A nationwide decline in the number of cranes in use for construction has been most marked in Auckland. Photo / Greg Bowker
A nationwide decline in the number of cranes in use for construction has been most marked in Auckland. Photo / Greg Bowker
National crane numbers have reduced sharply by 15% in this year’s first quarter but were down 23.5% in the harder-hit Auckland market according to a survey out today.
Steve Gracey, Auckland managing director and Oceania chairman of quantity surveyors Rider Levett Bucknall (RLB), said the RLB Crane Index showed anotable decline in construction activity throughout New Zealand but worse in Auckland.
“Over the past six months, there has been a notable 15.3% net drop in crane usage across the major centres, with Auckland’s long-term crane numbers falling by 23.5%.
“This is not surprising given the ongoing issues in the market. A major concern is the lack of project commitment beyond the design stages, a problem that has endured throughout 2024,” he said.
In the three months to March 31, there were 105 long-term cranes on sites, down by 19 cranes compared to the previous six months of 2024, the index found.
Gracey said that reflects the tough period the construction industry is enduring.
Seascape (at centre with the tower crane) dominates Auckland's skyline.
The New Zealand construction industry was facing significant challenges, reflecting broader economic and policy shifts. Crane numbers in this year’s first half in seven key centres were:
Auckland 52 cranes;
Hamilton two cranes;
Tauranga 13 cranes;
Wellington five cranes;
Christchurch 20 cranes;
Queenstown eight cranes;
Dunedin eight cranes.
The survey noted the Government had reviewed capital works spending in the education, health and social housing sectors in a high inflationary environment.
The halting of many live building works has resulted in a scarcity of projects and planned jobs, with only a handful of long-term cranes operating in New Zealand in these sectors, RLB’s survey said.
StatsNZ data out yesterday also showed a sharp decline in building consents lately.
The number of new dwellings consented in the year to February was 33,595, down 7.4% annually. Non-residential building work values consented were $8.8 billion, down 11%.
The number of new dwellings consented per 1000 residents was 6.3, compared with 6.9 in the February 2024 year, StatsNZ said.
Last month, 2578 new dwellings consented, comprising:
1191 stand-alone houses;
1177 townhouses, flats, and units;
110 apartments;
100 retirement village units.
Non-residential building consents totalled $8.8b, down 11% annually in that same time period. The non-residential building types with the highest values were:
Offices, administration and public transport buildings at $1.6b (down 4.4%);
Storage buildings at $1.3b (down 12%);
Factories at $1.3b (up 0.3%).
Two years ago, RLB found the number of long-term, fixed high-rise and crawler cranes working on New Zealand construction sites rose 6% to hit a record high of 157 of the towering giants nationally.
In April 2023, the Heraldreported New Zealand had 144 cranes up by late 2021, which rose to a record 150 cranes in the six months to the end of February 2022. That dropped to 148 cranes in the six months to August 2022 but then shot to the record 157 by March 2023.
Auckland then had 103 cranes, Hamilton and Tauranga had five each, Wellington had nine, Christchurch and Queenstown each had 15 and Dunedin had six.
That was a reflection of significant building activity, which has fallen dramatically in the last two years.
Anne Gibson has been the Herald’s property editor for 25 years, written books and covered property extensively here and overseas.