Building boom tapers off for Christmas

The building pace relaxes for December. Photo: Supplied.

Building consents issued for both Tauranga and the Western Bay of Plenty district tapered off slightly in December, but the annual growth is continuing.

Following on from the record breaking $1 billion in consents issued across the sub-region in 2016, the construction industry has continued to expand this year with nearly $1.2 billion in consents issued for the year, says Priority One communications manager Annie Hill.

Both Tauranga City Council and Western Bay of Plenty Council issued lower than usual building consents during December in terms of the value and number in most categories.

“December is often a quieter month due to the Christmas break, and with local authorities utilising fewer staff to process consents in the last week of the month,” says Annie.

“Commercial consents issued by Tauranga were a healthy $32 million, supported by a $24 million consent for Stage three of the Zespri head office development.”

Tauranga City Council recorded $927 million in consents issued for the 12-month period, 19 per cent more than the previous high in 2016.

Growth in the Western Bay district has slowed a little, resulting in an annual total of $263 million, which was 6 per cent less than for the same period last year.

Overall, consents in the Western Bay sub-region were 12 per cent ahead of those issued for the same period last year, totalling $1,189 million.

Total value of building consents issued in December was $58.3m, less than last month's $90.6m and also less than the $64.5m in consents issued in December 2016. The two-year high was $106.2m in consents issued in August this year, while the low over the same period was $38.1m issued in January 2017.

Total number of consents was 130, less than the 236 issued last month and the 205 issued in December a year ago, and marking a new two-year low. The two-year high was 287 consents issued in May 2017.

Single dwelling consents were valued at $22.2m, well down on the $75.5m issued in November which was the two year high, and also less than the $31.5m in single dwelling consents issued in December 2016 and marking a new two year low. The number of single dwelling consents was 54, well down on last month's 134 and the 84 recorded in December 2016 and also marking a new two year-low. The two-year high was 135 consents issued in both February and June 2017.

Commercial consents were valued at $31.8m, well ahead of the $7.8m issued in November and also more than the $23.9m issued in December a year ago.

The two-year high was $59.0m consents issued in August 2017, while the low of $8.7m was issued in September 2016.

There were three $1million plus commercial consents issued: for $1.7m in fit out works at Gilmours new base at Tauriko; for a $2.7m four level commercial building at 49-51 The Strand; and for Stage 3 of the Zespri head office development worth $24m.

The number of commercial consents was 16, the same as issued last month and marking an equal two year low. Thirty-eight commercial consents were issued in December 2016. The two-year high was 46 commercial consents issued in August 2016.

In the Western Bay of Plenty District there were $17.1m worth of building consent issued in December, less than November's $27.3m and slightly down on the $19.5m issued in December 2016. The two-year high was $31.3m issued in June 2016, while the low over the same period was $16.9m issued in February 2016.

Number of consents was 89, less than November's 114 and the 94 consents issued in December a year ago. The two-year high was 162 consents issued in May 2016, while the low over the same period was 57 consents issued in January 2017.

Single dwelling consents issued in the Western Bay for December were valued at $10.0m, less than November's $19.8m, which was the two year high - and also less than the $11.9m issued in December 2016.

The low over the same period was $9.3m in consents issued in January 2017. The number of single dwelling consents issued was 25, less than last month's 44 and the 31 consents issued in December a year ago, and marking a new two-year low. The two-year high was 51 consents issued in May and July 2016 and September 2017.

Commercial consents were valued at $2.5m, less than last month's $3.5m and also less than the $3.6m in commercial consents issued in December 2016.

There was one large ($1.0m+) commercial consent issued this month for 16 new units at Summerset Retirement Village at Katikati (2.4m). The two-year high was $10.0m in consents issued in January 2017, while the low was $503k issued in February 2017.

The number of commercial consents was 3, less than last month's 8 and the 11 consents issued in December 2016 and marking a new two year low along with June and September 2017. The two-year high was 16 consents issued in August and November 2016.



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