Auckland Figures February 2026

Key points:

• The selective yield firming momentum we identified in Q3 has sustained into Q4 on the back of improving investment market activity. Retail centres continue to lead yield firming. Changes in the office market have been more selective and focused on some individual assets that have better occupancy and market positioning. The industrial investment market is benefiting from higher liquidity for smaller assets in the $5-$10 million range.
• Office leasing enquiries and inspections continued to lift in Q4. The drive for reducing occupancy sizes is becoming less pronounced and has contributed to CBD absorption turning positive. However, recent deals indicate flat face rents and incentives in Q4.
• The industrial leasing market had a quiet 4th quarter, reflecting the general trend for 2025. As vacancy durations lengthen, lessors are becoming more willing to offer higher incentives. Therefore, net effective rents dropped by 1.4% in Q4 and 2.7% in H2.
• Given a lower affordability base, rents have been under downward pressure in  weaker retail centres to accommodate tenants.  Our assessments show that subregional centers continued to experience the largest rental decline.