Global buyers eye stable returns despite local slowdown
New Zealand continues to rank among the world’s most attractive markets for commercial property investment, according to JLL’s Why Invest in New Zealand report.
The research found the country’s fundamentals — from population growth to transparent governance — continue to underpin investor confidence even amid an economic downturn.
International investors accounted for $673.4 million, or 18% of all commercial property transactions worth $5 million or more in 2024, and 17% of transactions in the first half of 2025.
Overall, the total volume of commercial property transactions rose 13% in 2024, with total sales of properties valued at $5m+ climbing 5.4% to $4.12 billion over the previous year, RNZ reported.
Long-term growth underpinned by population trends
Population growth remains a key driver of property demand. New Zealand’s working-age population continues to record one of the highest growth rates among advanced economies, with projections pointing to further expansion over the next decade.
JLL head of research Chris Dibble (pictured) said that policy stability and reliable governance had made New Zealand a consistent performer on the global investment stage.
“New Zealand demonstrates rare consistency in policy, governance, and market performance, which is attractive to foreign investors,” he said.
The Reserve Bank’s November 2025 Financial Stability Report (FSR) echoed New Zealand’s market resilience, noting that “banks remain resilient to a range of shocks and are in a good position to support an economic recovery.” Governor Christian Hawkesby said while risks “remain higher than they’ve been in recent years,” strong capital buffers continue to underpin confidence across property and lending markets.
Strength across all sectors and new opportunities emerging
Dibble said investor interest remained broad-based, spanning major sectors such as office, industrial, hotels, retail, and large-format retail including supermarkets.
“A lot of other sectors that are garnering a bit more interest... opportunities in healthcare, data centres, self-storage, purpose built student accommodation, built-to-rent and the like,” he said.
Dibble noted that Auckland remains the economic powerhouse, continuing to draw the attention of offshore capital.
“You’ve got a sort of a Sydney, Brisbane, and Auckland investigation story going on at the moment,” he said, adding that investors were watching those cities closely for long-term prospects.
Currency and supply constraints boost investment appeal
Dibble said the relatively low value of the New Zealand dollar was another advantage for offshore buyers.
“Ultimately, it’s another attractive component for offshore entities," the JLL leader said. "Looking at New Zealand and going, look, we understand the long term, and we’ve got some benefit and upside with a stronger currency in their home market.”
A scarcity of development-ready stock is also supporting values.
“Because we do have some challenges in regards to upscaling for construction activity and also our geographic constraints, you can kind of see that there is always going to be a sort of natural restriction on supply, and that kind of helps that whole demand supply balance,” Dibble said.
Transparent, business-friendly environment keeps confidence high
Dibble added that New Zealand remains a “relatively easy country to work in from a business perspective,” with strong transparency and stable taxation settings.
“It’s got good real estate transparency, and it’s also got a relatively benign tax environment as well,” he said. “So when people are investing into New Zealand, they understand that there’s a lot of things that really add up for long term, stable and positive gains in the commercial and industrial sector.”
Bottom line: Even amid slower growth, New Zealand’s consistency, transparency, and supply scarcity continue to attract foreign investors. With population-driven demand and long-term stability underpinning the outlook, the country remains a standout destination for global capital in the commercial property market.
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