Despite the recent economic downturn, New Zealand remains one of the top countries globally for commercial property investment, a report shows.
According to global property manager JLL’s Why Invest in NZ report, population growth continues to be a major factor driving long-term property demand, with the working-age population showing one of the fastest growth rates among advanced economies.
The report also noted that New Zealand benefits from continuous investor confidence.
International investors made up $673.4 million, or 18%, of all commercial property deals worth $5 million or more in 2024 and represented 17% of transactions during the first half of 2025.
The overall volume of commercial property transactions increased by 13% in 2024, while sales of properties valued at $5 million or more grew by 5.4%, reaching $4.12 billion compared to the previous year.
JLL’s head of research, Chris Dibble, stated that New Zealand showed uncommon consistency in its policy, governance, and market performance, making it appealing to foreign investors.
All major market sectors, including office, industrial, hotels, retail, and large-scale retail like supermarkets, also showed resilience.
Dibble mentioned that the comparatively low value of the New Zealand dollar was an additional draw for potential investors.
“Looking at New Zealand and going, we understand the long term, and we’ve got some benefit and upside with a stronger currency in their home market.”
The limited supply meeting rising demand also fuelled the growth in investment.
“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.
“In the background, what we’ve also got is a country that’s relatively easy to work in, from a business perspective.”
“It’s got good real estate transparency, and it’s also got a relatively benign tax environment as well.”