Friday May 18th 2012

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Building Consents Increase Offers Some Hope

Apartment consents languish behind other residential consentsOne of the signs that a recession may be coming to an end is renewed confidence in the construction sector.

This sector is hard hit during recessions but construction companies and developers are aware that profits can be made as economic growth resumes again.

Seasonally adjusted housing consents for February, excluding apartments, rose to their highest levels since May 2008, according to Statistics New Zealand.

The apartment construction market is still in the doldrums – there were only thirteen new consents given in this sector in February, the lowest level since May 1995.

It appears that in the normal residential construction sector, a little bit of life may be returning, but the residential apartment sector is still languishing.

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