Our take on the latest Non-residential building consents (Wed 2 Apr 2025)
Value of non-res consents
$734m
In February 2025
Factories consents total $168m in February
Hospital consents total $37m in February
The key numbers...
- Non-residential building in February saw a slight uptick, but remained weaker than a year ago, with the $734m total value of consents down 15% from February 2025.
- The annual decline was largely driven by a $187m decline in office consents relative to February 2024, with the result a year ago the second strongest month since June 2022. The next largest decline was in hospital consents which recorded just $37m of consents, down $138m from February 2024 and the weakest month since January 2023.
- Factories were a bright spot with $168m of consents, recording its strongest month since December 2021. Storage consents were also strong, with $185m of consents the highest since February 2023. Hostels had another positive month totalling $50m, driven by $46m of consents in Christchurch likely related to a University of Canterbury student accommodation development.
- Non-residential consents remain buoyant in Canterbury, with $149m of consents in February and over $100m in eleven of the past twelve months. The national decline on a year ago was driven by weakness persisting in Auckland (down $165m to $208m) with consents lower than a year ago for the past six months. Wellington recorded an annual rise (up $8m to $145m), driven by $113m of factories consents.
Broad-based decline continues
Non-residential consents, annual running total, $m
...and our reaction
- We have now seen three consecutive months of non-residential consents lower than a year ago, following temporary strength through October and November 2024. The annual total has now fallen to $8.8b, marking a full year of the annual level remaining below the year prior.
- Almost half of the $1.1b of the decline in the annual total of consents has come from a $490m decline in Auckland. Bay of Plenty has seen the second largest decline, down $262m, followed by Waikato which has fallen $138m.
- Weakness in hospital consents returned over the past four months following a large consent in October 2024 likely relating to the Dunedin Hospital. Hospital consents are likely to remain subdued in the near-term as funding issues and cost pressures has resulted in uncertainty over available funding for hospital redevelopment projects.
- The decline in non-residential consents is broad-based with both public and private sector consents over the past three months lower than the same three months a year ago, down 43% and 17% respectively. There is limited budget for public sector projects as the government continues to tighten its belt, and little need for investment in the private sector amid still weak consumer demand. As non-residential consents usually lag the economic cycle, further declines in 2025 are likely.
Latest updates
Premium
Non-residential building consents
Warehouses prevent further non-res falls in June
Mon 3 Aug 2026
Monthly
$701m Value of non-res consents in June 2026
7.4% Total non-res consents from May 2026 (seas adj)37%pa Warehouse consents from June 2025Premium
Non-residential building consents
Non-res consents weaker still in May
Thu 2 Jul 2026
Monthly
$789m Value of non-res consents in May 2026
19% Monthly consents from May 202549% Public sector consents from May 2025Non-residential building consents
Non-res consents mostly softer in April
Wed 3 Jun 2026
Monthly
$655m Value of non-res consents in April 2026
15% Monthly consents from April 2025
Office and education consents at lowest monthly levels in 5-6 yearsNon-residential building consents
Consents strong in March, but shadow of conflict looms
Fri 1 May 2026
Monthly
$862m Value of non-res consents in March 2026
15% Monthly consents from Mar 2025$119m Hostel consents from Mar 2025