The value of building work undertaken in the June quarter has hit a 50-year high.
Statistics New Zealand says more than $4 billion worth of activity was put in place in the three-month period – the most since records began.
It was up eight per cent on the same period last year and the volume of non-residential work was also at a record while residential volumes were still short of their peak in June 2004.
The value of all building work rose a seasonally adjusted 2.2 per cent in the June quarter, with a 5.9 per cent gain in non-residential work and a 0.1 per cent increase in residential activity.
“In Auckland, residential work grew, while in Canterbury most of the growth was in non-residential work,” Statistics NZ’s business indicators manager Neil Kelly said in a statement.
Building activity is forecast to remain robust over the next six years, with $209.4b of work projected over that period, peaking in 2016 at $36.5b of work.
The bulk of that is associated with house building in Auckland, where builders are under pressure to meet unsatisfied demand.
Auckland residential work rose a seasonally adjusted 4.8 per cent in the three months through June, its eighth quarterly expansion, while house building shrank 4.3 per cent in Canterbury.
In non-residential work, Auckland activity shrank 3.3 per cent, its third quarterly contraction, while Canterbury work grew 18 per cent, the biggest expansion since September 2013.