Auckland’s High End Apartment Market

Auckland’s high-end apartment market is not a deep one. At $3 million and above, there have been just 55 sales across the past two years.

Only 14 sold for more than $5 million, with the highest transaction reaching $10.25 million.

Most of the market sits within a relatively defined pricing band. Sales have largely clustered between $15,000 and $25,000 per square metre, with an average of $20,258/sqm and a median of $19,369/sqm.

The exceptions are instructive.

A small number of trophy apartments have achieved materially higher rates, with the strongest sales reaching around $38,000 to $45,000/sqm. Those transactions were not in the CBD, but in Parnell and Herne Bay.

That reflects the wider shape of the market. Just 10 of the 55 recorded sales occurred in the CBD, with premium city fringe and suburban locations accounting for the majority of high-end activity.

The development pipeline is similarly constrained.

There are currently five active high-end apartment projects comprising 104 units, all located outside the CBD in suburban or city fringe locations. Pricing generally starts at around $20,000/sqm, increasing with elevation, aspect, outlook and size. At the top end, penthouse and sub-penthouse stock is achieving upwards of $40,000/sqm, with most of these apartments priced between $6 million and $10 million.

The takeaway is a market defined by scarcity on both sides.

There is a limited pool of buyers at this level, but also very little competing stock. And where buyers are prepared to pay a premium, location and quality appear to matter more than simply being in the centre of the city.

For developers and funders considering the upper end of Auckland’s apartment market, that distinction matters.

Download the full Auckland High End Apartment Market Analysis