Building Activity On The Rise In Manawatū according to Statistics New Zealand data for October which shows the value of residential building consents in Manawatū is on the increase with residential building consents valued at $25.5 million during the last quarter (end of August) up 13% for the same period last year. Although residential building consents were down 3% in Palmerston North, consents for additions and alterations totalled $2.2 million, which is an increase of 17% compared to the same period last year. Palmerston North Mayor Jono Naylor said that the increase was a sign of recovery in building activity and a big positive for the City and the region. “While the growth in new housing is not happening, residents are choosing to spend money on renovating their homes which is good for local economy.” Graph Source: Manawatu Monthly Economic Update—September 2012 using Stascs NZ data The total Manawatū District residential consent values of $9.4 million in the three months to August, an increase of 45% in the three months to August. Source: Press Release: Palmerston North City Council 2 October 2012 Palmerston North is set to go metropolitan in about five years' time when it is projected to be home to more than 90,000 people. The latest population projections from Statistics New Zealand show the city is the fifth-equal fastest growing area in New Zealand. Mayor Jono Naylor said Palmerston North had already joined Local Government New Zealand (LGNZ's) metropolitan group, as it was already close to the mark at 85,100 and had more issues in common with the major centres than other provincial cities. What put Palmerston North ahead of areas it had been compared with in the past, such as Hawke's Bay and Taranaki, was the presence of Massey University and the Defence bases. The areas growing faster than Palmerston North are Auckland, Tauranga, Hamilton and Wellington. Whangarei is expected to share fifth position. Palmerston North City Council economic policy adviser Peter Crawford said Palmerston North was currently the eighth largest population area, and growing faster than the bigger cities of Dunedin and Lower Hutt. Mr Crawford said the city's growth was greater than could be explained by the inclusion of 2400 residents from Manawatū as a result of the boundary change and that Statistics NZ was basing most of Palmerston North's growth rate on strong birth rates among a relatively young population outstripping death rates. The fact some of Palmerston North's young residents were tertiary students who moved on before having families has been factored into the projections. City planner David Murphy said finding homes for about 5000 more people than earlier residential growth plans were based on should not be difficult as the city's next expansion at Whakarongo had been expected to boost the current land bank enough to satisfy new housing demand for about 12 years. If building figures picked up along with the projected population growth, the next area for development, currently earmarked as City West, might need to come on stream a couple of years earlier. “Ultimately, whether or not we need to plan for more residentially- zoned land depends on people's choices about green fields subdivisions, in-fill, including apartments, or something more rural." There has been a market preference for in-fill housing in the past two to three years. It now accounted for about 40 per cent of new homes, whereas in the past, only 25 per cent of new homes were built in the existing urban area. Sourced: © Fairfax NZ News JANINE RANKIN 9/10/2012 2 The Key Indicator Reports (KIRs) are for stakeholders and people interested in the building and construction and housing sectors. The full report, available online from the Department’s website: www.dbh.govt.nz brings together information from a range of sources, such as Statistics New Zealand, Quotable Value, and the Department’s own internal sources to give a comprehensive picture. The information available on this website is not intended to cover every situation, and details that may be relevant to a user’s particular circumstances may have been omitted. http://www.dbh.govt.nz/disclaimer-and-copyright The Key Canterbury Construction Indicator sheet [p5 of 8] reproduced here from the full report, includes retrospective data, some short-term forecasts, and a commentary that ties everything together in a cohesive summary. Published by The Building and Housing Group - Ministry of Business, Innovation & Employment 3 The Key Indicator Reports (KIRs) are for stakeholders and people interested in the building and construction and housing sectors. The full report, available online from the Department’s website: www.dbh.govt.nz brings together information from a range of sources, such as Statistics New Zealand, Quotable Value, and the Department’s own internal sources to give a comprehensive picture. The information available on this website is not intended to cover every situation, and details that may be relevant to a user’s particular circumstances may have been omitted. http://www.dbh.govt.nz/disclaimer- and-copyright The Key Construction Indicator sheet [p1 of 5] reproduced here from the full report, includes retrospective data, some short-term forecasts, and a commentary that ties everything together in a cohesive summary. Published by The Building and Housing Group - Ministry of Business, Innovation & Employment 4 .