Media release: Property beats agriculture to represent second largest contribution to Waikato economy
The property industry directly contributed $2.6 billion to Waikato’s GDP in 2016 making it the region’s second largest sector contributor behind manufacturing. The sector is Waikato’s sixth largest employer accounting for 8 percent of all employees in the region.
Residential property represents a slightly higher proportion of total building stock than in other regions, comprising 83 percent of the $43.2 billion held in real estate in the Waikato, against the national average of 80 percent. Industrial property is particularly predominant in the Waikato’s commercial property sector making up 41 percent of the value of commercial property in the region.
Hamilton City represents half of all those employed in the sector, nearly half the total commercial building floorspace and 36 percent of the total value of buildings in the Waikato region.
Property Council Waikato branch president Thomas Gibbons says the property industry is a major driver for growth and prosperity in the Waikato region.
“We’ve known our industry has made a major contribution to the Waikato region, and now we know exactly how big that contribution is.”
Waikato property professionals earn an average of $54,800 per annum which is lower than the national average of $60,200.
The full report can be read here.
Key research findings
(as at March 2016)
· The sector contributed $2.6 billion to the Waikato economy in the year to March 2016 making up 13% the region’s total GDP, compared to 12% nationally.
· The property industry is Waikato’s sixth largest employer, employing 8% of the region’s employees, compared to the fourth largest employer nationally.
· Construction services is the dominant sub-sector of the property industry in the region representing 47% of all property industry employment.
· Waikato mirrors the national average with females comprising 24% of employees in the property sector.
· The average income in the Waikato property sector is $54,800 per annum (compared with $60,200 nationally)
· Residential stock holds the lion’s share of value, representing $35.7 billion or 83% of the total value held in property assets. This is higher than the national average of 80%.