some regions over the past decade.Waikato/Bay of Plenty is measured as one region. The growth in residential building was a 19% increase in 2016 from 2015. The projections show that residential building activity will increase a further 34% before levelling out in 2021. Non
residential building activity is expected to grow by 29% before levelling out in 2020.
These are encouraging projections for all of our construction related clients as the projections are even more substantial than those made in the previous two MBIE annual reports. We suggest that the Construction Pipeline Report is a must read for any construction or related business owner as it will assist in making current strategic decisions on staffing, plant or investment in technology.
If you want a copy of the report you can donwload it here or if you need guidance or interpretation of what it means for you phone Lindsay.