Media Release: Property Wellington’s largest private sector contributor
Wellington’s property industry had a direct impact of $3.3 billion to the Wellington economy at March 2016 making it the capital’s largest private sector economic contributor, contributing 11 percent to regional GDP. Property is second only to public administration and safety which sits at 13%.
Property Council Wellington branch president, Mike Cole says the report reinforces the role of the property industry in supporting the sectors central to the Wellington region.
“The construction of new commercial buildings and significant upgrades being made to existing buildings is an indicator for growth in Wellington.”
Data in the report shows a correlation between the type of commercial property and the region’s economic sectors.
“With government, as well as the information services and financial services sectors important to the region’s economy, it is unsurprising that a large proportion of the commercial building stock in Wellington City is office space.”
Lower Hutt has the highest proportion of industrial property in the region reflecting its role as the centre of Wellington’s manufacturing sector.
“Retail space offerings across the region are strong,” Mr Cole added.
Property sector wages are slightly up on the national averages with Wellington property professionals earning $63,600 per annum on average comparted to the national average of $60,200. Average earnings across all subsectors also exceed the national average.
A full copy of the report can be found here
Key research findings
· The sector contributed $3.3 billion to the Wellington economy in the year to March 2016 making up 11% the region’s total GDP, compared to 12% nationally.
· The property industry is Wellington’s seventh largest employer, employing 8% of the region’s employees, compared to the fourth largest employer nationally.
· Construction services is the largest sub-sector of the Property Industry in the region representing 43% of all property industry employment.
· Wellington mirrors the national average with females comprising 24% of employees in the property sector.
· The average income in the Wellington property sector is $63,600 per annum (compared with $60,200 nationally)
· Residential stock holds the lion’s share of value, representing $46.7 billion or 83% of the total value held in property assets. This is higher than the national average of 80%