Demand for office space in our major cities is remaining strong despite the popularity of hybrid and working-from-home arrangments.
Open plan office space. File photo. Photo: 123RF
Vacancy rates in Auckland's CBD increased marginally by 0.1 percent in the second quarter of the year to 11.6 percent, according to commercial real estate firm JLL.
In Wellington the vacancy rate was extremely low at 3.3 percent as government requirements continued to support high demand for office space.
JLL NZ head of research Gavin Read said employers were doing all they could to retain staff in a tight labour market - and that meant providing quality offices near transport.
"For the second quarter we've seen vacancy rates again increase marginally - it's just in small amounts at this stage," Read said.
"For CBD Auckland it's 11.6 percent while is was 11.5 percent for the previous survey."
Read said there was upward pressure on rents in prime zones such as the lower end of Auckland's Queen Street.
"Certainly if you look at the lower end of Queen Street we've got very, very low vacancies," he said.
"The clear theme that we are seeing is the demand for quality spaces.
"Corporates want to provide quality environments for their staff."
Christchurch also experienced low vacancy rates with office space at a premium in the garden city.
"We've seen locally and globally firms are getting staff back in the office to be working together with colleagues."
