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The property slump may be forcing many to batten down the hatches, but the building industry on remote Great Barrier Island is booming.
Real estate agents said the market was strong, with plenty of high-end properties in various stages of construction. Auckland City Council's Great Barrier building inspector Lance Dixon said there had been no let-up in consents. "It surprises me. [The island's] got a few million-dollar projects on."
About 90km northeast of Auckland, the island has some 1460 privately owned properties.
Its international profile rose when the BBC filmed reality show Castaway there last year and the time in the spotlight could be luring overseas investors. Harcourts agent Kim Watts reported that local builders were booked for two years.
"What credit crunch? [Sellers aren't] running in the gate to try to list, infrastructure is up, building consents are up, builders are all working and still we have to import them. The banks have not foreclosed on any properties out here yet."
Five out of six agents who spoke to the Herald on Sunday said the island had yet to feel the effects of the property downturn, despite almost 150 houses and sections being listed on TradeMe last week.
Bayleys agent Kym Aikin said she had noticed "'no change" in the number of listings compared to previous years, and Century 21 agent Jim Robertson claimed there were always 125 houses for sale on the island. Many were listed as summer approached because most agents on the island didn't work over winter.
"Since July only four properties have sold, but over here you can wait up to three years."
The dissenting voice belonged to John Cran, a real estate agent of 49 years, who said he'd never seen the island's property market in a "worse position. It's a rocky time," he said. "It's like Auckland. It's very slow because of the slow economic situation."
Cran said some of the properties on TradeMe had been listed for at least a year.
Vendors knew the market was subject to seasonal fluctuations and hoped summer would bring a lift in sales but most had enough money to wait for their asking price. "People are quietly sitting it out until the market comes back again."
Despite its white sandy beaches, magnificent forests and natural hot springs, life on the island is not for everyone. It does not have reticulated mains power, water supply or sewerage system.
"The cost of living can be relatively high if you want to live like Ponsonby, or low if you want to live a more sustainable existence," said Watts.
"Solar and wind power are primary sources of energy and gardening is a way of life. It is a special existence, perhaps best described as Waiheke 30 years ago." rebecca.milne@heraldonsunday.co.nz
