Prime sector retains strength

• The vacancy rate in Auckland’s CBD decreased by 50 bps to 16.0% in H2 2025, amounting to 220,109 sqm of vacant office space across all building grades.
• Vacancy rates in the prime office sector decreased to 10.8%, a drop of 90 bps since H1 2025. In contrast, the secondary office sector saw vacancy rates rise to 22.1%, an increase of 30 bps over the same period.

Significant growth in prime supply

• The recent completion of 30 Daldy Street in Wynyard Quarter, developed by Mansons TCLM and anchored by OneNZ, has significantly boosted the supply of high-quality office space in the Auckland CBD.
• The expanded supply pipeline provides occupiers with more choices for high-quality space that meets changing workplace preferences, supports sustainability objectives and helps attract and retain talent.

Rent differentiation by grade persists

• CBD prime average net rents remained unchanged this quarter, holding steady at NZD 615 per sqm p.a. Premium average net rents stood at NZD 718 per sqm p.a. and A-grade average net rents at NZD 513 per sqm p.a., both unchanged from the previous quarter.
• Rental divergence between property grades persists, with the upper end of B-grade achieving rents of approximately NZD 420 per sqm p.a., while the lower end of B-grade now records rents around NZD 358 per sqm p.a.

Outlook: Major CBD asset sale underscores investor confidence

• The Auckland CBD office market is undergoing a period marked by both cyclical dynamics and longer-term transformations. Despite a more challenging economic outlook, a renewed sense of momentum is evident among investors and occupiers.
• Although higher vacancy rates are partly driven by new developments and shifts in how space is used, this scenario creates favourable opportunities for tenants to upgrade to premium office space.